Practice and Disclosures Practice Question

Question

A license applicant is comparing two similar real estate concepts in a Nevada real estate transaction involving escrow coordination. Which statement is the best answer? (Item 192)

Answer choices

1. A. The salesperson may handle the matter independently without broker involvement when compensation is expected.
2. B. Local custom controls even when a statute, regulation, contract, or disclosure rule applies.
3. C. The requirement matters only if the buyer uses lender financing.
4. D. Distinguish broker duties from escrow holder instructions and closing tasks.

Correct Answer

D. Distinguish broker duties from escrow holder instructions and closing tasks.

Explanation

The correct answer is D because escrow coordination requires candidates to distinguish broker duties from escrow holder instructions and closing tasks. The other options rely on unsafe assumptions about custom, oral agreement, escrow, client preference, or independent salesperson authority and do not reflect sound Nevada exam practice.

Question details

• Difficulty: hard
• Domain: Practice and Disclosures
• Objective: escrow coordination

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