USPAP Exam 138 Questions with Answer 2023,100% CORRECT

USPAP Exam 138 Questions with Answer 2023 value - CORRECT ANSWER The monetary relationship between properties and those who buy, sell, or use those properties. TAF - CORRECT ANSWER The Appraisal foundation AQB - COR ...

USPAP Exam 138 Questions with Answer 2023 value - CORRECT ANSWER The monetary relationship between properties and those who buy, sell, or use those properties. TAF - CORRECT ANSWER The Appraisal foundation AQB - CORRECT ANSWER appraisal qualifications board APB - CORRECT ANSWER Appraisal practice board Price - CORRECT ANSWER The amount asked, offered, or paid for a property Credible - CORRECT ANSWER worthy of belief cost - CORRECT ANSWER the amount required to create, produce, or obtain a property. Appraisal Practice - CORRECT ANSWER valuation services performed by an individual acting as an appraiser, including but not limited to appraisal and appraisal review. Appraisal Review - CORRECT ANSWER the act or process of developing an opinion about the quality of another appraiser's work that was performed as part of an appraisal or appraisal review assignment; of or pertaining to an opinion about the quality of another appraiser's work that was performed as part of an appraisal or appraisal review assignment. Appraiser - CORRECT ANSWER one who is expected to perform valuation services competently and in a manner that is independent, impartial, and objective. Client - CORRECT ANSWER The party or parties who engage, by employment or contract, an appraiser in a specific assignment. Confidential Information - CORRECT ANSWER information that is either: 1. identified by the client as confidential when providing it to an appraiser and that is not available from any other source; or 2) classified as confidential or private by applicable law or regulation. Extraordinary Assumption - CORRECT ANSWER estimated length of time that the property interested being appraised would have been offered on the market prior to the hypothetical consummation of a sale at market value on the effective date of the appraisal. Hypothetical Condition - CORRECT ANSWER a condition, directly related to a specific assignment, which is contrary to what is known by the appraiser to exist on the effective date of assignment results but is used for the purpose of analysis. Scope of work - CORRECT ANSWER they type and extent of research and analyses in a n appraisal or appraisal review assignment. 3 parts of standard - CORRECT ANSWER performance, reasonable care, due diligence. purpose of Ethics rule - CORRECT ANSWER an appraiser must promote and preserve the public trust inherent in appraisal practice by observing the highest standards of professional ethics. Who enforces USPAP? - CORRECT ANSWER state agencies (state license board) What is the purpose of an advisory opinion? - CORRECT ANSWER to give advise is BIAS allowed in USPAP - CORRECT ANSWER no, never What is the function of inspection? - CORRECT ANSWER to determine condition when must an appraiser comply with USPAP? - CORRECT ANSWER obligated by law or regulation or by agreement with client or intended user. when is advocacy allowed in appraisal practice? - CORRECT ANSWER NEVER the party or parties who engage(s) an appraiser - CORRECT ANSWER the client hypothetical condition - CORRECT ANSWER assumes contrary to known facts workfile - CORRECT ANSWER documents the support for the appraiser's conclusions. extraordinary assumption - CORRECT ANSWER presumes as fact otherwise uncertain information bias - CORRECT ANSWER a preference that precludes an appraiser's impartiality. valuation services - CORRECT ANSWER services pertaining to aspects of property value appraisal - CORRECT ANSWER the act of process of developing an opinion of value mislead - CORRECT ANSWER when performing valuation services outside an appraisal practice, appraisers must be careful not to __________ the client and other intended users about their role. for assignments other than appraisal or appraisals review, there are no __________ or _____________ requirements in USPAP - CORRECT ANSWER record keeping, scope of work what appraisal services are covered by USPAP? - CORRECT ANSWER appraisal, appraisal review, other services appraisal practice is a __________of the broader concept of valuation services - CORRECT ANSWER subset. if an individual who is both a broker and an appraiser provides a "value" opinion for a specific property to be used in a listing agreement, the service is ALWAYS outside appraisal practice. - CORRECT ANSWER FALSE an individual must comply with the USPAP when required by law, regulation, or agreement - CORRECT ANSWER TRUE Appraisal practice pertains only to market value appraisals - CORRECT ANSWER FALSE An appraiser has a professional responsibility to identify the capacity in which he or