OKRES - Oklahoma Real Estate Salesperson Exam

Question 21: Two parties sit down and state all the terms of their agreement in a written document they both sign, spelling out their intentions in words. A contract formed this way, rather than inferred from conduct, has a specific classification. Which term applies?

An implied contract

A unilateral contract

An express contract

A voidable contract

Question 22: In a real estate sales contract, the seller promises to convey title and the buyer promises to pay the price, so each party exchanges a promise for the other's promise. Based on the number of promises exchanged, how is such a contract classified?

A bilateral contract

A unilateral contract

An option contract

An executed contract

Question 23: A purchase agreement has been signed, but the closing has not yet occurred and the parties still have obligations remaining to be performed before title passes. Based on the state of performance, how is this contract best classified at this point?

An executed contract

A void contract

A unilateral contract

An executory contract

Question 24: A seller receives a buyer's written offer, then responds by changing the price and the closing date before signing. This response changes the terms rather than accepting them as written. What is the legal effect of the seller's response on the original offer?

It accepts the original offer

A counteroffer rejecting the original

It has no legal effect

It binds the buyer immediately

Question 25: For a contract to be binding, each party must give something of legal value that induces the other to enter the agreement, such as money, a promise, or a transfer of rights. What is this something of value called in contract law?

Consideration

A contingency

An acknowledgment

Liquidated damages

Question 26: A buyer and seller reach an oral agreement to sell a house, but nothing is put in writing. The seller later backs out. A legal doctrine generally makes certain contracts, including real estate sales, unenforceable unless written. What is this doctrine called?

The parol evidence rule

The doctrine of laches

The statute of frauds

The doctrine of estoppel

Question 27: When submitting an offer, a buyer includes a deposit to show good faith and commitment to the purchase, which the broker holds in trust pending the outcome of the transaction. What is this good-faith deposit accompanying an offer commonly called?

A discount point

Earnest money

A commission advance

A transfer fee

Question 28: A sales contract states that if the buyer defaults, the seller may keep the earnest money as the agreed, predetermined amount of compensation, and both parties accept this figure in advance. What is this pre-agreed sum for a breach commonly called?

Liquidated damages

Specific performance

Punitive damages

Compensatory rescission

Question 29: A seller who signed a valid contract refuses to convey a unique historic property, and the buyer does not want money damages but wants the actual house. The buyer asks a court to compel the seller to complete the sale. Which remedy is the buyer seeking?

Liquidated damages

Rescission

Specific performance

A novation

Question 30: A purchase contract states that the sale will proceed only if the buyer obtains mortgage financing at a stated rate within thirty days, and if not, the buyer may cancel. This condition that must be met is a standard contract feature. What is it called?

A counteroffer

A contingency

A novation

An acknowledgment

Question 31: With the consent of all parties, an existing contract is replaced with an entirely new one, and the original agreement is extinguished, or a new party is substituted so the original party is released. What is this substitution of a new contract or party called?

An assignment

A contingency

A rescission

A novation

Question 32: A buyer under a purchase contract transfers her rights and interest in that contract to a third party, who steps into the buyer's shoes, though the original buyer may still remain secondarily liable. What is this transfer of contract rights commonly called?

An assignment

A novation

A rescission

A counteroffer

Question 33: For a fee, a prospective buyer secures the right to purchase a property at a set price any time within the next six months, but is under no obligation to buy. The seller must hold the property available during that period. Which contract is this?

A land contract

A listing agreement

An option contract

A net listing

Question 34: A contract includes a clause stating that time is of the essence, so that the dates set for performance are strict deadlines and a party who performs late is in breach. What does inclusion of this clause mean for the parties' deadlines?

Deadlines are merely suggestions

Either party may extend freely

Late performance is excused automatically

The stated deadlines are strictly enforced

Question 35: A buyer takes possession of a home and makes monthly installment payments directly to the seller, who keeps legal title until the full price is paid, at which point the deed is delivered. What is this seller-financed arrangement commonly called?

A land contract

An option contract

A net listing

A novation

Question 36: A seller signs a listing under which the listing broker earns a commission if the property sells during the term, no matter who finds the buyer, even the seller. This gives the broker the strongest protection of any listing type. Which listing is this?

An open listing

A net listing

An exclusive agency listing

An exclusive right-to-sell listing

Question 37: A seller gives one broker the exclusive right to represent the property, but reserves the right to sell it herself without paying a commission if she personally finds the buyer. Which listing type reserves this specific right to the owner?

Exclusive right-to-sell listing

Open listing

Exclusive agency listing

Net listing

Question 38: A seller signs nonexclusive agreements with several brokers at once, promising to pay only the one who actually produces the buyer, and reserving the right to sell the property himself without paying anyone. Which type of listing does this describe?

