General: Multiple Choice Ch. 5-8

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red_star1412
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205554
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General: Multiple Choice Ch. 5-8
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2013-03-13 11:30:07
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real estate multiple choice
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general book multiple choice from chapter 5-8
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  1. Why have real estate license laws been put into effect?

    A. to protect licensees from lawsuits
    B. to prevent licensees from engaging in profit making activities
    C. to establish maximum levels of competency and a moral marketplace
    D. to protect the public and establish standards of professionalism
    D. to protect the public and establish standards of professionalism
    (this multiple choice question has been scrambled)
  2. In real estate, a salesperson is always a(n)

    A. independent contractor
    B. employee of a licensed broker
    C. licensee who performs real estate activities on behalf of a broker
    D. combination office manager, marketer, and organizer with a fundamental understanding of the real estate industry, who may or may not be licensed
    C. licensee who performs real estate activities on behalf of a broker
    (this multiple choice question has been scrambled)
  3. All of the following are requirements for independent contractor status used by the Internal Revenue Service EXCEPT

    A. 90% or more of the individual's income is based on sales production rather than hours worked
    B. a written agreement that specifies that the individual will not be treated as an employee for tax purposes
    C. a current real estate license
    D. specific hours stated in a written agreement
    D. specific hours stated in a written agreement
    (this multiple choice question has been scrambled)
  4. The broker who owns a realty agency does not permit his salesperson to change less than an 8% commission in any transaction. After reading a newspaper article about this realty agency's policies, the broker of another realty agency decides to adopt the 8% minimum, too. Based on these facts, which of the following statements is TRUE?

    A. the realty agency's policy is price-fixing and violates the antitrust law
    B. Although the realty agency's original policy was legal, the second realty agency's adoption of the minimum commission may constitute an antitrust violation if both brokers are in the same real estate market
    C. both brokers engaged in illegal price-fixing
    D. neither broker has committed an antitrust violation
    D. neither broker has committed an antitrust violation
    (this multiple choice question has been scrambled)
  5. A real estate broker had a listing agreement with a seller that specified a 6% commission. The broker showed the home to a prospective buyer. The next day, the buyer called the seller directly and offered to buy the house for 5% less than the asking price. The seller agreed to the price and informed the broker in writing that no further brokerage services would be required. The sale went to closing 6 weeks later. Based on these facts, which of the following statements is TRUE?

    A. under the facts as stated, the broker is not the procuring cause of this sale but is still entitled to a commission
    B. While the broker was the procuring cause of the sale, the seller properly canceled the contract; without a valid employment agreement in force at the time of closing, the broker is not entitled to a commission
    C. the broker is entitled to a partial commission, and the buyer is obligated to pay it
    D. the broker was the procuring cause of the sale and is entitled to the full 6% commission
    D. the broker was the procuring cause of the sale and is entitled to the full 6% commission
    (this multiple choice question has been scrambled)
  6. A qualified buyer makes a written offer on a property on March 6 by filling out and signing a sales agreement. Later that day, the seller accepts and signs the agreement, keeping one copy. The broker gives a copy of the signed agreement to the buyer on March 8. The seller's deed is delivered on May 1. The deed is recorded on May 7, and the buyer takes possession on May 15. When is the broker's commission payable if this is a usual transaction?

    A. May 1
    B. May 15
    C. March 8
    D. May 7
    A. May 1
    (this multiple choice question has been scrambled)
  7. All of the following are violations of the federal antitrust laws EXCEPT

    A. commission splitting
    B. group boycotting
    C. allocation of customers
    D. tie-in agreements
    A. commission splitting
    (this multiple choice question has been scrambled)
  8. All of the following are ways for a broker to charge for services EXCEPT

    A. commission based on a percentage of the selling price
    B. hourly rate
    C. standard community rate
    D. flat fees
    C. standard community rate
    (this multiple choice question has been scrambled)
  9. What is the main value of a multiple-listing service (MLS) for sellers?