she is performing - CORRECT ANSWER TRUE The purpose of USPAP is to promote and maintain a high level of public trust in professional appraisal practice - CORRECT ANSWER TRUE Real estate brokerage, appraisal reviews, and real property appraisals are all included within: - CORRECT ANSWER valuation services the PREAMBLE state that USPAP is - CORRECT ANSWER for appraisers and users of appraisal services according to USPAP, the party or parties who engage an appraiser ina specific assignment defines the - CORRECT ANSWER client USPAP is developed, interptreted and amended by the - CORRECT ANSWER Appraisal Standards Board (ASB) Which of the following best describes the statements on Appraisal Standards? - CORRECT ANSWER have the full weight of a standards Rule and can be adopted by the ASB only after exposure and comment if an appraiser assumes a condition to be true that does not exist for purposes of analysis, this is an example of? - CORRECT ANSWER Hypothetical condition why are USPAP advisory opinions issued? - CORRECT ANSWER to illustrate the applicability of appraisal standards. if an appraiser assumes a condition to be true and evidence supports that belief, although that fact is not certain, this is an example of - CORRECT ANSWER extraordinary assumption. a workfile must be maintained for - CORRECT ANSWER appraisal and appraisal review assignments only advisory opinions are best described as - CORRECT ANSWER not pare of USPAP, but included as a form of guidance a party who is identified by the appraiser based upon communication with the client at the time of the assignment is? - CORRECT ANSWER the intended user a tangible object that is not real estate is - CORRECT ANSWER personal property appraisal practice includes only - CORRECT ANSWER valuation services performed by an individual acting as an appraiser who maintains the official national registry of state certified and licensed appraisers? - CORRECT ANSWER Appraisal Subcommittee. it is unethical to accept an assignment with the understanding that payment will be mad if and when the loan closes - CORRECT ANSWER TRUE under USPAS, confidential information is information the appraiser receives from the client, is not available from any other source, and is identified by the client as confidential - CORRECT ANSWER TRUE An appraiser may only disclose confidential information to the client and parties specifically authorized by the client - CORRECT ANSWER FALSE the COMPETENCY RULE requires the appraiser to disclose lack of knowledge or experience prior to agreeing to perform an assignment. - CORRECT ANSWER TRUE the RECORD KEEPING RULE state that a workfile must be retained for five years or seven years in the even testimony is given by appraiser - CORRECT ANSWER FALSE an appraiser is not permitted to use or communicate a report or assignment results that are misleading or fraudulent. - CORRECT ANSWER TRUE an appraiser may accept assignments with predetermined opinions and conclusions as long as the purchase contract supports the opinion or conclusion - CORRECT ANSWER FALSE Bias is allowed in an appraisal as long as it is disclosed in the report - CORRECT ANSWER FALSE payment of a fee to procure appraisal assignments is permitted if disclosed in the certification and in any transmittal letter - CORRECT ANSWER TRUE an appraiser must obtain the necessary cometency prior to accepting the assignment - CORRECT ANSWER FALSE in an assignment, the scope of work is an _________ process. - CORRECT ANSWER ongoing in order to determine the appropriate scope of work, the appraiser must ________ the problem to be solved - CORRECT ANSWER identify an appraiser must not allow client objectives to _______ the assignment results - CORRECT ANSWER bias appraisers have broad ________ and significant __________ in determining the appropriate scope of work in an assignment. - CORRECT ANSWER flexibility, responsibility an appraiser's report must contain _________ to allow intended users to understand the scope of the work performed. - CORRECT ANSWER sufficient information exclusion fo a valuation approach that is not applicable in a given assignment is an example of a scope of work decision - CORRECT ANSWER TRUE an appraiser who allows assignment conditions to significantly limit the scope of work can affect the credibility of the assignment results - CORRECT ANSWER TRUE scope of work has no disclosure requirments - CORRECT ANSWER FALSE The credibility of assignment results is measured in the context of the intended use - CORRECT ANSWER TRUE Determining the scope of work requires communication with the client - CORRECT ANSWER TRUE. An appraiser is leaving the appraisal firm. What should be done regarding the appraiser's workfiles? - CORRECT ANSWER the appraiser must have custody or make arrangements for access, retrieval, and retention