RECA Fundamentals Exam Questions and Answers Already Passed

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RECA Fundamentals Exam Questions and Answers Already Passed Which of the following is NOT a RECA educational resource for industry professionals? ✔✔Spatial Information System (Spin 2) Which en... tity has the authority to amend the Real Estate Act ✔✔Provincial Legislature Which of the following measures the change in a cost of a fixed basket of goods and services purchased by families over a period of time ✔✔Consumer Price Index (CPI) Which of the following will occur to the supply of a good when there is a change in quantity supplied due to a price increase? ✔✔an increase in quantity supplied Microeconics ✔✔studies the basic theories of supply and demand as it relates to individuals, households and firms Resource Markets ✔✔facilitate the exchange of factors of production What causes the quantity demanded to shift? ✔✔change in tastes, expectations, and number of consumers benefits of economic growth ✔✔depletion of natural resources Real Property Report ✔✔document produced by Alberta Land Surveyor Which of the following is not a non-price determinant of demand ✔✔cost of production What type of economy does Canada have? ✔✔mixed economy Benefits of RECAS trust assurance and practice review program ✔✔- effective record keeping and administrative procedures - education and advice in relation to brokerage trust accounting - identifies and resolves potential problems regarding brokerage trust accounting requirements Responsibilities of RECA ✔✔- Handling professional conduct review - establishing industry standards of practice - issuing authorization to trade in real estate Four factors of production ✔✔land, labor, capital, entrepreneurship RECA provides the following annual reports ✔✔- financial reports - industry statistics - reports for the previous year The structure of real estate in Alberta includes; ✔✔- local real estate boards - alberta real estate association - canadian real estate association Referral definition ✔✔The act of recommending or directing a person for service to another person or business - brokerage is responsible for paying and receiving remuneration in connection to trade RECAS professional conduct review Objects ✔✔- gather all relevant information - treat parties fairly -gather information efficiently Amendments to the Act ✔✔- can be made by provincial legislature with recommendations by the Minister of Service Alberta Amendments to the rules ✔✔The rules contain the day to day activities - council has the authority to create and amend Executive Director can suspend license ✔✔- determines the length of suspension - serves the decision on the industry professional - will consider the evidence when making the decision Whats includes in written service agreements? ✔✔- the services to be provided by the brokerage - the responsibilities of each party to the agreement - the names of the parties to the agreement failure to immediately notify Executive Director of changes to information provided in support of license results in: ✔✔- Exec. Director may refer the matter for a professional conduct review - Exec. Director may suspend industry professionals license - Exec. director may cancel the industry professionals license How long is license valid if not registered with brokerage? ✔✔36 months Levels of Disclosure ✔✔1. other party represented by another brokerage 2. other party not represented 3. other party represented by same brokerage Designated Agency vs Common law ✔✔Designated Agency - relationship with individual instead of brokerage - conflict of interest only if agent has an interest in property Common Law - agency relationship exists - conflict of interest extends to whole brokerage - must be disclosed Inducement vs incentives ✔✔- Inducement is client specific - incentives must be offered by brokerage to everyone If industry professional withdraws from profession during disciplinary proceedings ✔✔- RECA issues a news release - all disciplinary proceedings terminated - lifetime ban from all industry professions governed by RECA Advisory Notes ✔✔Technical breach of legisl [Show More]

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