Business & LicensingQuestion 413 of 690
What is the key difference between a Responsible Managing Employee (RME) and a Responsible Managing Officer (RMO)?
a.An RME must own at least 51 percent of the business
b.Only an RMO is required to pass the licensing examinations
c.An RME may qualify an unlimited number of licenses
d.An RMO is an officer or owner of the business; an RME is a bona fide employee
Explanation
Under §7068, an RMO is a responsible managing officer or owner of the licensed business, while an RME is a bona fide full-time employee who qualifies the license. An RME may qualify only one active license at a time.
Law Reference: Bus. & Prof. Code §7068Practice all 690 questions free — no signup required.
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