Humber/Ontario Real Estate Course 2 Exam Practice

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Prepare for the Ontario Real Estate Exam with our comprehensive Humber Course 2 Exam Practice quiz. Engage with multiple choice questions and detailed explanations, designed to help you excel.

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Which statement regarding advertising promises and comparative claims by a brokerage is correct?

  1. A disclaimer must include the time period but not the source

  2. A salesperson cannot make comparative claims

  3. All advertising terms must be included in the advertisement

  4. A 'Commission as Low as 1%' claim requires proper disclosures

  5. Comparative claims need no supporting evidence

  6. Only numerical data can be used in comparative claims

The correct answer is: A 'Commission as Low as 1%' claim requires proper disclosures

The correct statement regarding advertising promises and comparative claims by a brokerage is that a 'Commission as Low as 1%' claim requires proper disclosures. This is crucial because advertising claims about low commissions can have a significant impact on consumers' decisions when choosing a brokerage. By requiring proper disclosures, it ensures transparency and protects consumers from misleading information. Proper disclosures in this context would include details about any conditions or limitations associated with the claim to provide consumers with a full understanding of the offer. This transparency is essential in maintaining the integrity of the real estate industry and upholding consumer trust. As for the other options: A. This statement is incorrect because a disclaimer should include both the time period and the source to provide complete information to consumers. B. While salespersons need to be cautious with comparative claims, they can make them as long as they are accurate and not misleading. It is not accurate to say they cannot make comparative claims at all. C. While all important terms should be included in advertisements, it is not always necessary to include every single term. The key is to ensure that important information is clearly communicated to consumers. E. Comparative claims should be supported by evidence to ensure they are accurate and not misleading. Therefore, stating that no supporting evidence is needed is incorrect. F. While numerical data can be powerful in comparative claims, other types of information can also be used as long as they are accurate and relevant to the comparison being made. The statement that only numerical data can be used is inaccurate.