ContractsEarnest_money_and_escrowEASY
A property manager deposits tenant security deposits and collected rents into a separate custodial account rather than the manager's operating account. What kind of account is this?
Correct Answer
B) Trust account
Trust account is correct because the facts match a separate account used to hold money belonging to others, such as rents or security deposits, in accordance with law and agreement. That is the best description of the relationship, right, or legal concept tested here.
Answer Options
A
Liquidated damagesB
Trust accountC
Earnest money depositD
AccountabilityWhy This Is the Correct Answer
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Related Topics & Key Terms
Key Terms:
earnest_money_and_escrowleasingtrust_accountproperty_management
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