The California Real Estate Reference book has some sample questions to illustrate what their salesperson covers. See how you do.

All test items in the real estate exams are multiple-choice. While the examinee may feel that more than one answer has some element of correctness, the examinee must be able to eliminate the incorrect responses and choose the correct answer.

Q and A Analysis

The following analyses illustrate the proper approach to exam questions:


Under no circumstances may a broker:

(a) receive a commission from both buyer and seller

(b) appoint a subagent

(c) misrepresent material facts

(d) sell the principal’s property to a relative.


(a) is incorrect. A broker may receive a commission from both parties provided both buyer and seller have knowledge of the arrangement.

(b) is incorrect. A broker may get prior consent from the principal to appoint other brokers as subagents to cooperate in selling the property.

(c) is correct. A material misrepresentation is a violation of law.

(d) is incorrect. The broker may sell to any purchaser provided the principal has full knowledge.


A valid bill of sale must contain:

(a) a date

(b) an acknowledgment

(c) the seller’s signature

(d) a verification.


(a) is incorrect. Although a date is advisable, it is not required.

(b) is incorrect. The law does not require an acknowledgment.

(c) is correct. A bill of sale is an instrument which has been executed (signed) and delivered to convey

title to personal property.

(d) is incorrect. Verification means to confirm the correctness of an instrument by an affidavit or oath. Verification may be desirable but not required.

Examinees should be alert for questions phrased in the negative: e.g., “All of the following statements are correct, except;” or, “which of the following are not …?” In the following sample question, three of the responses would be correct. However, the answer called for is the incorrect statement.


A valid deed must contain all of the following, except:

(a) the signature of the grantor

(b) a granting clause

(c) an adequate description of the property

(d) an acknowledgment of the grantor’s signature.


(a) is a correct statement. The grantor is the person who conveys title to another and without the grantor’s signature title will not pass.

(b) is a correct statement. The granting clause is necessary to evidence the intent of the grantor.

(c) is a correct statement. The property being transferred must be described so the grantor knows exactly what property is being conveyed to the grantee.

(d) is the incorrect statement. An acknowledgment is necessary for recordation but is not required to make the deed valid.

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