California Real Estate Exam 2024 - Questions With Answers

California State sales tax applies to: a. food products. b. real property. c. tangible property. d. all of the above. {Ans: c. tangible property. Tax is imposed upon retailers for sales of tangible personal property at retail. Items typically exempt are: food, drugs, certain necessities, and property subject to excise tax—liquor and gasoline.}In a subdivision, which of the following would NOT be a blanket encumbrance? a. Trust Deed b. Subdivision lot improvement assessment c. Mechanic's lien d. None of the above {Ans: b. Subdivision lot improvement assessment Would be levied against each and every lot in the subdivision separately.}"The right of one or more persons to possess and use something to the exclusion of others" describes: a. discrimination. b. novation. c. ownership. d. equity. {Ans: c. ownership.}8. The owner of a large apartment complex was considering adding another swimming pool. An appraiser hired to do a study for the owner would use what basic principle of appraising to determine the feasibility of adding the pool? a. Substitution b. Competition c. Contribution d. Appreciation {Ans: c. Contribution Would the addition of the pool contribute to the rent schedule?}In the event there is an encroachment on another's property,