A Licensed Agent Must Be Diligent to Determine the Existing

question 59

Multiple Choice

A licensed agent must be diligent to determine the existing zoning and building regulations for the property that he wishes to sell. Which of the flowing would cause the fewest problems to the agent and his buyer?

• A) A home, which lies two feet outside the offset line, described on the deed.
• B) A conforming business that produces such noise and odors as to be an annoyance to a nearby neighborhood.
• C) A garage that was build by the seller without a building permit and slightly on his neighbor's lot.
• D) A multi-family apartment building that is a non-conforming use.

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Definitions:

Accounting Equation

The fundamental equation representing the relationship among assets, liabilities, and owner's equity: Assets = Liabilities + Owner’s Equity.

Creditor

An individual or entity that is owed money by another party, often in the context of loaning funds or issuing credit.

Liability

The financial liabilities or obligations a company is legally bound to settle, which emerge in the process of conducting its business activities.

Owner's Equity

The amount of ownership an individual or entity has in a company, represented by the assets minus liabilities and often seen as the owner's claim against the company's assets.