Chapter 11 -Gold Coast Real Estate Homework With 100% Correct Answers 2023, Exams of Advanced Education

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Chapter 11 -Gold Coast Real Estate

Homework With 100% Correct Answers

Which of the following is an example of a unilateral contract? (a) Purchase and sale contract (b) Contract for deed (c) Open listing contract (d) Oral contract - Correct Answer-(c) Open listing contract In which circumstance is a broker's commission subject to forfeiture? (a) The broker has an oral listing contract. (b) The broker fails to obtain witnesses to a real estate sales contract. (c) The broker performs according to the employment contract. (d) The broker violates a fiduciary duty. - Correct Answer-(d) The broker violates a fiduciary duty. If an owner revokes an exclusive right of sale listing and sells the property during the remaining time the listing would have been in effect, what is the broker entitled to? (a) A full commission (b) Bring a suit for damages (c) Write off the loss on their income taxes (d) Revoke the listing contract - Correct Answer-(a) A full commission Which term refers to a type of contract where all terms and conditions are NOT fully expressed? (a) Implied (b) Bilateral (c) Parol

(d) Executory - Correct Answer-(a) Implied What are the required elements of all valid contracts? (a) Lawful subject, competent parties, legal age, and offer (b) Offer, acceptance, legal age, and lawful subject (c) Lawful subject, agreement, consideration, and two or more competent parties (d) Meeting of the minds, legal age, offer, and competent parties - Correct Answer-(c) Lawful subject, agreement, consideration, and two or more competent parties To which of the following does the phrase "meeting of the minds" refer? (a) Offer and acceptance (b) Consideration (c) Lawful subject (d) Two or more parties - Correct Answer-(a) Offer and acceptance Which of the following best describes a contract? (a) A written instrument (b) Legally binding (c) Void unless accompanied by earnest money (d) Always bilateral - Correct Answer-(b) Legally binding What is the term used to describe the party who receives an offer? (a) Offeree (b) Offeror (c) Optionor (d) Optionee - Correct Answer-(a) Offeree Which of the following terms best describes a contract in which all of the terms and conditions have been fully performed?

(a) Executory (b) Bilateral (c) Unilateral (d) Executed - Correct Answer-(d) Executed Which statute requires a purchase and sale contract to be in writing to be enforceable? (a) F.S. 475 (b) F.S. 120 (c) Statute of Limitations (d) Statute of Frauds - Correct Answer-(d) Statute of Frauds What is the term used to describe the consideration given by a buyer to indicate serious intent to buy a property? (a) An earnest money deposit (b) A check deposit (c) Legal tender (d) A boot deposit - Correct Answer-(a) An earnest money deposit All of the following may terminate an offer, EXCEPT: (a) Expiration of a reasonable or specified time period (b) The death of the offeror (c) A counteroffer (d) A failure to obtain a binder deposit - Correct Answer-(d) A failure to obtain a binder deposit Which of the following establishes the time period for enforcement of a contract? (a) Statute of Frauds (b) Statute of Limitations (c) Real estate license law

(d) State courts - Correct Answer-(b) Statute of Limitations A buyer who negotiates a contract to purchase property, takes possession and pays the property purchase price in installments, but does not receive the legal title until the full purchase price has been paid. What is this agreement called? (a) An obvious attempt to defraud the buyer (b) A lease-option (c) A violation of the Statute of Frauds (d) An installment contract, contract for deed, or land contract - Correct Answer-(d) An installment contract, contract for deed, or land contract A real estate licensee is legally allowed to prepare all of the following types of documents, EXCEPT: (a) Purchase and sale contracts (b) Listings (c) Leases (d) Option contracts - Correct Answer-(c) Leases Which of the following statements is correct regarding an option contract? (a) It requires the buyer to buy at a specific price for a specific time. (b) It is binding upon the buyer. (c) It is a bilateral contract. (d) It gives a buyer the right to purchase for a specified time at a specified price. - Correct Answer-(d) It gives a buyer the right to purchase for a specified time at a specified price. What is the legal term that is used to designate the transfer of rights in a contract from one party to another? (a) Revocation (b) Assignment (c) Renunciation

(d) Subordination - Correct Answer-(b) Assignment What type of contract exists when the court determines that a contract existed due to the actions of the parties? (a) Formal contract (b) Oral contract (c) Parol contract (d) Implied contract - Correct Answer-(d) implied Which of the following is an essential element of a valid and enforceable real estate sales contract? (a) At least one party must sign the agreement. (b) Offer and acceptance must be communicated by each party to the other. (c) The document must be prepared by an attorney. (d) The document must be under seal. - Correct Answer-(b) Offer and acceptance must be communicated by each party to the other. A seller wishes to net $140,000 from the sale of a property. Closing costs are estimated to be $3,600, and the broker will receive a 7% commission. What sales price will pay the expenses and meet the seller's net requirement? (a) $150, (b) $153, (c) $154, (d) $154,409 - Correct Answer-(d) $154, A buyer and seller entered into a Purchase and Sale Agreement. The buyer chose not to close and defaulted on the agreement. The seller claimed the escrow deposit. What type of damages can be sought? (a) Liquidated damages to the buyer (b) Unliquidated damages to the buyer (c) Liquidated damages to the seller

