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Colorado Real Estate Exam QUESTIONS AND
CORRECT DETAILED SOLUTIONS LATEST UPDATED
VERSION JUST RELEASED RECENTLY
Question: Those exempted from the obtaining a real estate license are:
a) any person who purchases property or a business opportunity for his own account or in any
way disposes of the same
b) any authorized attorney in fact or attorney at law while acting in that capacity
c) any escrow agent, receiver, trustee in bankruptcy, executor, administrator, guardian, or any
person acting under a court order
d) all of the above - ANSWER✔✔d) all of the above
Question: In Colorado, who of the following is exempt from real estate license law? -
ANSWER✔✔Investor who owns 12 investment properties and sells one to an owner-occupant
Question: Does the Real Estate Commission provide office address and contact information for
licensees to the public? - ANSWER✔✔yes
Question: When a licensee transfers from the employ of one broker to another, of the
following who is responsible for surrendering the license to the Real Estate Commission: -
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ANSWER✔✔the licensee and the now former employing broker are required to file the
necessary paperwork
Question: How many credit hours of Continuing Education classes does an Associate Broker
need to renew his/her license? - ANSWER✔✔12 hours of elective class credit and 12 hours of
mandatory class credit
Question: With regard to Colorado real estate licensees: - ANSWER✔✔An associate broker's
license should be in his/her broker's office
Question: Which of the following is required to have a real estate license? -
ANSWER✔✔Property manager specializing in handling buildings in commercial districts
Question: In Colorado, all of the following topics are regulated by Real Estate License Law or
Real Estate Commission Rules, except: - ANSWER✔✔ethical standards
Question: Who has the responsibility for prosecuting in court the practice of real estate
without a license? - ANSWER✔✔A District Attorney
Question: An associate broker terminates with a broker. The employing broker (AKA sponsoring
broker) refuses to turn the license over to the Commission. Which of the following is true? -
ANSWER✔✔The Employing Broker may be subject to disciplinary action
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Question: A broker's license may be suspended or revoked for which of the following causes? -
ANSWER✔✔Failure to account for or remit funds belonging to others
Question: In Colorado a broker must retain records of real estate transactions for a minimum
of how many years? - ANSWER✔✔4
Question: If a licensee is in court, the following has (have) jurisdiction over him: -
ANSWER✔✔both the court and the Real Estate Commission
Question: An applicant for a real estate license can solicit buyers and sellers after (or upon): -
ANSWER✔✔receipt by broker of individual's license
Question: Which of the following would normally be a reason for suspension or revocation of a
real estate license? - ANSWER✔✔Offering a property for sale on terms or at a price other than
stipulated by the owner
Question: The quarterly interest on a loan is $1,135 and the interest rate is 7.5%. What is the
principal of the loan? - ANSWER✔✔60533
Question: A Colorado broker may pay a part or all of his commission to any of the following
except: - ANSWER✔✔a state licensed appraiser
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Question: What can the Real Estate Commission do with a broker's license after one of his
licensees has had his license revoked or suspended? - ANSWER✔✔There must first be a hearing
to determine if the broker had knowledge, or did not properly supervise the associate broker
prior to suspension or revocation of his license
Question: Which of the following provisions is not essential to the validity of a lease? -
ANSWER✔✔Judgment clause
Question: The options of a property manager in dealing with a risk are:
a) to transfer it
b) to retain it
c) to avoid
d) all of the above - ANSWER✔✔d) all of the above
Question: Under a percentage lease: - ANSWER✔✔The percentage is based upon the amount
of sales that the business is doing
Question: Assume that Mr. and Mrs. Davis did not sign the lease agreement, but upon taking
possession of the apartment on August 1 were handed a signed copy by landlord Smith. On
August 20, Mr. and Mrs. Davis move out claiming that since they had not signed the agreement,
Colorado Real Estate Exam QUESTIONS AND
CORRECT DETAILED SOLUTIONS LATEST UPDATED
VERSION JUST RELEASED RECENTLY
Question: Those exempted from the obtaining a real estate license are:
a) any person who purchases property or a business opportunity for his own account or in any
way disposes of the same
b) any authorized attorney in fact or attorney at law while acting in that capacity
c) any escrow agent, receiver, trustee in bankruptcy, executor, administrator, guardian, or any
person acting under a court order
d) all of the above - ANSWER✔✔d) all of the above
Question: In Colorado, who of the following is exempt from real estate license law? -
ANSWER✔✔Investor who owns 12 investment properties and sells one to an owner-occupant
Question: Does the Real Estate Commission provide office address and contact information for
licensees to the public? - ANSWER✔✔yes
Question: When a licensee transfers from the employ of one broker to another, of the
following who is responsible for surrendering the license to the Real Estate Commission: -
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ANSWER✔✔the licensee and the now former employing broker are required to file the
necessary paperwork
Question: How many credit hours of Continuing Education classes does an Associate Broker
need to renew his/her license? - ANSWER✔✔12 hours of elective class credit and 12 hours of
mandatory class credit
Question: With regard to Colorado real estate licensees: - ANSWER✔✔An associate broker's
license should be in his/her broker's office
Question: Which of the following is required to have a real estate license? -
ANSWER✔✔Property manager specializing in handling buildings in commercial districts
Question: In Colorado, all of the following topics are regulated by Real Estate License Law or
Real Estate Commission Rules, except: - ANSWER✔✔ethical standards
Question: Who has the responsibility for prosecuting in court the practice of real estate
without a license? - ANSWER✔✔A District Attorney
Question: An associate broker terminates with a broker. The employing broker (AKA sponsoring
broker) refuses to turn the license over to the Commission. Which of the following is true? -
ANSWER✔✔The Employing Broker may be subject to disciplinary action
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Question: A broker's license may be suspended or revoked for which of the following causes? -
ANSWER✔✔Failure to account for or remit funds belonging to others
Question: In Colorado a broker must retain records of real estate transactions for a minimum
of how many years? - ANSWER✔✔4
Question: If a licensee is in court, the following has (have) jurisdiction over him: -
ANSWER✔✔both the court and the Real Estate Commission
Question: An applicant for a real estate license can solicit buyers and sellers after (or upon): -
ANSWER✔✔receipt by broker of individual's license
Question: Which of the following would normally be a reason for suspension or revocation of a
real estate license? - ANSWER✔✔Offering a property for sale on terms or at a price other than
stipulated by the owner
Question: The quarterly interest on a loan is $1,135 and the interest rate is 7.5%. What is the
principal of the loan? - ANSWER✔✔60533
Question: A Colorado broker may pay a part or all of his commission to any of the following
except: - ANSWER✔✔a state licensed appraiser
, Page 4 of 103
Question: What can the Real Estate Commission do with a broker's license after one of his
licensees has had his license revoked or suspended? - ANSWER✔✔There must first be a hearing
to determine if the broker had knowledge, or did not properly supervise the associate broker
prior to suspension or revocation of his license
Question: Which of the following provisions is not essential to the validity of a lease? -
ANSWER✔✔Judgment clause
Question: The options of a property manager in dealing with a risk are:
a) to transfer it
b) to retain it
c) to avoid
d) all of the above - ANSWER✔✔d) all of the above
Question: Under a percentage lease: - ANSWER✔✔The percentage is based upon the amount
of sales that the business is doing
Question: Assume that Mr. and Mrs. Davis did not sign the lease agreement, but upon taking
possession of the apartment on August 1 were handed a signed copy by landlord Smith. On
August 20, Mr. and Mrs. Davis move out claiming that since they had not signed the agreement,
