Timeshare License Exam UPDATED Exam
Questions and CORRECT Answers
How long is a TSA license valid for? - CORRECT ANSWER - 2 years
If a timeshare AGENT initially becomes licensed on June 6, 2000, when will the license expire?
- CORRECT ANSWER - June 30, 2002 (end of the month - 2 years later)
If a timeshare REPRESENTATIVE initially becomes licensed on June 6, 2009, when will the
license expire? - CORRECT ANSWER - June 30, 2010 (end of the month - 1 year later)
An applicant for an original timeshare license MUST provide: - CORRECT ANSWER -
An application, certificates for passing the examination and completing the 14 hour course, and
$175
If a timeshare agent is served notice that the division has filed charges against him/her, he/she
has how many days in which to file with the Division and answer to the charges? - CORRECT
ANSWER - 20 days
A developer may NOT make a material change in the timeshare plan without giving the Division
at LEAST how many days notice? - CORRECT ANSWER - 10 days
If the highest monthly total of deposits received by a project is $50,000 what is the amount of
surety bond REQUIRED for the benefit of the purchasers? - CORRECT ANSWER -
$50,000
What is a timeshare? - CORRECT ANSWER - A guaranteed reservation at the resort of
your choice
What is a fractional ownership? - CORRECT ANSWER - Ownership of an interval of 1
month to 1/2 year
,The value of an individual timeshare usually - CORRECT ANSWER - decreases in value
An agreement between two or more parties is called - CORRECT ANSWER - a contract
The following elements are necessary to create an agency relationship EXCEPT: - CORRECT
ANSWER - consideration
The following elements are necessary to create an agency relationship: - CORRECT
ANSWER - perception of representation, understanding, and reliance
Which of the following is NOT necessary to form a contract? - CORRECT ANSWER -
performance
Which of the following is necessary to form a contract? - CORRECT ANSWER - meeting
of the minds, consideration, and competence
The essential parts of a written contract include - CORRECT ANSWER - competent
parties, mutual consent, consideration, and legal obligation
Which statements MUST be printed above the purchaser's signature one in each contract for sale
of a timeshare? - CORRECT ANSWER - The purchaser of a timeshare may cancel, by
written notice, the contract of sale until midnight of the fifth calendar day.
The right of cancellation may not be waived. Any attempt by the developer to obtain a waiver
results in a contract that is voidable by the purchaser.
Developer Tyson has defaulted on his project. Which clause provides protection for prior
purchasers? - CORRECT ANSWER - non-disturbance clause
, How would a prospective purchaser get the BEST deal on a timeshare? - CORRECT
ANSWER - buy it from an existing owner
The purchaser may cancel the transaction - CORRECT ANSWER - until midnight of the
5th calendar day after signing
Escrow may NOT be closed until the - CORRECT ANSWER - 1. buyer's check clears his
bank
2. project is free and clear of any blanket encumbrances
3. cancellation period has expired
Developer Douglas has submitted an application to the administrator for a permit to sell
timeshares. The Division shall issue an order within how many days after the receipt of the
application? - CORRECT ANSWER - 30 days
The administrator has scheduled an informal meeting to discuss certain sales practices at
Douglas' promotional meetings. Which of the following is NOT true? - CORRECT
ANSWER - 1. Matters discussed or materials presented may be used in any subsequent
formal hearings
2. May be tap recorded
3. Is lawful under NRS 119A
4. Mandates a judge or constable be present for the record
CORRECT: Mandates a judge or constable be present for the record
The sale of a timeshare interests in the State of Nevada is regulated under the provisions of -
CORRECT ANSWER - Nevada revised statutes 119A
MOST timeshare units are sold on credit. These lending arrangements MUST comply with
Regulation Z of the Federal Reserve Board. The PRIMARY purpose of Regulation Z, as applied
to timeshare sales, is to assure: - CORRECT ANSWER - Full disclosure of all financing
costs and charges
Questions and CORRECT Answers
How long is a TSA license valid for? - CORRECT ANSWER - 2 years
If a timeshare AGENT initially becomes licensed on June 6, 2000, when will the license expire?
