Question

Marie, an affiliate broker, wants to offer a free hot tub as an inducement to purchase...

Marie, an affiliate broker, wants to offer a free hot tub as an inducement to purchase a listed property. If her broker approves, which of the following must not be disclosed when she advertises the hot tub?

A) The time and place of delivery
B) The cost of the hot tub
C) Accurate specifications of the hot tub
D) The fair market value of the hot tub

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Answer #1

Answer: B

The cost of free-gift must not be disclosed, since such cost is completely internal and it has no connection with a purchaser.

Apart from this all the other options should be fulfilled – delivery schedule, specification, and the market value of the free-gift should be disclosed, since these are parts of the contract.

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