Agency and License Law Practice Question
Question
A broker is correcting a new licensee’s misunderstanding for the Massachusetts Real Estate Salesperson Exam involving salesperson affiliation and Massachusetts Board of Registration. Which statement is most accurate for exam purposes? (Item 57)
Answer choices
- A. Understand that salespersons or agents generally act through a broker in a way that fits Massachusetts exam practice.
- B. The rule applies only to commercial transactions and never to residential transactions.
- C. Client funds may be mixed with business funds if the broker reconciles the account later.
- D. The issue can be ignored if the parties want to close quickly.
Correct Answer
A. Understand that salespersons or agents generally act through a broker in a way that fits Massachusetts exam practice.
Explanation
The correct answer is A because salesperson affiliation requires candidates to understand that salespersons or agents generally act through a broker. 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: easy
- Domain: Agency and License Law
- Objective: salesperson affiliation