Agency Relationships and Disclosures Practice Question
Question
A salesperson is explaining a concept to a client involving ministerial acts. Which statement is the most accurate exam answer? (Item 88)
Answer choices
- A. It is valid only when the buyer pays cash and no lender is involved.
- B. It prevents any later disclosure, even when new facts become known.
- C. It applies only to commercial property and never to residential transactions.
- D. Distinguish administrative assistance from creating an agency relationship.
Correct Answer
D. Distinguish administrative assistance from creating an agency relationship.
Explanation
The correct answer is D because ministerial acts requires candidates to distinguish administrative assistance from creating an agency relationship. The other options overstate the effect of custom, oral agreement, escrow, or independent salesperson action and do not reflect safe California exam practice.
Question details
- Difficulty: medium
- Domain: Agency Relationships and Disclosures
- Objective: ministerial acts