    A. it simplifies closing procedures
    B. agents do not have to work as hard to secure
    C. it exposes the property to a greater number of prospective buyers
    D. an MLS reduces cooperation among brokers
    C. it exposes the property to a greater number of prospective buyers
    (this multiple choice question has been scrambled)
  10. After licensing laws are enacted by the legislature, who is responsible for adopting rules and regulations?

    A. a sub-committee that reports to the legislature
    B. licensing authority (division, commission, ect.)
    C. local REALTOR® association
    D. brokers and salespeople appointed by the governor
    B. licensing authority (division, commission, ect.)
    (this multiple choice question has been scrambled)
  11. When communicating with clients and customers via e-mail, all of the following are examples of professional e-mail EXCEPT

    A. responding to e-mails within one week
    B. providing useful information in the subject line
    C. using spell check
    D. avoiding sending large attachments
    A. responding to e-mails within one week
    (this multiple choice question has been scrambled)
  12. Although state laws vary regarding Internet advertising, which of the following is a typical element of state policy or law?

    A. ads must avoid misleading the potential client or customer
    B. e-mail sent by a licensee needs to include the licensee's name, phone number, and real estate license number
    C. on a Web site containing their ads, real estate professionals only need to identify themselves as a broker or salesperson on the site's home page
    D. it is acceptable for only the salesperson's name (without the broker's name) to be shown in an ad
    A. ads must avoid misleading the potential client or customer
    (this multiple choice question has been scrambled)
  13. The broker may still be entitled to a commission in which of the following situations where a pending property sale did NOT close?

    A. the buyer wanted to add the kitchen appliances to the sale, but the seller refused
    B. the seller decided not to sell
    C. the buyer decided not to buy the property
    D. financing fell through for the buyer
    B. the seller decided not to sell
    (this multiple choice question has been scrambled)
  14. An arrangement to sell one product only if the buyer purchases another product as well is called a(n)

    A. allocation of customers
    B. buydown provision
    C. tie-in agreement
    D. fee-for-services
    C. tie-in agreement
    (this multiple choice question has been scrambled)
  15. An agreement that a listing broker offers no services other than placing a listing in the MLS is called a(n)

    A. dual agency
    B. full-service listing agreement
    C. limited-service listing agreement
    D. exclusive-brokerage agreement
    C. limited-service listing agreement
    (this multiple choice question has been scrambled)
  16. Even if a consumer has requested placement on the National Do Not Call Registry, a real estate professional may call the consumer up to how many months after the consumer's last purchase?

    A. 18
    B. 6
    C. 12
    D. 3
    A. 18
    (this multiple choice question has been scrambled)
  17. The name for the current policy of the National Association of REALTORS® that allows all MLS members equal rights to display MLS data is the

    A. Internet Data Exchange
    B. Open Listing Data Service
    C. virtual office Website
    D. Internet Listing Display Policy
    D. Internet Listing Display Policy
    (this multiple choice question has been scrambled)
  18. An important purpose of the "E-Sign" Act is to

    A. prevent notarization of electronically transmitted agreements
    B. require all parties to use electronic contracting if the seller prefers it
    C. require stringent security measures for e-mail communication
    D. give contracts formed using e-mail the same legal standing as those on paper
    D. give contracts formed using e-mail the same legal standing as those on paper
    (this multiple choice question has been scrambled)
  19. What is the compensation plan called if a salesperson's commission split increases depending on whether the salesperson achieves higher production goals?

    A. cooperating broker commission
    B. 100% commission plan
    C. procuring cause commission
    D. graduated commission split
    D. graduated commission split
    (this multiple choice question has been scrambled)
  20. What is the practice called when a consumer selects specific services to use and only pays the licensee for those services?

