CompuCram Simulated Exam #1 || A Verified A+ Pass.
employees or independent contractors.
These are the two possible IRS categories. If the salesperson is hired under a contract, paid based
on sales, and given an IRS 1099 at year end, the salesperson is an independent contractor. If the salesperson is paid a salary, required to put in a set number of hours in the office, have taxes taken out of their paycheck, and receives an IRS form W-2 at year end, then the salesperson is an
employee. correct answers Real estate salespeople, who are employed by a real estate broker, will be categorized by the IRS in one of two ways. They are:
dual agency with designated agents.
Designated agency occurs when one salesperson represents the buyer and another salesperson from the same firm represents the seller. In this designated agency arrangement, the broker is the dual agent. correct answers Two non-management level licensees (both working for the same broker) are representing opposing sides of a transaction. This best describes
Tom violated the law by not providing disclosure of information that would affect Fred.
Tom had duties of loyalty and disclosure to his client and must inform Fred of the information, regardless of the listing price. correct answers Executor Fred calls agent Tom to list a vacant tract of land, instructing him to list the land for $700,000. Several weeks later, agent Tom becomes aware of a developer who would pay as much as $1,000,000 for the property. Tom thereupon submits a full-price offer to the owner and purchases the property. Tom then resells the property to the developer and pockets a $300,000 profit. Which one of the following statements is correct?
a commission.
A commission was earned (unless otherwise stated in the listing agreement) when the broker accomplished the work for which they were hired (in other words, brought about a meeting of the minds), and the seller accepted an offer from a ready, willing, and able buyer. correct answers John Smith, a sales agent with XYZ Realty, placed a home on the market for sale. John had an open house on Jan 1, 2022, which generated a cash offer for the home the same day. The buyer and seller agreed upon all terms on Jan 2, 2022. On January 3, the seller of the home informed John that they did not want to sell the home any longer. John Smith's broker is still entitled to
Jessica took them with her because they are part of her business.
Fixtures were once personal property that were permanently attached to the real estate. They become part of the real estate and may not be removed without written agreement. Trade fixtures, however, may go with the tenant, as they are necessary for the trade. correct answers Jessica rented an 1,800 square foot space for her beauty salon. What happened to Jessica's permanently attached sinks and mirrors when she vacated? broker lien law
In some states, an automatic lien attaches to the commercial property to secure the payment of the broker's commission. correct answers What law creates an automatic lien on a commercial property, subject to the listing agreement?
whether or not the property's buildings encroach on neighboring land
A location survey is not concerned with land use, size, or boundary. correct answers What can be
determined by a location survey?
$14,326.25
In addition to the New York State transfer tax, New York City imposes an additional transfer tax.
Any price over $500,000 would pay a NYC tax of 1.425 percent. New York State transfer tax: $785,,000 = 785; 785 x $4.00 = $3,140. New York City transfer tax: $785,000 x .01425 = $11,186.25. $11,186.25 + $3,140 = $14,326.25 total transfer tax. correct answers Beverly and Edward sold a condominium in Manhattan for $785,000. What was their total in transfer tax fees?
appurtenance
Chattel rights are personal property rights and are not associated with the sale of the real estate. Trade fixtures go with business tenants. Appurtenances are rights that go with the property, such as easements, littoral, or riparian rights. Fee simple has to do with the form of ownership, not the property. correct answers What rights go with the sale of property?
easement appurtenant
An easement in gross is given to utility companies. An easement by necessity is given to landlocked property owners. An easement appurtenant is used for right of ways through a servient property owner. There is no such thing as an easement in fee simple. correct answers Bill has a right of way through his neighbor's property. What type of easement would Bill receive?
licensed surveyor
Only the licensed surveyor is authorized to legally measure the land and create the legal description. correct answers Who sets the legal description?
easement appurtenant
The agreement probably took the form of an easement appurtenant. An easement appurtenant involves adjacent parcels that run with the land (permanently attached) so that subsequent owners are bound by it, and it passes with the land when conveyed. It is commonly referred to as
