Appraisal Principles Exam Practice Questions
With All Correct & Verified Answers
You have found comparable sales of rural land parcels that indicate the following sale prices per acre:
($930, $775, $1202, $995, $1612, $906). What is the mode of these indications? Correct answer-
there is no mode, Median. There no mode, as each number only appears once
Two years ago, you bought a property for $264,500. Values increased in that area by 5% the first year
and 7% the second year. How much is your property worth today? Correct answer-$297,166
"A lease that provides for specified changes in the amount of rent at one or more points during the
lease term" is called a(n) ____________ lease. Correct answer-graduated-payment
"A business arrangement in which two or more persons jointly own a business and share in its profits
and losses" is the definition of Correct answer-partnership
65% of the houses in a neighborhood are split levels and 15% are ranches. There are a total of 300
houses. How many are ranches? Correct answer-45; 300 X .15 = 45
"The study of the cost-benefit relationship of an economic endeavor" is the definition of Correct
answer-feasibility analysis
Which two of the following would be private restrictions on property rights? Correct answer-deed
restriction and mechanic's lien
A problem with the real property market is that the amount of ________ is slow to change. Correct
answer-supply
Which is NOT true concerning the highest and best use of land as though vacant? Correct answer-
this analysis can only be applied if there are no existing improvements...
Which of the following would NOT be considered a governmental influence on value? Correct
answer-wage levels
When appraising an income producing property, you have the following GRMs indicated from
comparable sales (122, 159, 132, 126, 122, 173, 152, 126). What is the mode of the GRMs? Correct
answer-122, 126 (bi-modal)
What is the mean of these numbers: 124.5, 146.8, 152, 187.9, 153, 217.98, 12, 542.66, 45.7, 71.44,
158.04? Correct answer-164.73
Correct answer-$30,376.63; $243,500 X .10 = $24,350 down payment. $243,500 X .90 = $219,150
mortgage. $219,150 X .0275 = $6,026.63. $24,350 + $6,026.63 =
The appraisal standards and qualification criteria promulgated by the boards of The Appraisal
Foundation achieves legal authority by adoption, citation or implementation by Correct answer-
government agencies
The intent of USPAP is to ____________ a high level of __________ in professional appraisal practice.
Correct answer-promote and maintain, public trust
, Twenty years ago, most appraisal reports that were sent electronically were sent using _____
technology; today, most appraisals are sent electronically using a _______ format. Correct answer-
EDI, PDF
All of the following could lead to a non-arm's-length transaction EXCEPT Correct answer-
knowledgeable buyer and seller
What type of property ownership is characterized by the purchase of shares of stock in a corporation,
which provides a proprietary lease to occupy an apartment unit? Correct answer-cooperative
A rectangular property measures 320 feet by 574.45 feet, and it sold for $263,750. How much did it
sell for per acre? Correct answer-$62,500; Area Measurements. 320 X 574.45 = 183,824 square
feet. 183,824 ÷ 43,560 = 4.22 acres. $263,750 ÷ 4.22 =
Unfortunately, with real property, the ______ side of the equation is relatively fixed and slow to
change whereas the ______ side of the equation can change quickly. Correct answer-supply,
demand
Which of the below is a requirement of a valid real estate contract? Correct answer-consideration,
in writing and signed, lawful objective
Janet has a property with no road frontage. She has an access right of way across the property of her
neighbor Ivan for ingress, egress, and regress. Who has the servient tenement in this situation?
Correct answer-Ivan
The number of required experience hours for Certified General Appraiser applicants is ____ hours.
