Contracts, Finance, and Transfer Practice Question
Question
A license applicant is reviewing a practice scenario for the New Jersey Real Estate Salesperson Exam involving listing agreement and New Jersey Real Estate Commission. What should the licensee understand? (Item 111)
Answer choices
- A. Escrow or closing staff automatically assume all brokerage agency and disclosure duties.
- B. The client’s preference eliminates the need to disclose known material facts.
- C. Identify broker employment terms, compensation, property description, and authorization in a way that fits New Jersey exam practice.
- D. The party who complains first automatically receives the remedy requested.
Correct Answer
C. Identify broker employment terms, compensation, property description, and authorization in a way that fits New Jersey exam practice.
Explanation
The correct answer is C because listing agreement requires candidates to identify broker employment terms, compensation, property description, and authorization. The New Jersey 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: Contracts, Finance, and Transfer
- Objective: listing agreement