CHAMPIONS REAL ESTATE AGENCY ACTUAL EXAM
2025 | 200 QUESTIONS WITH ACCURATE SOLUTIONS
1. If a real estate agent is found guilty of misrepresentation in a
transaction, what potential action could TREC take based on
their authority?
Require the agent to undergo a mandatory
ethics course Impose a fine without further
consequences
Take away the agent's license
Allow the agent to continue practicing with a warning
2. What happens to the licenses of agents sponsored by a
business entity when the designated broker of that entity
dies?
They remain
active They are
revoked
They are placed on Inactive Status
They are transferred to another broker
3. If a real estate agent is accused of misrepresentation during a
transaction, which statutory defense could they use if they
relied on a report from a government agency?
Written information from governmental records
Personal opinions about the
property Unverified online
reviews
Information from a friend in the industry
,4. If a real estate sales agent is required to attend weekly
training seminars and follow a strict schedule set by the
broker, how might this affect their classification as an
independent contractor according to IRS guidelines?
It would likely support their classification as an
independent contractor.
, It would likely lead to their classification as an employee.
It would have no effect on their
classification. It would require them to
pay additional taxes.
5. What are the two primary forms of defamation as defined in legal
terms?
Slander and Libel
Assault and Battery
Fraud and
Misrepresentation
Negligence and
Malpractice
6. What is the primary restriction placed on team names in Texas
real estate regarding the use of certain terms?
Teams can use the term 'brokerage' in their name.
Teams must include the name of the sponsoring broker
in their name.
Teams cannot use terms that imply they offer
independent brokerage services.
Teams are required to use the word 'associates' in their
name.
7. What type of agreement serves as evidence that an agency
relationship exists in real estate transactions?
Verbal agreement
Written listing agreement
Email
correspondence
, Informal handshake
8. A broker intentionally appropriates a client's trust funds
for his own purposes. This is called:
secret profit
2025 | 200 QUESTIONS WITH ACCURATE SOLUTIONS
1. If a real estate agent is found guilty of misrepresentation in a
transaction, what potential action could TREC take based on
their authority?
Require the agent to undergo a mandatory
ethics course Impose a fine without further
consequences
Take away the agent's license
Allow the agent to continue practicing with a warning
2. What happens to the licenses of agents sponsored by a
business entity when the designated broker of that entity
dies?
They remain
active They are
revoked
They are placed on Inactive Status
They are transferred to another broker
3. If a real estate agent is accused of misrepresentation during a
transaction, which statutory defense could they use if they
relied on a report from a government agency?
Written information from governmental records
Personal opinions about the
property Unverified online
reviews
Information from a friend in the industry
,4. If a real estate sales agent is required to attend weekly
training seminars and follow a strict schedule set by the
broker, how might this affect their classification as an
independent contractor according to IRS guidelines?
It would likely support their classification as an
independent contractor.
, It would likely lead to their classification as an employee.
It would have no effect on their
classification. It would require them to
pay additional taxes.
5. What are the two primary forms of defamation as defined in legal
terms?
Slander and Libel
Assault and Battery
Fraud and
Misrepresentation
Negligence and
Malpractice
6. What is the primary restriction placed on team names in Texas
real estate regarding the use of certain terms?
Teams can use the term 'brokerage' in their name.
Teams must include the name of the sponsoring broker
in their name.
Teams cannot use terms that imply they offer
independent brokerage services.
Teams are required to use the word 'associates' in their
name.
7. What type of agreement serves as evidence that an agency
relationship exists in real estate transactions?
Verbal agreement
Written listing agreement
correspondence
, Informal handshake
8. A broker intentionally appropriates a client's trust funds
for his own purposes. This is called:
secret profit
