Indiana Real Estate Broker Practice Exam

The correct answer hinges on the requirement that all real estate advertisements must clearly identify the responsible broker. In Indiana, real estate advertising must include the name of the principal broker or the firm they are affiliated with to ensure transparency and compliance with regulatory standards. By omitting this crucial information in an advertisement, as seen in the scenario where an ad appeared in a church newsletter without the broker's name, the licensee fails to meet the legal requirements set forth in real estate law.

This requirement is designed to protect consumers by ensuring that they know whom they’re dealing with when it comes to real estate transactions. It helps in building trust and accountability in the industry.

In contrast, the other options presented do not violate advertising requirements. Including a disclaimer about commissions is permissible as it provides necessary information to potential clients. Advertising through social media without a photo may not be the most appealing approach, but it doesn't breach any regulatory rules. Lastly, placing an ad in a local newspaper with the firm's name satisfies legal requirements and promotes the business effectively. Thus, the chosen answer is justified based on these advertising standards.