CRP - Practice Test Questions
Which benefit for a mobile employee is most likely to be
grossed up?
a) COLA
b) Loss-On-Sale
c) New Home Closing Costs
d) Miscellaneous Allowance - Correct Answer ✔ ✔ b)
Loss-On-Sale
The purpose of the Worldwide ERC® Homeowner Disclosure
Statement (or modified versions) is:
,a) To provide a method for the agent to evaluate the
condition of the property during listing
b) To allow the buyer to know about the home before they
physically walk through
c) To provide a method for relocation coordinators to evaluate
the condition of the property during the acquisition process
d) To provide the employer or RMC with knowledge about the
physical and legal conditions of the property - Correct Answer
✔ ✔ d) To provide the employer or RMC with knowledge
about the physical and legal conditions of the property
On a temporary assignment, how would the household goods
costs be treated?
,a) As deductible
b) As excludable
c) As non-deductible
d) As an above the line expense - Correct Answer ✔ ✔ c)
As non-deductible
A real estate broker providing destination services is most
likely expected to provide:
a) Policy counseling, commuting details, recreational and
cultural opportunities
b) Cost of living allowance calculations, spouse/partner
employment assistance, local tax information
, c) Assistance with school search and school tour, local tax
information, child and elder care services
d) Income tax preparation assistance, utility connection
management, commuting details - Correct Answer ✔ ✔
c) Assistance with school search and school tour, local tax
information, child and elder care services
According to "The Lowdown on Gross-up" what accounts for
the additional tax liability the gross-up payment creates, and
mitigates the tax-on-tax exposure?
a) The inverse method
b) The flat method
c) The simple method
Which benefit for a mobile employee is most likely to be
grossed up?
a) COLA
b) Loss-On-Sale
c) New Home Closing Costs
d) Miscellaneous Allowance - Correct Answer ✔ ✔ b)
Loss-On-Sale
The purpose of the Worldwide ERC® Homeowner Disclosure
Statement (or modified versions) is:
,a) To provide a method for the agent to evaluate the
condition of the property during listing
b) To allow the buyer to know about the home before they
physically walk through
c) To provide a method for relocation coordinators to evaluate
the condition of the property during the acquisition process
d) To provide the employer or RMC with knowledge about the
physical and legal conditions of the property - Correct Answer
✔ ✔ d) To provide the employer or RMC with knowledge
about the physical and legal conditions of the property
On a temporary assignment, how would the household goods
costs be treated?
,a) As deductible
b) As excludable
c) As non-deductible
d) As an above the line expense - Correct Answer ✔ ✔ c)
As non-deductible
A real estate broker providing destination services is most
likely expected to provide:
a) Policy counseling, commuting details, recreational and
cultural opportunities
b) Cost of living allowance calculations, spouse/partner
employment assistance, local tax information
, c) Assistance with school search and school tour, local tax
information, child and elder care services
d) Income tax preparation assistance, utility connection
management, commuting details - Correct Answer ✔ ✔
c) Assistance with school search and school tour, local tax
information, child and elder care services
According to "The Lowdown on Gross-up" what accounts for
the additional tax liability the gross-up payment creates, and
mitigates the tax-on-tax exposure?
a) The inverse method
b) The flat method
c) The simple method
