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Practice Of Real EstateLicense LawMEDIUM

An office manager in Cary is reviewing record retention, transaction files, and trust records. Which statement is NOT accurate under current North Carolina law?

Correct Answer

D) The Commission must subpoena records before a broker has any duty to provide them.

This choice is the inaccurate statement. The other three options describe the current North Carolina rule or guidance more accurately.

Answer Options
A
The BIC is expected to review and supervise records sufficiently to detect shortages, commingling, or other compliance failures.
B
Record retention serves consumer protection and auditability, not just tax bookkeeping.
C
An audit trail requires records that allow a reviewer to follow money and documents from receipt through deposit, disbursement, and closing.
D
The Commission must subpoena records before a broker has any duty to provide them.

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Why the Other Options Are Wrong

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Related Topics & Key Terms

Key Terms:

NOT accurate question formatBIC supervisory dutyaudit trailconsumer protectionNCREC subpoena myth
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