Contracts, Finance, and Transfer Practice Question
Question
A broker is correcting a new licensee’s misunderstanding for the South Carolina Real Estate Salesperson Exam involving counteroffer and South Carolina Real Estate Commission. What should the licensee understand? (Item 6)
Answer choices
- A. The requirement matters only when the buyer obtains institutional financing.
- B. Recognize that a counteroffer rejects the prior offer and proposes new terms in a way that fits South Carolina exam practice.
- C. The affiliated licensee may handle the matter independently without broker responsibility.
- D. Local custom controls even when a statute, regulation, contract, or disclosure rule applies.
Correct Answer
B. Recognize that a counteroffer rejects the prior offer and proposes new terms in a way that fits South Carolina exam practice.
Explanation
The correct answer is B because counteroffer requires candidates to recognize that a counteroffer rejects the prior offer and proposes new terms. The South Carolina 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: counteroffer