RERA EXAM 141 EXAM SCRIPT 2026
QUESTIONS WITH ANSWERS
◉ For a straight-line schedule of depreciation:
a. earlier years receive more weight.
b. later years receive more weight.
c. each year receives equal weight.
d. none of the above. Answer: c. each year receives equal weight.
For straight-line, the value is divided by the number of years over
which depreciation is run—the same amount for each year. For
"accelerated" methods, allow greater amounts of depreciation for
the earlier years, and less for the later years
◉ A lender with vast funds for investment, who prefers larger loans
without collection responsibilities, would most likely be a(n):
a. commercial bank.
b. insurance company.
c. private lender.
d. savings bank. Answer: b. insurance company.
,◉ One particular appraisal method would be more detailed and
accurate than others. Which would it be?
a. Unit of cubic foot method
b. Unit of square foot method
c. Unit cost in place
d. Quantity survey Answer: d. Quantity survey
The quantity survey is used by contractors in calculating the cost of
construction of improvements. It is rarely used by appraisers
because costly details are not necessary for most of their
evaluations.
◉ To "rescind" is the same as to:
a. revise.
b. transfer.
c. resale.
d. revoke. Answer: d. revoke.
To revoke, or take away a license. (The Real Estate Commissioner
has this power.)
,◉ The legal purpose of police power is to:
a. keep all types of commercial property out of residential
neighborhoods.
b. keep the land in every area as similar as possible.
c. preserve or protect public health, safety, morals, or general
welfare.
d. none of the above. Answer: c. preserve or protect public health,
safety, morals, or general welfare.
◉ On which of the following dates do California real property taxes
become a lien on the subject property?
a. December 10
b. April 10
c. July 1
d. January 1 Answer: d. January 1
On January 1 of the preceding the tax year, the lien is placed on the
property. December and April dates above are dates taxes become
delinquent for their respective periods, and July 1 is the beginning of
the tax year.
, ◉ In the development of a subdivision of single-family homes, which
of the following would be the least economical?
a. Cul-de-sacs
b. Long blocks
c. Right angle (90%) intersections into major streets
d. Short blocks Answer: d. Short blocks
With more streets, there's more cost and less land for homes.
◉ Capitalization is a process by which an appraiser:
a. converts income into value.
b. determines depreciation.
c. establishes cost.
d. finds gross income. Answer: a. converts income into value.
When he ascertains the true net income for investment, an appraiser
uses the "capitalization approach" to estimate value.
◉ Net income is determined by an appraiser using which one of the
following?
QUESTIONS WITH ANSWERS
◉ For a straight-line schedule of depreciation:
a. earlier years receive more weight.
b. later years receive more weight.
c. each year receives equal weight.
d. none of the above. Answer: c. each year receives equal weight.
For straight-line, the value is divided by the number of years over
which depreciation is run—the same amount for each year. For
"accelerated" methods, allow greater amounts of depreciation for
the earlier years, and less for the later years
◉ A lender with vast funds for investment, who prefers larger loans
without collection responsibilities, would most likely be a(n):
a. commercial bank.
b. insurance company.
c. private lender.
d. savings bank. Answer: b. insurance company.
,◉ One particular appraisal method would be more detailed and
accurate than others. Which would it be?
a. Unit of cubic foot method
b. Unit of square foot method
c. Unit cost in place
d. Quantity survey Answer: d. Quantity survey
The quantity survey is used by contractors in calculating the cost of
construction of improvements. It is rarely used by appraisers
because costly details are not necessary for most of their
evaluations.
◉ To "rescind" is the same as to:
a. revise.
b. transfer.
c. resale.
d. revoke. Answer: d. revoke.
To revoke, or take away a license. (The Real Estate Commissioner
has this power.)
,◉ The legal purpose of police power is to:
a. keep all types of commercial property out of residential
neighborhoods.
b. keep the land in every area as similar as possible.
c. preserve or protect public health, safety, morals, or general
welfare.
d. none of the above. Answer: c. preserve or protect public health,
safety, morals, or general welfare.
◉ On which of the following dates do California real property taxes
become a lien on the subject property?
a. December 10
b. April 10
c. July 1
d. January 1 Answer: d. January 1
On January 1 of the preceding the tax year, the lien is placed on the
property. December and April dates above are dates taxes become
delinquent for their respective periods, and July 1 is the beginning of
the tax year.
, ◉ In the development of a subdivision of single-family homes, which
of the following would be the least economical?
a. Cul-de-sacs
b. Long blocks
c. Right angle (90%) intersections into major streets
d. Short blocks Answer: d. Short blocks
With more streets, there's more cost and less land for homes.
◉ Capitalization is a process by which an appraiser:
a. converts income into value.
b. determines depreciation.
c. establishes cost.
d. finds gross income. Answer: a. converts income into value.
When he ascertains the true net income for investment, an appraiser
uses the "capitalization approach" to estimate value.
◉ Net income is determined by an appraiser using which one of the
following?