An exclusive right-to-sell listing

An exclusive agency listing

A net listing

An open listing

Question 39: A broker proposes a listing under which the seller receives a set amount and the broker keeps everything above that figure as compensation. Because it invites conflicts of interest, this arrangement is discouraged or prohibited in many states. Which listing type is this?

A net listing

An open listing

An exclusive right-to-sell listing

A buyer representation agreement

Question 40: A homebuyer wants a broker to represent his interests, negotiate on his behalf, and owe him fiduciary duties while he searches for a property to purchase. The buyer and broker sign a written agreement to establish this. What is this agreement called?

A listing agreement

A net listing

A buyer representation agreement

An option contract

OKRES Oklahoma Real Estate Salesperson Exam - Set 4 - Part 2

Question 21: Two parties sit down and state all the terms of their agreement in a written document they both sign, spelling out their intentions in words. A contract formed this way, rather than inferred from conduct, has a specific classification. Which term applies?

Question 22: In a real estate sales contract, the seller promises to convey title and the buyer promises to pay the price, so each party exchanges a promise for the other's promise. Based on the number of promises exchanged, how is such a contract classified?

Question 23: A purchase agreement has been signed, but the closing has not yet occurred and the parties still have obligations remaining to be performed before title passes. Based on the state of performance, how is this contract best classified at this point?

Question 24: A seller receives a buyer's written offer, then responds by changing the price and the closing date before signing. This response changes the terms rather than accepting them as written. What is the legal effect of the seller's response on the original offer?

Question 25: For a contract to be binding, each party must give something of legal value that induces the other to enter the agreement, such as money, a promise, or a transfer of rights. What is this something of value called in contract law?

Question 26: A buyer and seller reach an oral agreement to sell a house, but nothing is put in writing. The seller later backs out. A legal doctrine generally makes certain contracts, including real estate sales, unenforceable unless written. What is this doctrine called?

Question 27: When submitting an offer, a buyer includes a deposit to show good faith and commitment to the purchase, which the broker holds in trust pending the outcome of the transaction. What is this good-faith deposit accompanying an offer commonly called?

Question 28: A sales contract states that if the buyer defaults, the seller may keep the earnest money as the agreed, predetermined amount of compensation, and both parties accept this figure in advance. What is this pre-agreed sum for a breach commonly called?

Question 29: A seller who signed a valid contract refuses to convey a unique historic property, and the buyer does not want money damages but wants the actual house. The buyer asks a court to compel the seller to complete the sale. Which remedy is the buyer seeking?

Question 30: A purchase contract states that the sale will proceed only if the buyer obtains mortgage financing at a stated rate within thirty days, and if not, the buyer may cancel. This condition that must be met is a standard contract feature. What is it called?

Question 31: With the consent of all parties, an existing contract is replaced with an entirely new one, and the original agreement is extinguished, or a new party is substituted so the original party is released. What is this substitution of a new contract or party called?

Question 32: A buyer under a purchase contract transfers her rights and interest in that contract to a third party, who steps into the buyer's shoes, though the original buyer may still remain secondarily liable. What is this transfer of contract rights commonly called?

Question 33: For a fee, a prospective buyer secures the right to purchase a property at a set price any time within the next six months, but is under no obligation to buy. The seller must hold the property available during that period. Which contract is this?

Question 34: A contract includes a clause stating that time is of the essence, so that the dates set for performance are strict deadlines and a party who performs late is in breach. What does inclusion of this clause mean for the parties' deadlines?

Question 35: A buyer takes possession of a home and makes monthly installment payments directly to the seller, who keeps legal title until the full price is paid, at which point the deed is delivered. What is this seller-financed arrangement commonly called?

Question 36: A seller signs a listing under which the listing broker earns a commission if the property sells during the term, no matter who finds the buyer, even the seller. This gives the broker the strongest protection of any listing type. Which listing is this?

Question 37: A seller gives one broker the exclusive right to represent the property, but reserves the right to sell it herself without paying a commission if she personally finds the buyer. Which listing type reserves this specific right to the owner?

Question 38: A seller signs nonexclusive agreements with several brokers at once, promising to pay only the one who actually produces the buyer, and reserving the right to sell the property himself without paying anyone. Which type of listing does this describe?

Question 39: A broker proposes a listing under which the seller receives a set amount and the broker keeps everything above that figure as compensation. Because it invites conflicts of interest, this arrangement is discouraged or prohibited in many states. Which listing type is this?

Question 40: A homebuyer wants a broker to represent his interests, negotiate on his behalf, and owe him fiduciary duties while he searches for a property to purchase. The buyer and broker sign a written agreement to establish this. What is this agreement called?

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