of the workfiles. When a law or regulation precludes compliance with any part of USPAP, appraisers must - CORRECT ANSWER ignore the law and apply with USPAP the purpose of JURISDICTIONAL EXCEPTION RULE is to? - CORRECT ANSWER preserve the balance of USPAP if compliance with one or more of its parts is precluded by law or regulation. an appraiser's peers are defined as other appraises whoe - CORRECT ANSWER have expertise and competency in a similar type of assignment. confidential information under USPAP is information the appraiser - CORRECT ANSWER receives from the client, is identified by the client as confidential, and is not available from other sources. in order to accept an assignment when an appraiser initially lacks the knowledge or experience to complete an assignment competently, the appraiser must - CORRECT ANSWER Disclose to the client, prior to accepting the assignment, the lack of knowledge or experience. an appraiser has been asked to complete an appraisal assignment. the fee is to be paid when and if the loan closes. According to USPAP, may the appraiser accept the assignment under these conditions? - CORRECT ANSWER No. the fee is a contingency arrangement that violates the ETHICS RULE identification of the inteded use of an appraiser's opinions and conclusions is - CORRECT ANSWER necessary for determining the appropriate scope of work The amount and type of information researched and the analyses applied in an assignment defines the - CORRECT ANSWER scope of work a workfile must be maintained for - CORRECT ANSWER each appraisal or appraisal review assignment the disclosure of confidential information to a third party is unethical unless - CORRECT ANSWER authorized by the client exclusion of an approach to value that is not necessary for credible results in a given assignment is a - CORRECT ANSWER scope of work decision the payment of fees by the appraiser in connection with the procurement of an assignment is - CORRECT ANSWER allowed if appropriately disclosed the responsibility of the scope of work decision rests with the - CORRECT ANSWER appraiser in appraisal practice, advocating the cause or interest of any party or issues is - CORRECT ANSWER not permitted reasonable exposure time is an opinion developed by the appraiser when reasonable exposure time is a component of the value definition - CORRECT ANSWER TRUE identification of the inteded user of an appraiser's opinions and conclusions is not necessary in most appraisal assignments - CORRECT ANSWER FALSE an appraiser may use any combination of a property inspection and documentation in identifiying relevant characteristices of the subject property - CORRECT ANSWER TRUE when appraising the market value of a property subject to favorable financing, it is not necessary to identify the special financing terms and develop an opinion of their effect on value - CORRECT ANSWER FALSE exclusion of a valuation approach that is not necessary for credible results in a given assignment is a scope of work decision - CORRECT ANSWER TRUE when appraising real property, the appraiser must analyze prior sales of the subject over a _______ year time period - CORRECT ANSWER three an appraiser must be aware of _______ and ______ recognized methods and techniques - CORRECT ANSWER understand, correctly employ identification of the _________ and _________ of an appraiser's opinions and conclusions is necessary for determining the appropriate scope of work. - CORRECT ANSWER intended use, intended users the effective date of an appraisal can be a ________, a retrospective date or a prospective date - CORRECT ANSWER current date the 2 written report options are Appraisal report and Limited Appraisal - CORRECT ANSWER FALSE USPAP doesn't require that the client's name be stated in the appraisal report - CORRECT ANSWER TRUE there can be intended users other than the client for a restricted appraisal report - CORRECT ANSWER FALSE the disclosure of any significant real property appraisal assistance provided in an appraisal report is not required under USPAP - CORRECT ANSWER FALSE oral reports for real property appraisals must address the substantive matters required in an appraisal reports - CORRECT ANSWER TRUE an appraiser who signs any part of an appraisal report must sign the certification - CORRECT ANSWER TRUE an appraiser is obligated to identify the inteded users of an appraisal report by name in the report. - CORRECT ANSWER FALSE when disclosing extraordinary assumptions and hypothetical conditions an appraiser must also state that their use might have affected the assignment results - CORRECT ANSWER TRUE each appraisal report requires two signatures: a signature for the appraisal and one on the certification - CORRECT ANSWER FALSE an appraisal report must state the effective date and the date of report - CORRECT ANSWER