USPAP 86 PRACTICE TEST QUESTIONS
An appraisal report includes the following statement: "The subject
property is currently listed for sale at $200,000; it has been listed at
that price for 123 days." Does this satisfy the USPAP requirement
reporting related to current listings of the subject property?
a. Yes; the relevant listing information is clearly disclosed
b. No; the report must summarize the appraiser's analysis of that
listing
c. Yes; USPAP merely requires disclosure of the fact that it is listed
d. No; the name of the listing agent must also be disclosed - Correct
Answer ✔ ✔ No; the report must summarize the appraiser's
analysis of that listing
,An appraisal report for a single-unit residential property states that
the income approach to value was not developed. Is that statement
sufficient?
a. Yes; USPAP requires only that the exclusion of an approach to value
be disclosed
b. No; all three approaches to value must be developed
c. Yes; USPAP requires only the sales comparison approach in a single-
unit residential assignment
d. No; the exclusion of any of the three approaches to value must be
explained - Correct Answer ✔ ✔ No; the exclusion of any of the
three approaches to value must be explained
Which of the following statements is true regarding extraordinary
assumptions?
a. All appraisals are developed subject to at least one extraordinary
assumption.
,b. An extraordinary assumption is to be used only when required by
law or regulation.
c. The appraiser must have a reasonable basis for an extraordinary
assumption.
d. USPAP requires that the appraiser receive client approval before
using an extraordinary assumption. - Correct Answer ✔ ✔ The
appraiser must have a reasonable basis for an extraordinary
assumption.
To what extent must the intended use be disclosed in an Appraisal
Report?
a. It must be described in detail
b. It must be summarized
c. It must be stated
d. Disclosure of the intended use is not required - Correct Answer ✔
✔ It must be stated
, To what extent must the identity of the real estate be disclosed in an
Appraisal Report?
a. street address is sufficient
b. deed must be included in the report
c. report must include a map, photographs, and street address
d. report must summarize information regarding relevant
characteristics - Correct Answer ✔ ✔ report must summarize
information regarding relevant characteristics
The appraiser must develop an opinion of reasonable exposure time
whenever:
a. An appraisal is performed
b. Reasonable exposure time is a component of the value definition
c. The client requests the opinion in writing
An appraisal report includes the following statement: "The subject
property is currently listed for sale at $200,000; it has been listed at
that price for 123 days." Does this satisfy the USPAP requirement
reporting related to current listings of the subject property?
a. Yes; the relevant listing information is clearly disclosed
b. No; the report must summarize the appraiser's analysis of that
listing
c. Yes; USPAP merely requires disclosure of the fact that it is listed
d. No; the name of the listing agent must also be disclosed - Correct
Answer ✔ ✔ No; the report must summarize the appraiser's
analysis of that listing
,An appraisal report for a single-unit residential property states that
the income approach to value was not developed. Is that statement
sufficient?
a. Yes; USPAP requires only that the exclusion of an approach to value
be disclosed
b. No; all three approaches to value must be developed
c. Yes; USPAP requires only the sales comparison approach in a single-
unit residential assignment
d. No; the exclusion of any of the three approaches to value must be
explained - Correct Answer ✔ ✔ No; the exclusion of any of the
three approaches to value must be explained
Which of the following statements is true regarding extraordinary
assumptions?
a. All appraisals are developed subject to at least one extraordinary
assumption.
,b. An extraordinary assumption is to be used only when required by
law or regulation.
c. The appraiser must have a reasonable basis for an extraordinary
assumption.
d. USPAP requires that the appraiser receive client approval before
using an extraordinary assumption. - Correct Answer ✔ ✔ The
appraiser must have a reasonable basis for an extraordinary
assumption.
To what extent must the intended use be disclosed in an Appraisal
Report?
a. It must be described in detail
b. It must be summarized
c. It must be stated
d. Disclosure of the intended use is not required - Correct Answer ✔
✔ It must be stated
, To what extent must the identity of the real estate be disclosed in an
Appraisal Report?
a. street address is sufficient
b. deed must be included in the report
c. report must include a map, photographs, and street address
d. report must summarize information regarding relevant
characteristics - Correct Answer ✔ ✔ report must summarize
information regarding relevant characteristics
The appraiser must develop an opinion of reasonable exposure time
whenever:
a. An appraisal is performed
b. Reasonable exposure time is a component of the value definition
c. The client requests the opinion in writing
