Deck #3

Question 1

T/F: appraisal review requires the reviewer to prepare a separate report setting forth the scope of work performed and the assignment results of the appraisal review.

Answer 1

True

Question 2

An appraisal review can be a two stage process. What can the two stages be?

Answer 2

the review plus a value opinion by the reviewer

Question 3

Appraisal review

Answer 3

the process of developing an opinion about the quality of another appraiser’s work

Question 4

What are 5 areas a reviewer will analyze in a report?

Answer 4

1. completeness
2. accuracy
3. adequacy
4. relevance
5. reasonableness

Question 5

An appraiser was asked by his neighbor to look over a report a bank appraiser performed on his property. After reading, the appraiser informed his neighbor the report was adequately supported. What has the appraiser done?

Answer 5

an appraisal review that must comply with STANDARDS 3 and 4, and other portions of USPAP such as record keeping.

Question 6

When an appraiser reviews another’s work, what must the reviewer do?

Answer 6

prepare a separate report setting forth the scope of work and the results

Question 7

An appraiser reviewed and co-signed a report. What USPAP Standards does the appraiser’s work fall under

Answer 7

STANDARDS 1 and 2

Question 8

What might be subject to an appraisal review?

Answer 8

some of all of an appraiser’s work performed as part of an appraisal or review

Question 9

According to STANDARD 3, what process does the appraiser follow in a review assignment?

Answer 9

appraisal review development process

Question 10

Can an appraiser review only the workfile of another appraiser’s work?

Answer 10

Yes, the workfile can be reviewed separately

Question 11

The reviewer must conduct an appraisal review in the context of market conditions applicable of the ____

Answer 11

effective date of the value opinion in the report under review

Question 12

When a reviewer agrees or concurs with the real property value opinion of the appraiser’s work being reviewed, the reviewer_____

Answer 12

has also performed an appraisal that must comply with STANDARD 1

Question 13

An appraisal review must state all of the following EXCEPT:
A) the purpose of the appraisal review
B) the scope of work identified
C) the intended use
D) the intended users

Answer 13

B) the scope of work identified in the appraisal report under review

Question 14

Each written or oral appraisal review must be separate from _____

Answer 14

the work under review

Question 15

If any portion of a review involved assistant from another appraiser, the reviewer must ____

Answer 15

state the extent of that assistance in the review report

Question 16

The content of an appraisal review report must be consistent with___

Answer 16

the intended use of the appraisal review

Question 17

A client asked an appraiser to perform a review for a property in a different state. The appraiser has no knowledge of that market. What type of review could the appraiser perform that would comply with USPAP?

Answer 17

he could determine whether of not the appraisal report under review complies with client-identified requirements

Question 18

A Fannie Mae report completed by a supervisory appraiser on a real property assignment. How does USPAP identify the work of the supervisor?

Answer 18

an appraisal that must comply with STANDARDS 1 and 2

Question 19

According to STANDARD 3, what process does the appraiser follow in a review assignment?

Answer 19

appraisal review development process

Question 20

A reviewer may use information that was not available to the original appraiser as long as the information is not ____

Answer 20

use to discredit or impeach the original appraiser’s opinions and conclusions

Question 21

The reviewer must state in the written review the report date of the work under review, and the effective date of the opinions and conclusions in the work. What other date must be stated?

Answer 21

the date of the appraisal review report

Question 22

T/F: The reviewer is NOT required to have and retain a workfile for the prescribed period.

Answer 22

False

Question 23

Mass Appraisal

Answer 23

the process of valuing a universe of properties as of a given date using standard methodology, employing common data, and allowing for statistical testing

Question 24

Mass Appraisal Model

Answer 24

a mathematical expression of how supply and demand factors interact in a market

Question 25

Besides tax assessment, what may mass appraisals be used for?

Answer 25

eminent domain of an entire town, a large group of properties subject to an environmental issue, and the valuation of a subdivision located in a flood plain

Question 26

What appraisal disciplines does STANDARDS 5 and 6 cover?

Answer 26

the development and reporting of mass appraisal

Question 27

A mathematical expression of how supply and demand factors interact in a market best describes_____

Answer 27

mass appraisal model

Question 28

The requirement to include a signed certification in written reports is found in which appraisal discipline?

Answer 28

all disciplines covered by standards 1-10

Question 29

T/F: a mass appraisal may be prepared with or without computer assistance.

Answer 29

True

Question 30

In standards rule 5-3, trade level, of wholesale levels of trade, is a market reference used in______

Answer 30

personal property appraising

Question 31

personal property

Answer 31

tangible or intangible article that is subject to ownership and not classified as real property, such as artwork, antiques, gems and jewelry and electronic things such as emails

Question 32

A prohibition on the use of a machine in a particular location best describes what aspect of personal property valuation?

Answer 32

an encumbrance

Question 33

Which reporting options are available when performing a personal property appraisal?
A: Restricted Appraisal Report
B: Oral and Mass appraisal reports
C: Appraisal Report
D: All these answers

Answer 33

D: all the answers

Question 34

When appraising personal property, the appraiser must analyze prior sales of the subject over what time period, assuming its relevance to the intended use of the appraisal and property type?

Answer 34

a reasonable and applicable time

Question 35

T/F: In developing a personal property appraisal based on market value, an appraiser must analyze the highest and best use of the personal property.

Answer 35

False

Question 36

business enterprise

Answer 36

an entity pursuing an economic activity

Question 37

business equity

Answer 37

the interests, benefits, and rights inherent in the ownership of a business enterprise or a part thereof in any form

Question 38

intangible property

Answer 38

non-physical assets such as trademarks, patents securities

Question 39

In the development of a business appraisal, the appraiser is concerned about whether the ownership interest is ____

Answer 39

controlling or non-controlling in the business enterprise

Question 40

What certification statement is missing from Standard 10-3 compared to 2-3?

Answer 40

There is no certification about whether the appraiser has inspected the property

Question 41

A written business appraisal report must be prepared in accordance with which two options?

Answer 41

Appraisal report or restricted appraisal report