    A. discounted services
    B. unbundling services
    C. allocation of markets
    D. tie-in agreement
    B. unbundling services
    (this multiple choice question has been scrambled)
  21. In a typical buyer agency agreement, the buyer is the

    A. agent
    B. customer
    C. employee
    D. principal
    D. principal
    (this multiple choice question has been scrambled)
  22. The owner listed her home for sale with a broker. When the owner sold the home herself, she did not owe anyone a commission. Based on these facts, what type of listing did the broker and the owner most likely sign?

    A. exclusive-right-to-sell listing
    B. open listing
    C. multiple listing
    D. net listing
    B. open listing
    (this multiple choice question has been scrambled)
  23. All of the following information is generally included in a listing agreement EXCEPT

    A. property condition disclosures
    B. client's specific requirements for a suitable property to buy
    C. lot size
    D. termination clause
    B. client's specific requirements for a suitable property to buy
    (this multiple choice question has been scrambled)
  24. On January 10, a salesperson met with a seller and described the advantages of listing the seller property with his broker's office. On January 15, the seller agreed to the listing, and the salesperson and the seller signed the agreement. On January 18, the broker signed the agreement as required by the office policy. On January 20, the salesperson posted a For Sale sign in front of the house. When did the listing agreement become effective?

    A. January 18
    B. January 15
    C. January 10
    D. January 20
    A. January 18
    (this multiple choice question has been scrambled)
  25. What is a listing agreement?

    A. contract to purchase real property
    B. employment contract between seller and broker
    C. contract between buyer and seller
    D. employment agreement between broker and salesperson
    B. employment contract between seller and broker
    (this multiple choice question has been scrambled)
  26. Who are the parties to a listing agreement?

    A. buyer and salesperson
    B. seller and broker
    C. seller and salesperson
    D. buyer and seller
    B. seller and broker
    (this multiple choice question has been scrambled)
  27. There are 5 different brokerage signs in the front yard. Evidently, the seller has signed a(n)

    A. exclusive-agency listing
    B. exclusive-right-to-sell listing
    C. net listing
    D. open listing
    D. open listing
    (this multiple choice question has been scrambled)
  28. The broker has just explained the value of signing an exclusive-agency listing with a broker who is a member of the multiple-listing service. The broker is trying to overcome the misconceptions of the seller who asked about a(n)

    A. option listing
    B. net listing
    C. open listing
    D. exclusive-right-to-sell listing
    C. open listing
    (this multiple choice question has been scrambled)
  29. What kind of listing agreement is illegal in many states because of the potential for conflict of interest between a broker's fiduciary responsibility to the seller and the broker's profit motive?

    A. net listing
    B. exclusive-right-to-sell listing
    C. open listing
    D. exclusive-agency listing
    A. net listing
    (this multiple choice question has been scrambled)
  30. Buyer agents may be compensated in any of the following ways EXCEPT

    A. flat fee for service
    B. percentage of selling price
    C. hourly rate
    D. percentage of list price
    D. percentage of list price
    (this multiple choice question has been scrambled)
  31. Any of the following will terminate a listing agreement EXCEPT

    A. expiration
    B. an offer to purchase
    C. abandonment by broker
    D. performance
    B. an offer to purchase
    (this multiple choice question has been scrambled)
  32. A broker is retiring and wants to submit his listing to another broker. How can he do this?

    A. each salesperson must sign over the listings to the new broker
    B. the sellers must agree to a new listing with the new broker
    C. the new broker has to sign an acceptance agreement
    D. the broker must sign over the listings to the new broker
    B. the sellers must agree to a new listing with the new broker
    (this multiple choice question has been scrambled)
  33. In which of the following types of listing agreements is the broker appointed as the seller's only agent?

