Ch. 6 _ Intermediary _ Quiz

7. In an intermediary transaction, if a broker appoints an associate to the seller, a. an associate also must be appointed to the buyer. b. the broker must take an appointment to the buyer. c. the same associate also must be appointed to the buyer. d. the broker must appoint someone from another firm to the buyer.

a. an associate also must be appointed to the buyer.

3. The major difference between the former statutory dual agency and the current intermediary status is that with intermediary status, a. appointed licensees can give advice and opinions. b. agents have the same restrictions as the broker. c. the broker can give advice and opinions. d. confidential information can be relayed.

a. appointed licensees can give advice and opinions.

2. Currently, the form of dual representation known as dual agency is a. not permitted by TRELA. b. permitted under statutory rules. c. encouraged by TREC. d. permitted under common law rules.

a. not permitted by TRELA

10. What occurs when an associate who has listed a property shows that same property to a buyer he also represents, and an intermediary transaction is agreed to? a. The associate may be appointed to both the seller and the buyer. b. The associate may be appointed to either the seller or the buyer. c. The associate may not be appointed to either the seller or the buyer. d. The associate may appoint another associate to work with the buyer.

b. The associate may be appointed to either the seller or the buyer.

9. A small company consists of a broker and one associate. During an intermediary transaction, the a. broker may be appointed to one party and the associate may be appointed to the other party. b. broker is prohibited from making appointments. c. associate may be appointed to both parties. d. broker may be appointed to both parties.

b. broker is prohibited from making appointments.

6. Broker Able's represented buyer wishes to negotiate on a property listed by broker Smith in a different firm. During this transaction, which broker(s) may act as an intermediary? a. Able b. Smith c. Neither Able nor Smith d. Both Able and Smith

c. Neither Able nor Smith

1. An associate of a broker, while working with a nonrepresented buyer, begins to give advice and opinions to the buyer during negotiations with a seller represented by the broker. MOST likely the broker has become a(n) a. single agent of the buyer. b. intermediary. c. undisclosed dual agent. d. facilitator.

c. undisclosed dual agent.

5. In a transaction involving appointed associates, which of the following is TRUE? a. Associates may be appointed to either the buyer or the seller. b. The broker may be appointed to the buyer, while an associate is appointed to the seller. c. Written notification of the intermediary transaction and the appointed associates must be given to both parties. d. Written notification and identification of the appointed associates must be given to both parties.

d. Written notification and identification of the appointed associates must be given to both parties.

8. Unintentional dual representation can occur when a. another broker acts as a subagent and represents the buyer. b. the listing broker represents both the buyer and seller. c. a licensee acts as a buyer or a seller. d. any of these takes place.

d. any of these takes place

4. If an intermediary situation arises, the broker may NOT disclose a. the highest price the buyer might pay, until authorized to do so in writing. b. the minimum price a seller will take, unless authorized to do so in writing. c. confidential information of either party, unless the parties authorize it or law requires disclosure. d. any of these.

d. any of these.