Correct answer-3,000
A circle contains _______ degrees. Correct answer-360
Here are all the sales in your area in the last 4 months. They sold for: $178,500; $166,000; $172,750;
$182,000; $168,000; $174,000; $176,000; $184,000; $170,000; $175,000; $172,000; $181,500. What
is the mean sale price? Correct answer-$174,979
"A right or interest in property" is a(n) Correct answer-estate
Who retains final authority over revisions to USPAP? Correct answer-the Appraisal Standards Board
The four elements of value are desire, _________, scarcity, and ________. Correct answer-utility,
effective purchasing power
When comparing printers, make sure to compare the cost per Correct answer-printed page
The interest rate that banks charge when lending money to their highest rated customers is called
the __________ rate. Correct answer-prime
You bought a property for $650,000, 2 years ago. Values increased in that area by 8% the first year
and 6% the second year. How much is your property worth today? Correct answer-$744,120
With All Correct & Verified Answers
You have found comparable sales of rural land parcels that indicate the following sale prices per acre:
($930, $775, $1202, $995, $1612, $906). What is the mode of these indications? Correct answer-
there is no mode, Median. There no mode, as each number only appears once
Two years ago, you bought a property for $264,500. Values increased in that area by 5% the first year
and 7% the second year. How much is your property worth today? Correct answer-$297,166
"A lease that provides for specified changes in the amount of rent at one or more points during the
lease term" is called a(n) ____________ lease. Correct answer-graduated-payment
"A business arrangement in which two or more persons jointly own a business and share in its profits
and losses" is the definition of Correct answer-partnership
65% of the houses in a neighborhood are split levels and 15% are ranches. There are a total of 300
houses. How many are ranches? Correct answer-45; 300 X .15 = 45
"The study of the cost-benefit relationship of an economic endeavor" is the definition of Correct
answer-feasibility analysis
Which two of the following would be private restrictions on property rights? Correct answer-deed
restriction and mechanic's lien
A problem with the real property market is that the amount of ________ is slow to change. Correct
answer-supply
Which is NOT true concerning the highest and best use of land as though vacant? Correct answer-
this analysis can only be applied if there are no existing improvements...
Which of the following would NOT be considered a governmental influence on value? Correct
answer-wage levels
When appraising an income producing property, you have the following GRMs indicated from
comparable sales (122, 159, 132, 126, 122, 173, 152, 126). What is the mode of the GRMs? Correct
answer-122, 126 (bi-modal)
What is the mean of these numbers: 124.5, 146.8, 152, 187.9, 153, 217.98, 12, 542.66, 45.7, 71.44,
158.04? Correct answer-164.73
Correct answer-$30,376.63; $243,500 X .10 = $24,350 down payment. $243,500 X .90 = $219,150
mortgage. $219,150 X .0275 = $6,026.63. $24,350 + $6,026.63 =
The appraisal standards and qualification criteria promulgated by the boards of The Appraisal
Foundation achieves legal authority by adoption, citation or implementation by Correct answer-
government agencies
The intent of USPAP is to ____________ a high level of __________ in professional appraisal practice.
Correct answer-promote and maintain, public trust
, Twenty years ago, most appraisal reports that were sent electronically were sent using _____
technology; today, most appraisals are sent electronically using a _______ format. Correct answer-
EDI, PDF
All of the following could lead to a non-arm's-length transaction EXCEPT Correct answer-
knowledgeable buyer and seller
What type of property ownership is characterized by the purchase of shares of stock in a corporation,
which provides a proprietary lease to occupy an apartment unit? Correct answer-cooperative
A rectangular property measures 320 feet by 574.45 feet, and it sold for $263,750. How much did it
sell for per acre? Correct answer-$62,500; Area Measurements. 320 X 574.45 = 183,824 square
feet. 183,824 ÷ 43,560 = 4.22 acres. $263,750 ÷ 4.22 =
Unfortunately, with real property, the ______ side of the equation is relatively fixed and slow to
change whereas the ______ side of the equation can change quickly. Correct answer-supply,
demand
Which of the below is a requirement of a valid real estate contract? Correct answer-consideration,
in writing and signed, lawful objective
Janet has a property with no road frontage. She has an access right of way across the property of her
neighbor Ivan for ingress, egress, and regress. Who has the servient tenement in this situation?
Correct answer-Ivan
The number of required experience hours for Certified General Appraiser applicants is ____ hours.
Correct answer-3,000
A circle contains _______ degrees. Correct answer-360
Here are all the sales in your area in the last 4 months. They sold for: $178,500; $166,000; $172,750;
$182,000; $168,000; $174,000; $176,000; $184,000; $170,000; $175,000; $172,000; $181,500. What
is the mean sale price? Correct answer-$174,979
"A right or interest in property" is a(n) Correct answer-estate
Who retains final authority over revisions to USPAP? Correct answer-the Appraisal Standards Board
The four elements of value are desire, _________, scarcity, and ________. Correct answer-utility,
effective purchasing power
When comparing printers, make sure to compare the cost per Correct answer-printed page
The interest rate that banks charge when lending money to their highest rated customers is called
the __________ rate. Correct answer-prime
You bought a property for $650,000, 2 years ago. Values increased in that area by 8% the first year
and 6% the second year. How much is your property worth today? Correct answer-$744,120