    A. open listing
    B. option listing
    C. exclusive-right-to-sell and exclusive-agency listings
    D. net listing
    C. exclusive-right-to-sell and exclusive-agency listings
    (this multiple choice question has been scrambled)
  34. In most states, a broker's license can be suspended or revoked if the broker

    A. does not include an automatic extension clause in the listing agreement
    B. cancels the listing agreement without cause
    C. breaches the terms of the listing agreement
    D. takes a listing that does not include a date on which the listing expires
    D. takes a listing that does not include a date on which the listing expires
    (this multiple choice question has been scrambled)
  35. All of the following are information needed for the listing agreement EXCEPT

    A. the age of the seller
    B. the dimensions of the lot
    C. the possibility of seller financing
    D. the most-recent property taxes
    A. the age of the seller
    (this multiple choice question has been scrambled)
  36. An example of personal property that a seller may leave with the property and, therefore, must be identified on the listing agreement is

    A. a built-in dishwasher
    B. the door key
    C. a ceiling light fixture
    D. stacked firewood
    D. stacked firewood
    (this multiple choice question has been scrambled)
  37. An elderly man left the family home to his second wife with the provision that when she dies, the home goes to a son by his first wife. The second wife owns a bundle of rights; however, she does not own the right to

    A. lease the property
    B. sell the property
    C. decorate the property
    D. will the property
    D. will the property
    (this multiple choice question has been scrambled)
  38. Every workday for the past 20 years, a woman has parked her car in a specific place in the nearby parking garage. Today, she receives a notice that the garage will be replaced by an office building. Can they do this to her after all the years she parked there?

    A. yes, because she only had a license
    B. yes, because she has nothing in writing
    C. no, because she paid regularly and on time
    D. no, because she has been parking there for more than 20 years; she has an easement by prescription
    A. yes, because she only had a license
    (this multiple choice question has been scrambled)
  39. A man conveyed a one-acre parcel of land to a preschool. In the deed, the man stated that the property was to be used only as a playground; the man reserved a right of re-entry. What kind of estate has the man granted?

    A. fee simple absolute
    B. leasehold
    C. curtesy
    D. fee simple subject to a condition subsequent
    D. fee simple subject to a condition subsequent
    (this multiple choice question has been scrambled)
  40. A man owns a farm that lies along the edge of a river, which is too shallow to be navigable. If the man does not live in a jurisdiction that recognizes the doctrine of prior appropriation, how much (if any) of the river does he own?

    A. the man owns the land to the edge of the river; the land under the river is owned by the state
    B. the man owns the land up to the water's edge and the right to use the water
    C. the man owns the land to the mean high water mark, and aright to apply for a water use permit
    D. the man owns the land under the river to the exact center of the waterway, and the right to use the water
    D. the man owns the land under the river to the exact center of the waterway, and the right to use the water
    (this multiple choice question has been scrambled)
  41. Over the past 15 years, a river has been slowly depositing the soil along its eastern bank. As a result, the river is some 12 feet narrower than it used to be, and a parcel of property on the east side of the river is now 12 feet larger than it used to be. This scenario is an example of which of the following processes?

    A. erosion
    B. alluvion
    C. reliction
    D. accretion
    D. accretion
    (this multiple choice question has been scrambled)
  42. If the government acquires privately owned real estate through a condemnation suit, it is exercise its power of

    A. eminent domain
    B. reverter
    C. escheat
    D. defeasance
    A. eminent domain
    (this multiple choice question has been scrambled)
  43. A man owned 2 acres of land. He sold 1 acre to a woman and reserved an easement appurtenant for entrance and exit over her acre to reach the public road. The woman's land is

    A. capable of being cleared of the easement if the woman sells to a third party
    B. subject to an easement in gross
    C. called the dominant tenement
    D. called the servient tenement
    D. called the servient tenement
    (this multiple choice question has been scrambled)
  44. A man owns a large undeveloped parcel of land on the side of a hill. The property borders a road on the lower edge. The owner sells the lower portion of the property to a woman, and she builds a home on it. Several years later, the owner sells the upper-portion of the property to another man. This man's property does not border any road. For this man to gain access to the road, he must claim by implication of law an easement

    A. by prescription
    B. in gross
    C. by restriction
    D. by necessity
    D. by necessity
    (this multiple choice question has been scrambled)
  45. If the dominant estate merges with the servient estate, which of the following is TRUE?

