KENTUCKY (KY) PROPERTY VALUATION
ADMINISTRATOR (PVA) EXAM – EXAM QUESTIONS AND
CORRECT ANSWERS (VERIFIED ANSWERS) PLUS
RATIONALE | 2027 Q&A | INSTANT DOWNLOAD PDF
1. Which term describes the estimated price a property would bring in a fair and voluntary
sale under appropriate market conditions?
A. Assessed tax B. Replacement cost C. Fair cash value D. Tax liability
Rationale: Fair cash value represents the estimated price property would bring in a fair
voluntary sale. It is the fundamental valuation concept used in Kentucky property assessment.
2. A property valuation administrator is primarily responsible for assessing most real
property within which geographic area?
A. The entire Commonwealth B. The county C. The school district only D. The owner's
municipality
Rationale: The PVA is the local official responsible for assessing most real property in the
county. State agencies provide oversight and uniform procedures.
3. Which mathematical operation is required when calculating 15% of a property valued at
$240,000?
A. $36,000 B. $24,000 C. $40,000 D. $42,000
Rationale: Fifteen percent of $240,000 is calculated as 0.15 × $240,000, which equals $36,000.
4. If a parcel contains 2.5 acres, approximately how many square feet does it contain? Use
1 acre = 43,560 square feet.
A. 87,120 B. 98,010 C. 100,000 D. 108,900
Rationale: Multiplying 43,560 square feet by 2.5 acres gives 108,900 square feet.
5. The sales comparison approach primarily determines value by analyzing:
A. Recent sales of similar properties B. Construction financing costs C. The owner's annual
income D. The property's original purchase price
Rationale: The sales comparison approach estimates value by comparing the subject property
with recently sold properties that are similar in relevant characteristics.
, 6. A property sells for $275,000 after being listed for $290,000. What is the percentage
discount from the listing price?
A. 4.17% B. 5.17% C. 5.45% D. 6.25%
Rationale: The reduction is $15,000. Dividing $15,000 by $290,000 and multiplying by 100 gives
approximately 5.17%.
7. Which approach to valuation is most directly concerned with the present value of
anticipated future benefits from owning a property?
A. Cost approach B. Sales comparison approach C. Income approach D. Replacement approach
Rationale: The income approach converts anticipated future income or benefits into an
indication of present property value.
8. A building originally cost $420,000. If its estimated accrued depreciation is $105,000,
what is its depreciated improvement value before adding land value?
A. $295,000 B. $305,000 C. $325,000 D. $315,000
Rationale: The depreciated value is calculated by subtracting $105,000 in depreciation from the
$420,000 original cost, producing $315,000.
9. Which characteristic would generally make a comparable property less reliable for direct
comparison with a subject property?
A. A substantially different location B. A similar construction date C. A similar lot size D. A
similar physical condition
Rationale: Location can have a significant effect on property value. A comparable in a
substantially different market location may require significant adjustment and may be less
reliable.
10. If a property's assessed value is $185,000 and the applicable tax rate is 0.75%, what is
the tax before considering other adjustments?
A. $1,125 B. $1,387.50 C. $1,425 D. $1,850
Rationale: The calculation is $185,000 × 0.0075 = $1,387.50.
11. Which statement best describes depreciation in the context of the cost approach?
A. It is always the same as a property's tax rate. B. It represents only physical damage. C. It
reflects loss in value from applicable forms of deterioration or obsolescence. D. It is the
annual amount of property tax owed.
, Rationale: Depreciation in valuation can include physical deterioration as well as functional or
external factors that reduce value.
12. A parcel's value increases from $200,000 to $230,000. What is the percentage increase?
A. 10% B. 12% C. 14% D. 15%
Rationale: The increase is $30,000. Dividing $30,000 by $200,000 gives 0.15, or 15%.
13. Which factor is most directly associated with the principle of supply and demand?
A. The relationship between available property and the number of potential buyers B. The
age of the assessor's records C. The owner's mortgage balance D. The property's original
construction contract
Rationale: Supply and demand influence market behavior. Limited supply combined with strong
demand can place upward pressure on prices.
14. When several comparable sales are available, which property would generally provide
the strongest comparison?
A. A property sold ten years ago in another county B. A recently sold property with similar
characteristics in the same market area C. A property with a completely different highest and
best use D. A property transferred between related parties for a nominal amount
Rationale: A recent arm's-length sale of a physically and economically similar property in the
same market generally provides a stronger indication of value.
15. A property has a land value of $90,000 and an indicated depreciated improvement value
of $210,000. What is the total indicated value?
A. $280,000 B. $290,000 C. $300,000 D. $310,000
Rationale: The land and depreciated improvement values are added: $90,000 + $210,000 =
$300,000.
16. Which condition would most likely make a sale unsuitable as a reliable market indicator?
A. The property was exposed to the market for an appropriate period. B. The property is similar
to the subject. C. The sale occurred recently. D. The transaction occurred under unusual
circumstances between related parties.
Rationale: Non-market or atypical transactions may not reflect the price a property would
command in a fair voluntary sale.
