ValuationAppraisal MethodsMEDIUM
Cost approach:
Correct Answer
B) Replacement cost - depreciation + land
Replacement/reproduction cost minus depreciation plus land value.
Answer Options
A
Compares salesB
Replacement cost - depreciation + landC
Capitalizes incomeD
Uses tax assessmentWhy This Is the Correct Answer
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Why the Other Options Are Wrong
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Deep Analysis of This Valuation Question
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Background Knowledge for Valuation
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Real World Application in Valuation
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Common Mistakes to Avoid on Valuation Questions
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Related Topics & Key Terms
Related Topics:
replacementdepreciationland-valuation
Key Terms:
cost approachreplacementdepreciationland
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More Valuation Questions
The appraisal principle of substitution states that:
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