IAAO COURSE 201 UPDATED QUESTIONS AND
CORRECT DETAILED ANSWERS WITH
RATIONALES (VERIFIED ANSWERS) |ALREADY
GRADED A+
Terms in this set (125) QUESTIONS VERIFIED ANSWERS
1) Anticipation present worth of future benefits
2) Balance max value is obtained when the 4
agents of production attain a state
of equilibrium
3) Change The tendency of social and
economic forces affecting supply
and demand to alter over time
4) Competition Availability must be in harmony
with demand. If one or the other is
in excess prices will increase or
decrease
,5) Conformity The value of property depends in
part in its relationship to its
surroundings
6) Consistent Use States that a property must be
valued with a single use for the
entire property
7) Contribution The basis for applying the
adjustments in the sales
comparison approach
8) Increasing/Decreasing Returns After reaching a certain point the
addition of successive increments
of one agent of production will
decrease future incomes or
amenities
9) Progression/Regression The value of a lower priced
property is increased by its
association with better properties
of the same type
10) Substitution Market value of a property tends
to be set by the cost of acquiring
an equally desirable and valuable
property
11) Surplus Productivity Net income remaining after the
, cost of labor, management, &
capital has been paid
12) Supply The amount of goods that
producers are willing to sell under
various conditions during a given
period
13) Demand Quantities of various goods that
people are willing to and able to
buy during some period, given the
choices available to them
14) Land The surface of the earth and
everything above it and beneath it
15) 5 attributes of Land Permanent
Unique
Finite supply
Functional
Stationary
16) 4 Characteristics of Land DUST
17) Natural state of the land before anything is raw land
done to it
18) Improvements to land everything done to the land that
increases its usefulness without
actually placing a structure or
CORRECT DETAILED ANSWERS WITH
RATIONALES (VERIFIED ANSWERS) |ALREADY
GRADED A+
Terms in this set (125) QUESTIONS VERIFIED ANSWERS
1) Anticipation present worth of future benefits
2) Balance max value is obtained when the 4
agents of production attain a state
of equilibrium
3) Change The tendency of social and
economic forces affecting supply
and demand to alter over time
4) Competition Availability must be in harmony
with demand. If one or the other is
in excess prices will increase or
decrease
,5) Conformity The value of property depends in
part in its relationship to its
surroundings
6) Consistent Use States that a property must be
valued with a single use for the
entire property
7) Contribution The basis for applying the
adjustments in the sales
comparison approach
8) Increasing/Decreasing Returns After reaching a certain point the
addition of successive increments
of one agent of production will
decrease future incomes or
amenities
9) Progression/Regression The value of a lower priced
property is increased by its
association with better properties
of the same type
10) Substitution Market value of a property tends
to be set by the cost of acquiring
an equally desirable and valuable
property
11) Surplus Productivity Net income remaining after the
, cost of labor, management, &
capital has been paid
12) Supply The amount of goods that
producers are willing to sell under
various conditions during a given
period
13) Demand Quantities of various goods that
people are willing to and able to
buy during some period, given the
choices available to them
14) Land The surface of the earth and
everything above it and beneath it
15) 5 attributes of Land Permanent
Unique
Finite supply
Functional
Stationary
16) 4 Characteristics of Land DUST
17) Natural state of the land before anything is raw land
done to it
18) Improvements to land everything done to the land that
increases its usefulness without
actually placing a structure or
