Valuation & AppraisalPregunta 50 de 120

The cost approach to value is most appropriate for appraising:

a.A newly built school or church
b.A tract home with many comparable sales
c.An apartment building generating rent
d.Bare farmland

Explicación

The cost approach estimates value as land value plus the depreciated cost to reproduce or replace the improvements. It works best for new or special-purpose properties like schools, churches, and public buildings that rarely sell. Because such properties lack comparable sales and income, the other approaches are less reliable.

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