ADMINISTRATOR (PVA) EXAM – EXAM QUESTIONS AND
CORRECT ANSWERS (VERIFIED ANSWERS) PLUS
RATIONALE | 2027 Q&A | INSTANT DOWNLOAD PDF
1. Which term describes the estimated price a property would bring in a fair and voluntary
sale under appropriate market conditions?
A. Assessed tax B. Replacement cost C. Fair cash value D. Tax liability
Rationale: Fair cash value represents the estimated price property would bring in a fair
voluntary sale. It is the fundamental valuation concept used in Kentucky property assessment.
2. A property valuation administrator is primarily responsible for assessing most real
property within which geographic area?
A. The entire Commonwealth B. The county C. The school district only D. The owner's
municipality
Rationale: The PVA is the local official responsible for assessing most real property in the
county. State agencies provide oversight and uniform procedures.
3. Which mathematical operation is required when calculating 15% of a property valued at
$240,000?
A. $36,000 B. $24,000 C. $40,000 D. $42,000
Rationale: Fifteen percent of $240,000 is calculated as 0.15 × $240,000, which equals $36,000.
4. If a parcel contains 2.5 acres, approximately how many square feet does it contain? Use
1 acre = 43,560 square feet.
A. 87,120 B. 98,010 C. 100,000 D. 108,900
Rationale: Multiplying 43,560 square feet by 2.5 acres gives 108,900 square feet.
5. The sales comparison approach primarily determines value by analyzing:
A. Recent sales of similar properties B. Construction financing costs C. The owner's annual
income D. The property's original purchase price
Rationale: The sales comparison approach estimates value by comparing the subject property
with recently sold properties that are similar in relevant characteristics.
, 6. A property sells for $275,000 after being listed for $290,000. What is the percentage
discount from the listing price?
A. 4.17% B. 5.17% C. 5.45% D. 6.25%
Rationale: The reduction is $15,000. Dividing $15,000 by $290,000 and multiplying by 100 gives
approximately 5.17%.
7. Which approach to valuation is most directly concerned with the present value of
anticipated future benefits from owning a property?
A. Cost approach B. Sales comparison approach C. Income approach D. Replacement approach
Rationale: The income approach converts anticipated future income or benefits into an
indication of present property value.
8. A building originally cost $420,000. If its estimated accrued depreciation is $105,000,
what is its depreciated improvement value before adding land value?
A. $295,000 B. $305,000 C. $325,000 D. $315,000
Rationale: The depreciated value is calculated by subtracting $105,000 in depreciation from the
$420,000 original cost, producing $315,000.
9. Which characteristic would generally make a comparable property less reliable for direct
comparison with a subject property?
A. A substantially different location B. A similar construction date C. A similar lot size D. A
similar physical condition
Rationale: Location can have a significant effect on property value. A comparable in a
substantially different market location may require significant adjustment and may be less
reliable.
10. If a property's assessed value is $185,000 and the applicable tax rate is 0.75%, what is
the tax before considering other adjustments?
A. $1,125 B. $1,387.50 C. $1,425 D. $1,850
Rationale: The calculation is $185,000 × 0.0075 = $1,387.50.
11. Which statement best describes depreciation in the context of the cost approach?
A. It is always the same as a property's tax rate. B. It represents only physical damage. C. It
reflects loss in value from applicable forms of deterioration or obsolescence. D. It is the
annual amount of property tax owed.
, Rationale: Depreciation in valuation can include physical deterioration as well as functional or
external factors that reduce value.
12. A parcel's value increases from $200,000 to $230,000. What is the percentage increase?
A. 10% B. 12% C. 14% D. 15%
Rationale: The increase is $30,000. Dividing $30,000 by $200,000 gives 0.15, or 15%.
13. Which factor is most directly associated with the principle of supply and demand?
A. The relationship between available property and the number of potential buyers B. The
age of the assessor's records C. The owner's mortgage balance D. The property's original
construction contract
Rationale: Supply and demand influence market behavior. Limited supply combined with strong
demand can place upward pressure on prices.
14. When several comparable sales are available, which property would generally provide
the strongest comparison?
A. A property sold ten years ago in another county B. A recently sold property with similar
characteristics in the same market area C. A property with a completely different highest and
best use D. A property transferred between related parties for a nominal amount
Rationale: A recent arm's-length sale of a physically and economically similar property in the
same market generally provides a stronger indication of value.
15. A property has a land value of $90,000 and an indicated depreciated improvement value
of $210,000. What is the total indicated value?
A. $280,000 B. $290,000 C. $300,000 D. $310,000
Rationale: The land and depreciated improvement values are added: $90,000 + $210,000 =
$300,000.
16. Which condition would most likely make a sale unsuitable as a reliable market indicator?
A. The property was exposed to the market for an appropriate period. B. The property is similar
to the subject. C. The sale occurred recently. D. The transaction occurred under unusual
circumstances between related parties.
Rationale: Non-market or atypical transactions may not reflect the price a property would
command in a fair voluntary sale.
