6 apquiz.docx

Real Estate Appraisal Instructor Materials Chapter 6 Quiz 1. A. B. C. D. 2. E. F. G. H. 3. I. J. K. L. 4. M. N. O. P. 5. Q. R. S. T. 6. Which of the following is an example of an interim use? A. B. C. D. 7. A property is changed to more restrictive z...

Real Estate Appraisal Instructor Materials Chapter 6 Quiz 1. A. B. C. D. 2. E. F. G. H. 3. I. J. K. L. 4. M. N. O. P. 5. Q. R. S. T. 6. Which of the following is an example of an interim use? A. B. C. D. 7. A property is changed to more restrictive zoning that prohibits its current use. The existing use is allowed to continue, but cannot be expanded or rebuilt. This is a/an: E. F. G. H. 8. An appraiser determines the amount of income attributable to the buildings on a property. She subtracts this from the total income to find the income attributable to the land, then uses a capitalization rate to convert this income into a value for the land. This is an example of the: I. J. K. L. 9. The sales comparison method of site valuation can be used if: M. N. O. P. 8 Chapter 6: Site Valuation 10\. The allocation method assumes that: A. B. C. D. A. B. C. D. 12\. The extraction method is used in order to: A. B. C. D. A. B. C. D. 14\. Which of the following is NOT needed as part of the land residual method? A. The total net income of the property B. C. D. 15\. The ground rent capitalization method can only be used when the: A. property has not been improved B. C. D. property has not been subdivided 9 Real Estate Appraisal Instructor Materials Answer Key -------- -- --------- -- 1\. B. 8\. B. 2\. D. 9\. A. 3\. B. 10\. C. 4\. B. 11\. A. 5 A. 6\. A. 12\. B. 7\. D. 13\. C. -------- -- --------- -- 10 Chapter 6: Site Valuation 14. B. To use the land residual method, an ap-praiser needs reliable estimates of the value of the improvements, the total net operating income of the property, and separate market capitalization rates for land and buildings. 15. C. The ground rent capitalization method is based on the rent paid by a tenant who has a ground lease on the proper-ty, which is a long-term lease in which the tenant leases land and constructs buildings on it.