Perry Real Estate College Final Exam Verified
Multiple Choice and Conceptual Actual
Emended Exam Questions With Reviewed 100%
Correct Detailed Answers
Guaranteed Pass!!Current Update!!
1. Which of the following best describes functional obsolescence in property
valuation?
A. A decrease in value due to external factors
B. Wear and tear due to aging
C. A loss of value due to outdated design or layout
D. Damage caused by natural disasters
C – A loss of value due to outdated design or layout
2. An example of functional obsolescence would be:
A. A house with peeling paint
B. A home located near a landfill
C. A five-bedroom house with only one bathroom
D. Cracks in the foundation
C – A five-bedroom house with only one bathroom
3. Which type of depreciation is most commonly associated with poor floor
plans or lack of modern amenities?
A. Physical deterioration
B. Functional obsolescence
C. Economic obsolescence
D. Curable depreciation
B – Functional obsolescence
, 4. A property has a market value of $450,000 and depreciates at 2%
annually. What will be its value after 3 years?
A. $423,000
B. $432,180
C. $441,000
D. $425,400 B – $432,180
5. Curable functional obsolescence is best described as:
A. A condition that cannot be fixed
B. A condition caused by external economic forces
C. A deficiency that can be economically corrected
D. A condition that requires complete demolition
C – A deficiency that can be economically corrected
6. Which of the following would be classified as economic obsolescence?
A. A cracked driveway
B. A roof needing replacement
C. A rise in crime rates in the neighborhood
D. Outdated kitchen appliances
C – A rise in crime rates in the neighborhood
7. How does functional obsolescence differ from physical deterioration?
A. It results from natural aging
B. It is caused by external market forces
C. It refers to a property's layout or design issues
D. It affects only commercial properties
C – It refers to a property's layout or design issues
, 8. An appraiser notes that a property has no central heating in a cold region.
This is an example of:
A. Physical deterioration
B. Functional obsolescence
C. External depreciation
D. Incurable economic obsolescence
B – Functional obsolescence
9. What valuation approach is most appropriate when determining
depreciation from obsolescence?
A. Income approach
B. Sales comparison approach
C. Cost approach
D. Gross rent multiplier C – Cost approach
10.Which scenario most likely reflects incurable functional obsolescence?
A. A leaky roof that can be replaced
B. A property with no off-street parking in a dense city
C. An outdated carpet
D. A cracked windowpane
B – A property with no off-street parking in a dense city
1. What does "nonconforming use" refer to in zoning law?
A. Illegal land use in any area
B. Use of property that was legal under old zoning but not current laws
C. Any violation of building codes
D. Use that has received a zoning variance
, 2. Which of the following is an example of a nonconforming use?
A. A home built without a permit
B. A factory still operating in an area now zoned residential
C. A store opened in a commercial zone
D. A warehouse using more space than its zoning allows
3. A legal nonconforming use is often allowed to continue based on what legal
principle?
A. Eminent domain
B. Police power
C. Grandfather clause
D. Adverse possession
4. Zoning laws are enforced at which level of government?
A. Federal
B. County or municipal
C. State
D. Private organizations
5. Which of the following would require a zoning variance?
A. Repairing a legal nonconforming property
B. Using land in a way prohibited by current zoning regulations
C. Continuing use under a grandfather clause
D. Changing zoning classification by court order
6. A property owner wants to convert a residential home into a small store in a
residential zone. What must they apply for?
A. Rezoning
B. Deed restriction
C. Special use permit
D. Building permit
7. Downzoning occurs when:
A. A property's zoning changes from more to less intensive use
B. A variance is denied
Multiple Choice and Conceptual Actual
Emended Exam Questions With Reviewed 100%
Correct Detailed Answers
Guaranteed Pass!!Current Update!!
1. Which of the following best describes functional obsolescence in property
valuation?
A. A decrease in value due to external factors
B. Wear and tear due to aging
C. A loss of value due to outdated design or layout
D. Damage caused by natural disasters
C – A loss of value due to outdated design or layout
2. An example of functional obsolescence would be:
A. A house with peeling paint
B. A home located near a landfill
C. A five-bedroom house with only one bathroom
D. Cracks in the foundation
C – A five-bedroom house with only one bathroom
3. Which type of depreciation is most commonly associated with poor floor
plans or lack of modern amenities?
A. Physical deterioration
B. Functional obsolescence
C. Economic obsolescence
D. Curable depreciation
B – Functional obsolescence
, 4. A property has a market value of $450,000 and depreciates at 2%
annually. What will be its value after 3 years?
A. $423,000
B. $432,180
C. $441,000
D. $425,400 B – $432,180
5. Curable functional obsolescence is best described as:
A. A condition that cannot be fixed
B. A condition caused by external economic forces
C. A deficiency that can be economically corrected
D. A condition that requires complete demolition
C – A deficiency that can be economically corrected
6. Which of the following would be classified as economic obsolescence?
A. A cracked driveway
B. A roof needing replacement
C. A rise in crime rates in the neighborhood
D. Outdated kitchen appliances
C – A rise in crime rates in the neighborhood
7. How does functional obsolescence differ from physical deterioration?
A. It results from natural aging
B. It is caused by external market forces
C. It refers to a property's layout or design issues
D. It affects only commercial properties
C – It refers to a property's layout or design issues
, 8. An appraiser notes that a property has no central heating in a cold region.
This is an example of:
A. Physical deterioration
B. Functional obsolescence
C. External depreciation
D. Incurable economic obsolescence
B – Functional obsolescence
9. What valuation approach is most appropriate when determining
depreciation from obsolescence?
A. Income approach
B. Sales comparison approach
C. Cost approach
D. Gross rent multiplier C – Cost approach
10.Which scenario most likely reflects incurable functional obsolescence?
A. A leaky roof that can be replaced
B. A property with no off-street parking in a dense city
C. An outdated carpet
D. A cracked windowpane
B – A property with no off-street parking in a dense city
1. What does "nonconforming use" refer to in zoning law?
A. Illegal land use in any area
B. Use of property that was legal under old zoning but not current laws
C. Any violation of building codes
D. Use that has received a zoning variance
, 2. Which of the following is an example of a nonconforming use?
A. A home built without a permit
B. A factory still operating in an area now zoned residential
C. A store opened in a commercial zone
D. A warehouse using more space than its zoning allows
3. A legal nonconforming use is often allowed to continue based on what legal
principle?
A. Eminent domain
B. Police power
C. Grandfather clause
D. Adverse possession
4. Zoning laws are enforced at which level of government?
A. Federal
B. County or municipal
C. State
D. Private organizations
5. Which of the following would require a zoning variance?
A. Repairing a legal nonconforming property
B. Using land in a way prohibited by current zoning regulations
C. Continuing use under a grandfather clause
D. Changing zoning classification by court order
6. A property owner wants to convert a residential home into a small store in a
residential zone. What must they apply for?
A. Rezoning
B. Deed restriction
C. Special use permit
D. Building permit
7. Downzoning occurs when:
A. A property's zoning changes from more to less intensive use
B. A variance is denied
