QUESTION: 13

"The amount at which property would change hands between a willing seller and a willing buyer, when neither is acting under compulsion and when both have reasonable knowledge of the relevant facts". This definition is related to:

Investment value
Fair market value
Litigation value
Standard of value

Answer(s): B

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QUESTION: 14

"Market value is the most probable price which a property should bring in a completive and open market under all conditions requisite to fair sale the buyer and seller each acting prudently and knowledgeably, and assuming the price is not affected by undue stimulus." Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions/s whereby:

Buyer and seller are typically motivated
Both parties are well informed or well advised and acting in what they consider their best interests
A reasonable time is allowed for exposure in the open market
Differences in financing costs and tax status

Answer(s): A,B,C

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QUESTION: 15

Virtually, all businesses or interests in businesses may be appraised under some alternatives premises of value. Which of the following is not out of those premises?

Value as a going concern
Value as an assemblage of assets
Value as an orderly disposition
Value as a sudden liquidation

Answer(s): D

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QUESTION: 16

Statutory law Case law
Administrative rulings
Company documents
Contracts between parties precedent established by prior transactions Legal documents. These are some of the most important sources of guidance as to:

The applicable standard and premises of value for the given situation.
The appraiser's experience and judgment.
The selection of appropriate premise
The value of the same business enterprise

Answer(s): A

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QUESTION: 13

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QUESTION: 16