    A. the new owner must bring a suit seeking severance of the easement from the combined properties
    B. the easement is suspended but cannot be terminated
    C. the easement remains in effect for the entire parcel
    D. the easement is terminated
    D. the easement is terminated
    (this multiple choice question has been scrambled)
  46. The homestead exemption in a town is $15,000. Four years ago, a man purchased a home for $58,000 and then experienced hard times. At a court-ordered sale, the man's property is purchased for $60,000. If the man has an outstanding mortgage balance of $35,000 and credit card debts amounting to $24,360, how much is protected by the homestead?

    A. $640
    B. $15,000
    C. $2,140
    D. $16,500
    B. $15,000

    the homestead exemption if $15,000. So, when the property is sold for $60,000, the mortgage of $35,000 is paid, and $15,000 is reserved, leaving $10,000 for the credit card debt.
    (this multiple choice question has been scrambled)
  47. In some states, a husband cannot sell his property unless his wife also signs the deed. His wife's interest is called

    A. dower rights
    B. homestead rights
    C. curtesy rights
    D. personal property rights
    A. dower rights
    (this multiple choice question has been scrambled)
  48. The state's authority to enact legislation to protect the public is passed through to municipalities and counties through

    A. police power
    B. processing papers
    C. licensing laws
    D. enabling acts
    D. enabling acts
    (this multiple choice question has been scrambled)
  49. The state requires enough land to build a four-lane highway. For the state to acquire the needed land, the state must do all of the following EXCEPT

    A. demonstrate that this is for the public good
    B. pay a fair and just compensation to the owner
    C. reimburse the property owner for the amount that the property owner paid for the land
    D. allow the property owner the right to appeal any decision
    C. reimburse the property owner for the amount that the property owner paid for the land
    (this multiple choice question has been scrambled)
  50. A woman died in a nursing home. She had outlived all of her heirs and had not written a will. What happens to her $250,000 estate?

    A. it will be split between the nursing home and the county
    B. it escheats to the state or county
    C. the nursing home gets to keep it
    D. it can be paid over to her church
    B. it escheats to the state or county
    (this multiple choice question has been scrambled)
  51. Which of the following is defined as a claim, charge, or liability that attaches to real estate?

    A. easement
    B. deed restriction
    C. encumbrance
    D. lien
    C. encumbrance
    (this multiple choice question has been scrambled)
  52. Which of the following must exist for an appurtenant easement to exist?

    A. 2 adjacent parcels, different owners
    B. long-time unauthorized usage
    C. landlocked property that requires passage to the street
    D. 2 adjacent parcels, one owner
    A. 2 adjacent parcels, different owners
    (this multiple choice question has been scrambled)
  53. What are deed restrictions?

    A. informal agreements between neighbors
    B. private agreements affecting the use of the land
    C. public land restrictions
    D. illegal land restrictions
    B. private agreements affecting the use of the land
    (this multiple choice question has been scrambled)
  54. The electric company has the right to extend its wires over 50 parcels of land. What right does the electric company have?

    A. easement in gross
    B. easement by necessity
    C. easement by prescription
    D. appurtenant easement
    A. easement in gross
    (this multiple choice question has been scrambled)
  55. For as long as anyone can remember, neighbor families have used a foot path to get to the river. Recently, the current owner erected a fence across the path. Which of the following easements might the neighbors claim, which would require him to remove the fence?

    A. appurtenant easement
    B. easement by necessity
    C. easement in gross
    D. easement by prescription
    D. easement by prescription
    (this multiple choice question has been scrambled)
  56. The rights of property owners of land next to large bodies of water, such as the ocean or the Great Lakes, are called

    A. prior appropriation
    B. reversionary rights
    C. littoral rights
    D. riparian rights
    C. littoral rights
    (this multiple choice question has been scrambled)
  57. Which of the following cannot take title as a joint tenant with right of survivorship?

