Contracts, Finance, and Transfer Practice Question
Question
An agent compares two similar exam concepts for the Pennsylvania Real Estate Salesperson Exam involving listing agreement and state agreement and disclosure practice. Which answer best reduces risk? (Item 147)
Answer choices
- A. The safest practice is to avoid written documentation so fewer questions are raised later.
- B. A licensee may give legal conclusions instead of recommending qualified legal advice when uncertain.
- C. Identify broker employment terms, compensation, property description, and authorization in a way that fits Pennsylvania exam practice.
- D. A verbal understanding always replaces a written real estate requirement.
Correct Answer
C. Identify broker employment terms, compensation, property description, and authorization in a way that fits Pennsylvania exam practice.
Explanation
The correct answer is C because listing agreement requires candidates to identify broker employment terms, compensation, property description, and authorization. The Pennsylvania 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