At what point must the workfile for an assignment exist?
Correct Answer
C) By the time the report is delivered — and it must be retained afterward
Why this is correct: USPAP requires a workfile to be in existence prior to the report's delivery and retained for a minimum period (typically five years) afterward. It supports the appraiser's analysis and conclusions. Why the other choices are wrong: "Within thirty days after the report has been delivered" is too late; it must exist upon delivery. "Only when a state board or a court specifically requests to see it" is incorrect; it must exist proactively. "At the moment the appraiser first accepts the engagement" is premature; it develops during the assignment. Exam tip: Workfile must exist *before* you deliver the report. No file, no report.
Why This Is the Correct Answer
Why this is correct: USPAP requires a workfile to be in existence prior to the report's delivery and retained for a minimum period (typically five years) afterward. It supports the appraiser's analysis and conclusions. Why the other choices are wrong: "Within thirty days after the report has been delivered" is too late; it must exist upon delivery. "Only when a state board or a court specifically requests to see it" is incorrect; it must exist proactively. "At the moment the appraiser first accepts the engagement" is premature; it develops during the assignment. Exam tip: Workfile must exist *before* you deliver the report. No file, no report.
More USPAP Questions
Which type of appraisal report may contain the appraiser's analyses, opinions, and conclusions but is intended for use by the client only?
How long must an appraiser retain the workfile for an appraisal assignment under USPAP?
If an appraiser uses a hypothetical condition that the subject property is 10% larger than it actually is, this must be:
Under Standard 1, when developing a real property appraisal, an appraiser must:
An appraiser accepts an assignment to appraise a specialized industrial property but has never appraised this property type before. To comply with the Competency Rule, the appraiser:
According to the Scope of Work Rule, the scope of work must be appropriate to the:
According to Standard 1, when developing an opinion of market value, an appraiser must analyze:
A lender emails: 'We need at least $450,000 to make this loan work — can you take the assignment?' Accepting on that basis is:
An appraiser is developing an opinion of market value for a 20-unit apartment building. The appraiser finds three comparable sales with the following information: Sale 1: 18 units, sold for $1,800,000; Sale 2: 22 units, sold for $2,200,000; Sale 3: 24 units, sold for $2,280,000. What is the average price per unit for these comparables?
In developing a scope of work, an appraiser must consider all of the following factors EXCEPT:
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