    A. 2 brothers in partnership
    B. a corporation
    C. 2 female business partners
    D. wife and husband
    B. a corporation
    (this multiple choice question has been scrambled)
  58. When 2 or more individuals decide to buy a property together, it results in a

    A. co-ownership
    B. joint venture
    C. community effort
    D. cooperation
    A. co-ownership
    (this multiple choice question has been scrambled)
  59. 3 brothers bought a farm together, and the deed listed only each of their names. What form of ownership are they presumed to have taken?

    A. tenancy in common
    B. joint tenancy with right of survivorship
    C. tenancy by the entireties
    D. in severalty
    A. tenancy in common
    (this multiple choice question has been scrambled)
  60. What form of ownership is employed when one person transfers ownership to someone else to hold and manage for a third person?

    A. trust
    B. joint tenancy
    C. severalty
    D. joint venture
    A. trust
    (this multiple choice question has been scrambled)
  61. A man with 2 sons and a woman with 2 daughters are getting married, and they are buying a house together. They ask the real estate licensee for advice about how to take title. What advice should the licensee offer?

    A. suggest that they consult with an attorney
    B. tenants in common, so that each one-half in interest would go to the appropriate children
    C. suggest that they consult with the employing broker
    D. joint tenancy to protect, so that if one dies, the other gets the home
    A. suggest that they consult with an attorney
    (this multiple choice question has been scrambled)
  62. A will provided that the local banker take care of the deceased person's estate until the children reach age 25. What kind of trust is this?

    A. living trust
    B. testamentary trust
    C. land trust
    D. trust deed
    B. testamentary trust
    (this multiple choice question has been scrambled)
  63. What kind of ownership do the horizontal property acts regulate?

    A. planned unit development
    B. cooperative
    C. condominiums
    D. time-sharing
    C. condominiums
    (this multiple choice question has been scrambled)
  64. Shareholders in a cooperative receive shares of stock that entitle them to a

    A. common element lease
    B. corporate deed
    C. proprietary lease
    D. trust deed
    C. proprietary lease
    (this multiple choice question has been scrambled)
  65. Membership camping is similar to

    A. cooperative ownership
    B. time-share use
    C. condominium ownership
    D. planned use development
    B. time-share use
    (this multiple choice question has been scrambled)
  66. In a large highrise condominium, each unit is owned by individual owners. The elevators, parking garage, and swimming pool are referred to as

    A. separate property
    B. common elements
    C. community property
    D. proprietary elements
    B. common elements
    (this multiple choice question has been scrambled)
  67. 2 women own an apartment building together as joint tenants. They share equally in the expenses and profits. One day, one of the women decides to end the relationship. If she sells her interest to a man by signing and delivering a deed, which of the following statements is TRUE?

    A. the man and the remaining woman will be tenants in common
    B. the man will be a tenant in common with the remaining woman and a joint tenant with the leaving woman
    C. the conveyance will be invalid; the 2 women will remain joint tenants
    D. the man will become a joint tenant with the remaining woman
    A. the man and the remaining woman will be tenants in common
    (this multiple choice question has been scrambled)
  68. In February, a seller conveyed an undivided one-half interest in a parcel of land to a woman. In March, the seller conveyed the remaining one-half interest to a man. The deed to the man included the following statement: "This man is to be a joint tenant with the woman." Both deeds were recorded. Based on these facts, which of the following statements is TRUE?

    A. the man and woman are tenants in common
    B. the man and woman hold title to the land as joint tenants under the terms of the 2 conveyances from the seller
    C. the man and woman own the land by partition
    D. the man owns the land as a joint tenant; the woman owns the land as a tenant in common
    A. the man and woman are tenants in common
    (this multiple choice question has been scrambled)
  69. 3 people own a large parcel of undeveloped land in joint tenancy. One of them wants to build a shopping center on the property, while the other 2 want to use it as an organic farm. The individual tries to buy the other tenants' interests, but they refuse to sell. Which of the following is her BEST option?

