Register
A property is being appraised by the Cost Approach. The appraiser estimates that the land is worth $33,000 and the replacement cost of the home is $110,000. A new $20,000 garage was recently added. Total
204k views
5 votes
A property is being appraised by the Cost Approach. The appraiser estimates that the land is worth $33,000 and the replacement cost of the home is $110,000. A new $20,000 garage was recently added. Total depreciation from all causes is $7,000. What is the indicated value of the property?

User Orandov
by
5.2k points

1 Answer

6 votes

Answer: The value of the property is $156000.

Explanation: The value according to the cost approach is given by

(The estimated value of the land + The replacement cost of the house + additional improvements) - (Depreciation).

Therefore the calculation is:

(33000 + 110000 + 20000) - (7000) = $ 156000.

User Rob Hruska
by
6.0k points
Ask a Question
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.

5.9m questions

7.7m answers

Other Questions

_____ reminds customers and clients that they made a good choice in selecting a company with which to do business, or it reminds them of the good qualities of their purchase.​
Demonstrate how binomial nomenclature is related to classification systems by identifying the genus name and the specific name of the domestic cat felis catus
On august 1 the darius co. purchased a photocopy machine for $8,000. the estimated annual depreciation on the machine is $1,680. if the company prepares annual financial statements on december 31, the
When president obama was elected, the u.s. economy was in trouble, and has slid into a recession. consumer spending was low and getting worse. in an effort to stop the decline, president obama proposed
In a gallup poll of 1059 randomly selected adults, 39% answered "yes" when asked "do you have a gun in your home?"
Link Copied!