(d) Unliquidated damages to the seller - Correct Answer-(c) Liquidated damages to the seller Which of the following is correct regarding the "as is" provision in a sales contract? (a) Since the buyer has agreed to the "as is" provision, it is "buyer beware" because the seller does not have to disclose any defects. (b) The seller is still required to disclose all known defects that may materially affect the value of the property. (c) The "as is" provision helps to protect the broker from liability. (d) The buyer is required to have the property inspected, to ensure that there are no defects. - Correct Answer-(b) The seller is still required to disclose all known defects that may materially affect the value of the property. Which of the following statements is correct regarding the Statute of Frauds? (a) It requires all licensees to receive training in anti-fraud measures. (b) It requires certain contracts to be in written form to be enforceable in court. (c) It describes the time limit for the enforceability of written and oral contracts. (d) It is enforced by the Florida Real Estate Commission and the Department of Business and Professional Regulation. - Correct Answer-(b) The seller is still required to disclose all known defects that may materially affect the value of the property. An option contract is a unilateral contract that is binding upon which party? (a) Buyer (b) Grantee (c) Optionor (d) Optionee - Correct Answer-(c) Optionor Which of the following would be a valid remedy for breach of a purchase and sale contract? (a) Sue for damages (b) File an Escrow Disbursement Order

(c) Make a claim on the Recovery Fund (d) File a complaint with FREC against the licensee - Correct Answer-(a) Sue for damages Offers may be terminated by all of the following, EXCEPT: (a) Acceptance (b) Rejection (c) Withdrawal (d) Breach - Correct Answer-(d) Breach Which of the following list of actions contain valid ways that a contract could be terminated? (a) Performance, Rejection of the offer, or Renunciation (b) Breach, Performance, or Lapse of time (c) Assignment, Abandonment, or Breach (d) Consideration, Performance, or Revocation - Correct Answer-(b) Breach, Performance, or Lapse of time the type of listing given to only one broker but which allows the owner to sell the property without paying the broker is an ___________________________ Listing (a) Net (b) Open (c) Exclusive (d) Exclusive Right of Sale Listing - Correct Answer-(c) Exclusive an owner must be given a copy of a written listing within ___________hours. (a) 72 (b) 24 (c) 36 (d) 48 - Correct Answer-(b) 24 the type of listing that gives the broker the greatest degree of protection is the ________________________ ___________ ___________ _____________ listing

(a) Net Listing (b) Exclusive Listing (c) Exclusive Rights of Sale (d) Open Listing - Correct Answer-(c) Exclusive Rights of Sale when a court is called upon to interpret the meaning of a contract the process is called

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(a) building (b) construction (c) renovating (d) exterminating - Correct Answer-(b) construction damages specified in a contract are ________________________ damages (a) obstructive (b) illegal (c) harmful (d) liquidated - Correct Answer-(d) liquidated when a contract has not yet been fully performed is an _______________________________ contract. (a) exclusive (b) executed (c) executory (d) expedited - Correct Answer-(c) executory a contact wholly in writing may be enforced for ___________ years , as specified by the

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(a) Five; Statute of Limitations (b) Six; Statute of Limitions (c) Five; Statute of Promises (d) Four; Statute of consideration - Correct Answer-(a) Five; Statute of Limitations Oral real estate sales contracts are considered to be ___________________ but are not ____________________________. (a) exclusive; enforceable

(b) invalid; enforceable (c) valid; enforceable (d) inclusive; valid - Correct Answer-(c) valid; enforceable valuable consideration in a contract may consist of ____________________ property, _______________________ property or _____________________ _________________________. (a) real, limitation or enforceable liquidation (b) real, necessary or valuable premises (c) real, personal or enforceable promises (d) real, personal or enforceable liquidation - Correct Answer-(c) real, personal or enforceable promises the parties to a real estate sales contract are ___________________, who is the seller and the _________________________ who is the buyer. (a) Lessor and Lessee (b) Mortgagor and Mortgagee (c) Lendor and Lendee (d) Vendor and Vendee - Correct Answer-(d) Vendor and Vendee witnesses on a real estate contract are___________________ (a) very necessary (b) not necessary (c) legally necessary (d) legally valuable - Correct Answer-(b) not necessary To be valid, an option must be accompanied by a __________________________ ____________________________ __________________________. (a) necessary equitable promises (b) definite valuable consideration (c) definite personal consideration (d) contract for deed - Correct Answer-(b) definite valuable consideration the parties to an option are the ________________________, who is the owner of the property, and the _______________________, who is the potential purchaser (a) vendor and vendee

(b) buyer and buyee (c) lessor and lessee (d) optionor and optionee - Correct Answer-(d) optionor and optionee an option not accompanied by a definite valuable consideration is

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(a) suspended (b) guarantee (c) void (d) retracted - Correct Answer-(c) void with a contract for deed, a vendee has acquired ____________________ ______________________ in the property prior to closing. (a) equitable title (b) options contract (c) exclusive buyer (d) showing agreement - Correct Answer-(a) equitable title