An Exclusive Right to Sell Listing Is Given to Broker

question 24

Multiple Choice

An exclusive right to sell listing is given to Broker Pardo, a sole owner, but Pardo dies prior to finding a buyer; the listing:

• A) passes to the estate of Pardo
• B) terminates
• C) continues if another broker buys the Pardo real estate office
• D) none of the above is correct

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Definitions:

Fixed Manufacturing Overhead

The portion of fixed costs that is directly associated with the production process, including salaries of managers and factory maintenance.

Predetermined Overhead Rate

An estimated charge used for cost allocation within a budget or accounting period, calculated by dividing the estimated manufacturing overhead costs by an allocation base.

Machine-Hours

A measure of production output or work, indicating the total time machines are operated.

Bill Of Materials

A document that shows the quantity of each type of direct material required to make a product.