KENTUCKY (KY) PROPERTY VALUATION
ADMINISTRATOR (PVA) EXAM ACTUAL EXAM
QUESTIONS AND CORRECT ANSWERS WITH RATIONALES
GRADED A+ LATEST
1. Under Kentucky law, which of the following is the primary duty of the
Property Valuation Administrator (PVA)?
A. Collect property taxes from taxpayers.
B. Assess all real and tangible personal property for ad valorem tax purposes
within the county.
C. Set tax rates for all taxing jurisdictions.
D. Issue property tax bills to taxpayers.
Answer: B
Rationale: The PVA’s core responsibility is to discover, list, and value (i.e.,
assess) all taxable real and tangible personal property in the county. Collection and
billing are handled by county clerks or treasurers and tax rates are set by local
taxing authorities.
2. Real property in Kentucky is generally assessed based on which standard?
A. Replacement cost less depreciation.
B. Assessed value determined by owner-declared value.
C. Fair cash value (market value) as of the appraisal date.
D. Income capitalization exclusively.
Answer: C
,Rationale: Kentucky requires property to be assessed at its fair cash value (market
value). Appraisers may use cost, sales comparison, or income approaches as
appropriate to estimate market value.
3. Which of the following most accurately describes the “assessment ratio”
applied to real property in Kentucky for tax purposes (unless otherwise
provided)?
A. 100% of market value.
B. 100% of assessed value is taxed directly.
C. A statutory fraction of market value determined by the General Assembly (e.g.,
residential vs. commercial classifications historically had ratios).
D. Assessed value is always 20% of market value.
Answer: C
Rationale: Kentucky historically uses statutory assessment ratios that determine
the assessed value as a fraction of market value; these ratios can vary by class and
are set in law or by statute. (Specific ratios may change; always consult current
statute.)
4. Which appraisal approach is typically the best to use for vacant land
valuation?
A. Cost approach.
B. Sales comparison approach.
C. Income approach.
D. Replacement cost approach.
Answer: B
Rationale: The sales comparison approach is usually most reliable for vacant land
because it directly analyzes market transactions for comparable parcels, adjusting
for differences.
, 5. A PVA is performing mass appraisal. Which principle is most critical to
ensure uniformity across similar properties?
A. Highest and best use analysis for each individual property.
B. Application of consistent valuation models and standardized procedures.
C. Personal interviews with individual owners for each property.
D. Insuring each property receives an on-site inspection every year.
Answer: B
Rationale: Mass appraisal depends on consistent, repeatable models and
procedures applied uniformly across groups of properties; while inspections and
highest and best use matter, consistent methods ensure equity.
6. Under Kentucky law, which of the following is commonly exempt from ad
valorem taxation?
A. Privately owned commercial office buildings.
B. Property owned by qualifying charitable organizations used for charitable
purposes.
C. All agricultural land regardless of use.
D. Vacant residential lots.
Answer: B
Rationale: Exemptions are available for property used by certain
nonprofit/charitable organizations for charitable purposes subject to statutory
requirements and application; private commercial property is taxable.
7. When using the income approach for an apartment building, which of the
following is the correct first step?
A. Estimate the building’s replacement cost.
ADMINISTRATOR (PVA) EXAM ACTUAL EXAM
QUESTIONS AND CORRECT ANSWERS WITH RATIONALES
GRADED A+ LATEST
1. Under Kentucky law, which of the following is the primary duty of the
Property Valuation Administrator (PVA)?
A. Collect property taxes from taxpayers.
B. Assess all real and tangible personal property for ad valorem tax purposes
within the county.
C. Set tax rates for all taxing jurisdictions.
D. Issue property tax bills to taxpayers.
Answer: B
Rationale: The PVA’s core responsibility is to discover, list, and value (i.e.,
assess) all taxable real and tangible personal property in the county. Collection and
billing are handled by county clerks or treasurers and tax rates are set by local
taxing authorities.
2. Real property in Kentucky is generally assessed based on which standard?
A. Replacement cost less depreciation.
B. Assessed value determined by owner-declared value.
C. Fair cash value (market value) as of the appraisal date.
D. Income capitalization exclusively.
Answer: C
,Rationale: Kentucky requires property to be assessed at its fair cash value (market
value). Appraisers may use cost, sales comparison, or income approaches as
appropriate to estimate market value.
3. Which of the following most accurately describes the “assessment ratio”
applied to real property in Kentucky for tax purposes (unless otherwise
provided)?
A. 100% of market value.
B. 100% of assessed value is taxed directly.
C. A statutory fraction of market value determined by the General Assembly (e.g.,
residential vs. commercial classifications historically had ratios).
D. Assessed value is always 20% of market value.
Answer: C
Rationale: Kentucky historically uses statutory assessment ratios that determine
the assessed value as a fraction of market value; these ratios can vary by class and
are set in law or by statute. (Specific ratios may change; always consult current
statute.)
4. Which appraisal approach is typically the best to use for vacant land
valuation?
A. Cost approach.
B. Sales comparison approach.
C. Income approach.
D. Replacement cost approach.
Answer: B
Rationale: The sales comparison approach is usually most reliable for vacant land
because it directly analyzes market transactions for comparable parcels, adjusting
for differences.
, 5. A PVA is performing mass appraisal. Which principle is most critical to
ensure uniformity across similar properties?
A. Highest and best use analysis for each individual property.
B. Application of consistent valuation models and standardized procedures.
C. Personal interviews with individual owners for each property.
D. Insuring each property receives an on-site inspection every year.
Answer: B
Rationale: Mass appraisal depends on consistent, repeatable models and
procedures applied uniformly across groups of properties; while inspections and
highest and best use matter, consistent methods ensure equity.
6. Under Kentucky law, which of the following is commonly exempt from ad
valorem taxation?
A. Privately owned commercial office buildings.
B. Property owned by qualifying charitable organizations used for charitable
purposes.
C. All agricultural land regardless of use.
D. Vacant residential lots.
Answer: B
Rationale: Exemptions are available for property used by certain
nonprofit/charitable organizations for charitable purposes subject to statutory
requirements and application; private commercial property is taxable.
7. When using the income approach for an apartment building, which of the
following is the correct first step?
A. Estimate the building’s replacement cost.
