Trust Funds
How often must a broker reconcile the trust fund bank account balance with the total of all client ledger balances?
ADaily
BMonthly✓ Correct
CQuarterly
DAnnually
Explanation
California DRE requires brokers to reconcile trust fund records at least monthly — comparing the bank statement balance, journal balance, and sum of all individual ledger balances to ensure they agree.
Related California Trust Funds Questions
- Under California law, a real estate broker must deposit trust funds received into the trust account no later than:
- Under California law, when must a broker deposit funds received from clients into the broker's trust account?
- Interest earned on funds held in a broker's trust account generally belongs to:
- A broker receives a commission payment directly from the seller at closing. This money should be deposited into:
- If a buyer instructs the broker to hold their uncashed check until offer acceptance, the broker should:
- A broker must maintain a separate trust account ledger for each:
- If a buyer's check for earnest money is made payable to the listing broker, and the buyer instructs the broker to hold the check uncashed until the offer is accepted, the broker should:
- A salesperson who works for Broker A receives an earnest money deposit. Without telling Broker A, the salesperson deposits it into the salesperson's own personal account. This is:
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