Humber/Ontario Real Estate Course 1 Exam Practice

Which of the following is NOT correct regarding broker of record responsibilities?

1. The broker of record can designate the office manager to sign trust account cheques

2. The broker of record must sign monthly trust reconciliations

3. The broker of record must actively manage the brokerage

4. The broker of record must submit certified financial statements if required by the Registrar

5. The broker of record can delegate duties to other brokerage staff

6. The broker of record must comply with all statutory obligations

The correct answer is: The broker of record can designate the office manager to sign trust account cheques

The correct answer is A. The statement "The broker of record can designate the office manager to sign trust account cheques" is not correct regarding broker of record responsibilities. In reality, the broker of record is the only individual authorized to sign trust account cheques, and this responsibility cannot be delegated to the office manager or any other staff member. The broker of record holds the ultimate responsibility for the handling of trust funds and financial matters within the brokerage. As for the other options: - Option B is correct because the broker of record is responsible for signing monthly trust reconciliations to ensure the accuracy and transparency of financial transactions. - Option C is correct as the broker of record is required to actively manage the brokerage, including overseeing staff, operations, and compliance with regulations. - Option D is correct as the broker of record must submit certified financial statements if requested by the Registrar to demonstrate financial compliance. - Option E is correct as the broker of record can delegate certain duties to other brokerage staff, but not the signing of trust account cheques. - Option F is correct as the broker of record must comply with all statutory obligations to operate the brokerage within the legal framework.