AGENCY QUESTIONS AND ANSWERS 2026
EXAM TEST PAPER COMPLETE QUESTIONS
AND ANSWERS ALREADY PASSED
◉ which type of agency is created after the fact when the principal
agrees to be bound by the actions of another person who was acting
without authority? Answer: agency by ratification
◉ at any time during an agency relationship, if the principal or agent
decide to terminate the agency, they can do so through: Answer:
mutual rescission
◉ after agency has been terminated, a broker must use ____ to
prevent employees from disclosing confidential client information.
Answer: reasonable care
◉ which of the following constitutes a breach of contract? Answer:
failing to perform one part or all of the terms and conditions
◉ which of the following is not a fundamental aspect of a valid real
estate contract? Answer: it must be supported by sufficient evidence
,◉ in a real estate agency relationship, an ____ written agreement,
usually in the form of a listing contract or buyer representation
agreement, authorizes the broker to represent the principal Answer:
express
◉ a broker is entitled to compensation Answer: after the agency
relationship is terminated
◉ all of the following would terminate the principal-agent
relationship by operation of law except: Answer: expiration of the
agreement term
◉ if a buyer-client tells an agent how much he or she is willing to
pay for a property, the agent owes the client full: Answer:
confidentiality of that information
◉ which of the following forms establishes agency representation?
Answer: residential real estate listing agreement "? exclusive right to
sell and the residential buyer/tenant representation agreement
◉ what is considered the heart of a well-run company Answer: the
policy and procedure manual
, ◉ what is a good starting point for creating a policy and procedure s
manual? Answer: templates, such as the TAR policy and procedures
manual
◉ all of the following are true regarding the disclosure of agency
representation, except: Answer: the disclosure itself must never be
oral
◉ a policy and procedures manual documents all of the following
except the company's: Answer: latest listings
◉ buyer's brokers should not think of the buyers representation
agreement as a(n): Answer: tool to tie the buyer-client to their
services
◉ identify the false statement regarding licensees and risk
management Answer: real estate brokers or salespeople can not act
on their own account as a principle or as an independent contractor
in a transaction
◉ a licensee is guilty of a law and ethics violation if he or she
Answer: solicits the sale of a residential property on the grounds of
loss of value
EXAM TEST PAPER COMPLETE QUESTIONS
AND ANSWERS ALREADY PASSED
◉ which type of agency is created after the fact when the principal
agrees to be bound by the actions of another person who was acting
without authority? Answer: agency by ratification
◉ at any time during an agency relationship, if the principal or agent
decide to terminate the agency, they can do so through: Answer:
mutual rescission
◉ after agency has been terminated, a broker must use ____ to
prevent employees from disclosing confidential client information.
Answer: reasonable care
◉ which of the following constitutes a breach of contract? Answer:
failing to perform one part or all of the terms and conditions
◉ which of the following is not a fundamental aspect of a valid real
estate contract? Answer: it must be supported by sufficient evidence
,◉ in a real estate agency relationship, an ____ written agreement,
usually in the form of a listing contract or buyer representation
agreement, authorizes the broker to represent the principal Answer:
express
◉ a broker is entitled to compensation Answer: after the agency
relationship is terminated
◉ all of the following would terminate the principal-agent
relationship by operation of law except: Answer: expiration of the
agreement term
◉ if a buyer-client tells an agent how much he or she is willing to
pay for a property, the agent owes the client full: Answer:
confidentiality of that information
◉ which of the following forms establishes agency representation?
Answer: residential real estate listing agreement "? exclusive right to
sell and the residential buyer/tenant representation agreement
◉ what is considered the heart of a well-run company Answer: the
policy and procedure manual
, ◉ what is a good starting point for creating a policy and procedure s
manual? Answer: templates, such as the TAR policy and procedures
manual
◉ all of the following are true regarding the disclosure of agency
representation, except: Answer: the disclosure itself must never be
oral
◉ a policy and procedures manual documents all of the following
except the company's: Answer: latest listings
◉ buyer's brokers should not think of the buyers representation
agreement as a(n): Answer: tool to tie the buyer-client to their
services
◉ identify the false statement regarding licensees and risk
management Answer: real estate brokers or salespeople can not act
on their own account as a principle or as an independent contractor
in a transaction
◉ a licensee is guilty of a law and ethics violation if he or she
Answer: solicits the sale of a residential property on the grounds of
loss of value