    A. file a suit for partition
    B. begin building a shopping center on one-third of the property
    C. file a suit to quiet title
    D. wait for the other 2 to die
    A. file a suit for partition
    (this multiple choice question has been scrambled)
  70. A man owns and lives year-round in a cottage in a lakefront community. His ownership of the cottage is in fee simple. He also owns an undivided percentage interest in a parking lot, a golf course, and a swimming pool, all located in the development. Based on these facts alone, the man's ownership is probably BEST described as a

    A. cooperative
    B. time-share estate
    C. time-share use
    D. condominium
    D. condominium
    (this multiple choice question has been scrambled)
  71. Mike, Rebecca, and Noah agree to purchase and operate a property as a permanent investment. Mike and Rebecca each contribute $50,000. Noah contributes $30,000 and agrees to run the day-to-day operations of the business, which they call "Property Group Partners." Neither Mike nor Rebecca has any right to participate in the operation of the venture. Based on these facts, what type of business organization has Mike, Rebecca, and Noah established?

    A. limited liability company
    B. general partnership
    C. joint centure
    D. limited partnership
    D. limited partnership
    (this multiple choice question has been scrambled)
  72. All of the following are unities required for a joint tenancy EXCEPT

    A. unity of possession
    B. unity of ownership
    C. unity of time
    D. unity of title
    B. unity of ownership
    (this multiple choice question has been scrambled)
  73. All of the following are characteristics of a tenancy by the entirety EXCEPT

    A. the surviving spouse automatically becomes sole owner of the property upon the death of the other spouse
    B. the surviving spouse automatically owns one-half of the property acquired during the marriage
    C. title may be conveyed only by a deed signed by both parties
    D. each spouse owns an equal, undivided interest in the property as a single, indivisible unit
    B. the surviving spouse automatically owns one-half of the property acquired during the marriage
    (this multiple choice question has been scrambled)
  74. A man creates a trust to pay for a broker's real estate education. The trust is operated by a woman, who makes payments on behalf of the broker directly to the real estate school. Based on these facts, which of the following statements BEST characterizes the relationships among these parties?

    A. the woman is the trustor, the broker is the beneficiary, and the man is the trustee
    B. the man is the trustor, the real estate school is the beneficiary, and the woman is the trustee
    C. the man is the trustor, the broker is the beneficiary, and the woman is the trustee
    D. the man is the trustor, the broker is the beneficiary, the woman is the trustee, and the real estate school is the fiduciary
    C. the man is the trustor, the broker is the beneficiary, and the woman is the trustee
    (this multiple choice question has been scrambled)
  75. A company is a legal entity, created by charter under the laws of the state. The company is managed and operated by a board and is permitted to buy and sell real estate. When one of its directors dies, the company continues to operate. Because of its structure, the company's income is subject to double taxation. The company is BEST described as a

    A. condominium trust
    B. limited liability company
    C. corporation
    D. partnership
    C. corporation
    (this multiple choice question has been scrambled)
  76. When a corporation takes complete ownership of a property, it is considered to be ownership in

    A. tenancy in common
    B. joint tenancy
    C. partnership
    D. severalty
    D. severalty
    (this multiple choice question has been scrambled)
  77. In a tenancy in common, if the fraction of ownership are NOT stated in the deed, how are they determined?

    A. the tenants settle the issue through binding arbitration
    B. the tenants need a judicial decision to determine the fractional shares
    C. the tenants must terminate the tenancy in common through partition
    D. the tenants are presumed to hold equal shares
    D. the tenants are presumed to hold equal shares
    (this multiple choice question has been scrambled)
  78. In the case of land trusts, the beneficiary is usually also the

    A. trustee
    B. fiduciary
    C. attorney in fact
    D. trustor
    D. trustor
    (this multiple choice question has been scrambled)

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