- CORRECT ANSWER - June 30, 2002 (end of the month - 2 years later)
If a timeshare REPRESENTATIVE initially becomes licensed on June 6, 2009, when will the
license expire? - CORRECT ANSWER - June 30, 2010 (end of the month - 1 year later)
An applicant for an original timeshare license MUST provide: - CORRECT ANSWER -
An application, certificates for passing the examination and completing the 14 hour course, and
$175
If a timeshare agent is served notice that the division has filed charges against him/her, he/she
has how many days in which to file with the Division and answer to the charges? - CORRECT
ANSWER - 20 days
A developer may NOT make a material change in the timeshare plan without giving the Division
at LEAST how many days notice? - CORRECT ANSWER - 10 days
If the highest monthly total of deposits received by a project is $50,000 what is the amount of
surety bond REQUIRED for the benefit of the purchasers? - CORRECT ANSWER -
$50,000
What is a timeshare? - CORRECT ANSWER - A guaranteed reservation at the resort of
your choice
What is a fractional ownership? - CORRECT ANSWER - Ownership of an interval of 1
month to 1/2 year
,The value of an individual timeshare usually - CORRECT ANSWER - decreases in value
An agreement between two or more parties is called - CORRECT ANSWER - a contract
The following elements are necessary to create an agency relationship EXCEPT: - CORRECT
ANSWER - consideration
The following elements are necessary to create an agency relationship: - CORRECT
ANSWER - perception of representation, understanding, and reliance
Which of the following is NOT necessary to form a contract? - CORRECT ANSWER -
performance
Which of the following is necessary to form a contract? - CORRECT ANSWER - meeting
of the minds, consideration, and competence
The essential parts of a written contract include - CORRECT ANSWER - competent
parties, mutual consent, consideration, and legal obligation
Which statements MUST be printed above the purchaser's signature one in each contract for sale
of a timeshare? - CORRECT ANSWER - The purchaser of a timeshare may cancel, by
written notice, the contract of sale until midnight of the fifth calendar day.
The right of cancellation may not be waived. Any attempt by the developer to obtain a waiver
results in a contract that is voidable by the purchaser.
Developer Tyson has defaulted on his project. Which clause provides protection for prior
purchasers? - CORRECT ANSWER - non-disturbance clause
, How would a prospective purchaser get the BEST deal on a timeshare? - CORRECT
ANSWER - buy it from an existing owner
The purchaser may cancel the transaction - CORRECT ANSWER - until midnight of the
5th calendar day after signing
Escrow may NOT be closed until the - CORRECT ANSWER - 1. buyer's check clears his
bank
2. project is free and clear of any blanket encumbrances
3. cancellation period has expired
Developer Douglas has submitted an application to the administrator for a permit to sell
timeshares. The Division shall issue an order within how many days after the receipt of the
application? - CORRECT ANSWER - 30 days
The administrator has scheduled an informal meeting to discuss certain sales practices at
Douglas' promotional meetings. Which of the following is NOT true? - CORRECT
ANSWER - 1. Matters discussed or materials presented may be used in any subsequent
formal hearings
2. May be tap recorded
3. Is lawful under NRS 119A
4. Mandates a judge or constable be present for the record
CORRECT: Mandates a judge or constable be present for the record
The sale of a timeshare interests in the State of Nevada is regulated under the provisions of -
CORRECT ANSWER - Nevada revised statutes 119A
MOST timeshare units are sold on credit. These lending arrangements MUST comply with
Regulation Z of the Federal Reserve Board. The PRIMARY purpose of Regulation Z, as applied
to timeshare sales, is to assure: - CORRECT ANSWER - Full disclosure of all financing
costs and charges
