Fair Housing, Practice, and Disclosures Practice Question
Question
A closing coordinator flags an issue before settlement for the Massachusetts Real Estate Salesperson Exam involving market allocation and broker-salesperson supervision. Which statement is the best answer? (Item 174)
Answer choices
- A. The rule applies only to commercial transactions and never to residential transactions.
- B. Avoid dividing territories, customers, or property types with competitors in a way that fits Massachusetts exam practice.
- 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
B. Avoid dividing territories, customers, or property types with competitors in a way that fits Massachusetts exam practice.
Explanation
The correct answer is B because market allocation requires candidates to avoid dividing territories, customers, or property types with competitors. 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: Fair Housing, Practice, and Disclosures
- Objective: market allocation