While It Is Often Sufficient to Rely on Informal Methods

question 14

Multiple Choice

While it is often sufficient to rely on informal methods of estimating the market value of real estate assets,the complexity and large dollar value of many real estate decisions dictate that formal estimates based on methodical collection and analysis of relevant market data should be utilized.The unbiased written estimate of the market value of a property is
Commonly referred to as a(n) :

• A)arm's length transaction
• B)appraisal
• C)property adjustment
• D)reconciliation

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Definitions:

Promoter

An individual or company responsible for organizing, financing, or sponsoring an event, project, or business venture, often prior to its creation.

Unsecured Promissory Note

A financial agreement for borrowing money that does not require collateral from the borrower.

Total Book Value

The net value of a company's assets found on its balance sheet, calculated by subtracting total liabilities from the total assets.

Corporate Promoter

An individual or entity involved in establishing a company or raising capital for it before its incorporation.