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Course 1 Chapter One
|A registrant must complete RECO's continuing education program requirements within his or her first two-year registration period.
|False - Registrants are exempted from continuing education during the initial two-year registration cycle
|Needs and wants, from a marketing perspective, are essentially the same.
|False - A need is something required; a want is something desired.
|A deposit received from a buyer is typically deposited in the listing brokerages's trust account.
|True - MOST transactions are handled in this manner.
|Inflation can be impacted to some degree through government manipulation of interest rates.
|True - The Bank of Canada can affect inflation through interest rate manipulation, while acknowledging that many other economic factors and forces also come into play.
|The law focuses on the right to do something, while ethics focuses on the right thing to do.
|True - Ethics extends beyond legal rights into fundamental principles underlying right and wrong.
|The useable area is larger than the rentable area, according to BOMA measurement guidelines.
|False - The useable area is smaller.
|The four P's of marketing apply to real estate brokerages.
|True - The four P's are adaptable to many different business situations, including selling and leasing of real estate. (price, product, promotion, & place)
|A 150-unit condominium building could be a target market.
|True - A condominium building is a geographically-based target market.
|When fire insurance is adjusted, the buyer is responsible for the completion day.
|False - No adjustment is made for fire insurance. The buyer must secure his or her own coverage.
|TDS ratios typically range between 28% and 32%
|False - TDS ratios typically rage between 37% and 40%
|OREA is RECO's designate for the delivery of pre-registration course
|True - OREA is also the designate for a segments.
|A claim of $110,000 under the commission protection coverage of the RECO Insurance Program would exceed the policy's per claim limit.
|True - The claim would exceed the current $100,000 limit.
|Unregistered assistants can be involved in the trading of real estate.
|False - Unregistered assistants cannot in any way be involved with trading (as defined in REBBA 2002).
|Lack of financial responsibility can be a valid reason to refuse an application for registration.
|True - The determination regarding financial responsibility is made by the Registrar.
|RECO oversees a national code of ethics.
|False - RECO oversees a provincial code of ethics set out in REBBA 2002. Reminder: The widely-recognized national code is the REALTOR Code of Ethics, which only applies to members of organized real estate.
|Rentable area is generally described as the interior office area of a particular rental unit.
|False - Rentable area is the interior office area, plus an additional allocation for common areas.
|Under the RCI process, breaches of the Code of Ethics are referred to the ethics committee.
|False - Ethics breaches are referred to the discipline committee.
|Standing committees at RECO report to the Registrar.
|False - Standing committees report to the RECO Board of Directors.
|Brokerages sell only tangible products.
|False - Brokerages sell both tangible products (e.g., houses) and intangible services (e.g., marketing services to sell houses).
|All mortgage interest must be calculated either semi-annually or annually.
|False - the Interest Act only requires that blended mortgages (not all mortgages) be calculated in this manner.
|Most, but all registrants, are members of organized real estate.
|True - Approximately 85% of Ontario registrants are members of local real estate boards. The percentage can vary from year to year.
|Standing committees at RECO report to the Registrar
|False - Standing committees report to the RECO Board of Directors
|Marketing opt out provisions are normally associated with direct print mailings.
|False - Opt out provisions are normally associated with internet and email marketing
|A 2,600 Square Foot house has approximately 242 Square Meters. (1sf = .093m2)
|True - The square meters is 241.8 2600 x .093