TRUE appraisal review is the act or process of ______an opinion abouth the quality of another appraiser's work performed as aprt of an appraisal or appraisal review assignment - CORRECT ANSWER developing If a reviewer is asked to develop an opinion as to the quality of another appraiser's work and to agree or disagree with the value conclusion, it is both an ______ and _____ - CORRECT ANSWER review, appraisal the reviewer must conduct an appraisal review in the context of market conditions as of the ____________ of the appraisal under review - CORRECT ANSWER effective date an appraisal review requires the reviewer to prepare a separate report setting forth the _________ performed and the results of the appraisal review. - CORRECT ANSWER scope of work The subject of a review assignment may be ________ or _______ of a report, workfile, or a combination f of these, and may be related to an appraisal or appraisal review. - CORRECT ANSWER all, part an appraiser performing an appraisal review must not sign the work under review unless he/she intends to accept the responsibility as a co-signer of the work. - CORRECT ANSWER TRUE an appraisal review can be a two-stage assignment: an appraisal review and a value opinion by the reviewer. - CORRECT ANSWER TRUE a reviewer's scope of work must replicate that of the original work under review - CORRECT ANSWER FALSE an appraisal review is the process of both developing and reporting the supervision of an appraisal - CORRECT ANSWER FALSE a reviewer must develop an opinion regarding the qualifications of the appraiser whose work is under review. - CORRECT ANSWER FALSE A reviewer may use additional information that was not available to the original appraiser as long as the information - CORRECT ANSWER is not used as the basis to discredit the original appraiser's value opinion in developing an appraisal review, the reviewer must identify all of the following except - CORRECT ANSWER the reviewer's concurrence with the appraiser's opinion of value, if not part of the reviewer's scope of work. When necessary for credible assignments results, a reviewer must develop an opinion regarding - CORRECT ANSWER the completeness of the work under review, given the reviewer's scope of work in the development of an appraisal, the appraiser must - CORRECT ANSWER not commit a substantial error that significantly affects the appraisal. to the extent possible and appropriate, an oral real property or personal property appraisal report must address the substantive matters that apply to a(n) - CORRECT ANSWER appraisal report according to USPAP, any appraiser who signs any part of an appraisal report is required to - CORRECT ANSWER sign the certification all appraisal reports must contain - CORRECT ANSWER sufficient information to enable intended users to understand the report when reporting the results of an appraisal, dates that must be included are - CORRECT ANSWER effective date and report date if an appraiser is asked to appraise a property on which there is a known, current agreement of sale, the agreement must be - CORRECT ANSWER analyzed in appraisal the subject of an appraisal review assignment may be - CORRECT ANSWER any work completed as part of an appraisal or appraisal review assignment. an extraordinary assumption may be used in an assignment only if - CORRECT ANSWER it is required to develop credible results what special requirements, if any, are appropriate when appraising the market value of a property subject to favorable financing? - CORRECT ANSWER identify the special financing terms and develop an opinion of their effect on value which of the following is not required by USPAP to be in an appraisal report? - CORRECT ANSWER client's specific name. the client is the only intended user for a(n) - CORRECT ANSWER restricted appraisal report compared to a value opinion expressed in an appraisal report, a value opinion expressed in a restricted appraisal report is equally credible - CORRECT ANSWER equally credible which of the following best describes bias in appraisal practice? - CORRECT ANSWER not allowed Highest and best use analysis is always addressed in Standards Rules for business enterprise and intangible asset appraisal - CORRECT ANSWER FALSE Mass Appraisal is the process of valuing a universe of properties as of a given date using standard methodology, employing common data, and allowing for statistical testing. - CORRECT ANSWER TRUE STANDARD 5 and ^ apply to all mass appraisals of real personal property, regardless of the purpose or use of such appraisals. - CORRECT ANSWER TRUE an appraiser must recognize that there are distinct levels of trade in personal property, and each may have different comparable data - CORRECT ANSWER TRUE liquidation must always be considered in valuing a business enterprise. - CORRECT ANSWER FALSE