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Chapter One- Occupational code

Total questions: 28

Worksheet time: 30mins

Name
Class
Date
1.

Which of the following are required to be licensed as a broker or sales person

a)

A property manager who manages a 12 unit apartment for compensation

b)

A licensed builder who built 23 single-family homes last year

c)

They developer who bought a piece of land, divided into three partial and sold them without the use of a broker

d)

A attorney who prepares real estate documents as a part of her law practice

2.

Who can sign checks from the broker trust account

a)

A broker sales person

b)

Anyone with the brokers written approval

c)

The broker or the broker and another in a cosignatory account

d)

The broker or the brokers attorney

3.

The Department must respond to complaints or questions about a limitation within:

a)

30 days

b)

6 months

c)

1 day

d)

15 days

4.

In order to terminate a sales person, a broker must do all the following EXCEPT:

a)

Send a letter of termination to the sales person

b)

Send a copy of the letter to the sales person within 10 days

c)

Mail the sales person's license along with the termination letter

d)

Sends copy of letter of termination to department within 5 days

5.

Real estate schools are approved by:

a)

The board

b)

The Board of Realtors

c)

The Financial Institutions Bureau

d)

The Department of licensing and Regulatory Affairs

6.

A salesperson upon receipt of an earnest money deposit shall:

a)

Deposit it in his truest account within 5 days

b)

Deliver it to the broker immediately

c)

Deposit in his trust account within two banking days

d)

Retain the deposit until closing termination of the transaction

7.

The first time I sales person is found to be in violation of the occupational code:

a)

The board will issue a warning

b)

The sales person could face a $10,000 fine

c)

The board could suspend, but never revoke

d)

The Borgo assess a $500 fine

8.

The broker who is responsible for the earnest money deposit is:

a)

The one who receives it

b)

The listing broker

c)

The selling broker

d)

The closing broker

9.

The Department can:

a)

Suspend but never revoke

b)

Suspend, revoke, but never find

c)

Find but never revoke or suspend

d)

Suspend, fine, revoke, cause a bond to be posted, require one to prove competence, require restitution or censure

10.

Larry Lehman, without a license, hope the neighbors who sells home. His neighbor gave him $1000 and a nice thank you card. Larry could face:

a)

A $10,000 fine

b)

Relocation of his license

c)

$500 fine or 90 days in jail

d)

No penalty at all, he's just a nice guy

11.

An attorney-in-fact

a)

Must pass the bar exam

b)

Is operating under a power of attorney

c)

Should be a licensee

d)

Could have his license suspended

12.

Which of the following is true?

a)

All real estate licenses expire December 31st each year

b)

One must be a US citizen to have a real estate license

c)

Set the department denies your application for license, you have no recourse

d)

License who have lapsed for less than three years do not have to retest

13.

How many licenses may principal associate broke hold

a)

Only one at a time

b)

As many as they wish

c)

Two with special permission

d)

Up to a maximum of six with no permission

14.

During every three-year real estate licensing cycle a licensee must obtain:

a)

24 hours of continuing education

b)

16 hours of continuing education

c)

Six hours of continuing education

d)

18 hours of continuing education of which at least two hours each year consist of "core classes "

15.

The following are true concerning properties a sales person must sell through their broker, EXCEPT:

a)

A principal residence

b)

A cottage

c)

A factory

d)

A vacant lot

16.

The Department may audit a broker

a)

With a search warrant

b)

With reasonable cause

c)

During regular business hours

d)

With permission of the board

17.

Michigan Occupational code is:

(a)  

18.

Michigan Occupational code is:

(a)  

19.

Approval

a)

The apartment in board, acting jointly, review and approve the licensing examination and determines whether it establishes the competency of applicant

b)

The department approves real estate schools and curriculum

c)

Department is in charge of administering the examination may provide the equipment or room

d)

When the board approves of the license then has to talk to broker about determination

20.

Administration

a)

Acting jointly, review and approve the licensing examination and administer weather establishes take a penalty of applicant

b)

Department is in charge of administering the examination and may provide the equipment or room

c)

They must administer sales person and broker through all of sales

d)

The department may delegate any or all these duties

21.

Shall not be licensed with more than one broker at a time

a)

Salesperson

b)

Contractor

c)

Attorney

d)

The board

22.

License renewal expires after _ years after anniversary date if not renewed:

a)

3 years

b)

4 years

c)

5 years

d)

Does not expire

23.

Practicing real estate without a license is:

a)

Not okay and will receive warrning

b)

A $10,000 fine

c)

Jail for 30 days

d)

A misdemetor with $500 fine or imprisonment for not more than 90 days or both

24.

A person who is guilty a second time practicing real estate without a license is:

a)

A misdemeanor by fine of not more than $1000 or imprisonment for no more than one year

b)

A misdemeanor by fine of not more than $10,000 or imprisonment for no more than two years

c)

Let go with a warning

d)

A misdemeanor by fine up to 15,000 or imprisonment for up to 4 years

25.

If license is revoked or suspended the pocket card is to be sent to the Department:

a)

Within two business days

b)

Within the same week

c)

After talking to broker about issue

d)

Immidiently

26.

Reinstatement:

a)

1.

When they disclose the fact that here she is a licensed sales person or broker, in writing to sellers before a purchase agreement signed otherwise

b)

1.

When a license is granted after being revoked if board approves, the applicant must:

c)

2

-pay license fee for the given license period

-no credit will be given for education granted, examinations or experience obtained before revocation

d)

2

-Could lead to a revoked license

-the department board could file complaint issued to sales person

27.

If your license is revoked you cannot apply for a new one for at least _

a)

18 months years

b)

3 years

c)

4 years

d)

12 months

28.

Must have office within state, must be physical location:

a)

Associate

b)

Department

c)

Branch office

d)

Broker