Agency and License Law Practice Question
Question
A buyer asks a licensee for an exam-focused explanation for the Massachusetts Real Estate Salesperson Exam involving license-required activity and broker-salesperson supervision. Which answer best reduces risk? (Item 19)
Answer choices
- A. The affiliated licensee may handle the matter independently without broker responsibility.
- B. Local custom controls even when a statute, regulation, contract, or disclosure rule applies.
- C. Identify acts requiring a license when performed for compensation in a way that fits Massachusetts exam practice.
- D. The requirement matters only when the buyer obtains institutional financing.
Correct Answer
C. Identify acts requiring a license when performed for compensation in a way that fits Massachusetts exam practice.
Explanation
The correct answer is C because license-required activity requires candidates to identify acts requiring a license when performed for compensation. The Massachusetts 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: medium
- Domain: Agency and License Law
- Objective: license-required activity