Agency and License Law Practice Question
Question
A client asks whether a fact should be disclosed for the Arizona Real Estate Salesperson Exam involving accounting and Arizona Department of Real Estate. Which statement is the best answer? (Item 61)
Answer choices
- A. Properly handle and account for money, documents, and property entrusted to the licensee in a way that fits Arizona exam practice.
- B. The affiliated licensee may handle the matter independently without broker responsibility.
- C. Local custom controls even when a statute, regulation, contract, or disclosure rule applies.
- D. The requirement matters only when the buyer obtains institutional financing.
Correct Answer
A. Properly handle and account for money, documents, and property entrusted to the licensee in a way that fits Arizona exam practice.
Explanation
The correct answer is A because accounting requires candidates to properly handle and account for money, documents, and property entrusted to the licensee. The Arizona reference keeps the scenario tied to state licensing practice, while the other options rely on unsafe assumptions about oral custom, escrow, client preference, independent licensee authority, or ignoring written duties.
Question details
- Difficulty: easy
- Domain: Agency and License Law
- Objective: accounting