A property manager receipts $1,800 cash rent on Tuesday and locks it in the office safe for the agency's usual Friday banking run. Is this compliant, assuming Wednesday banking was practicable?
Correct Answer
B) No, it had to be banked before the end of Wednesday
Section 24 of the Property and Stock Agents Regulation 2022 requires trust money to be paid into the trust account before the end of the next business day after the day it is received, if practicable, or otherwise as soon as practicable after that. Money received on Tuesday should have been banked by the end of Wednesday.
Why This Is the Correct Answer
The next business day after Tuesday is Wednesday, and banking then was practicable.
Why the Other Options Are Wrong
Background Knowledge for Finance Taxation
Exam Tip for Finance Taxation
Common Mistakes to Avoid on Finance Taxation Questions
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