Practice Test GeeksCAE - Certified Assessment Evaluator Practice Test
← All CAE Flashcard Decks

Mass Appraisal and Statistical Analysis Flashcards

7 cards from real CAE practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

Read the first 7 Mass Appraisal and Statistical Analysis flashcards as text

  1. How is the coefficient of dispersion (COD) calculated in a ratio study?

    Answer: Average absolute deviation of ratios from the median ratio, divided by the median ratio, times 100

    COD measures uniformity as the average absolute deviation from the median expressed as a percentage of the median.

  2. Under IAAO ratio study standards, what COD range is generally acceptable for newer or fairly homogeneous single-family residential properties?

    Answer: 5.0 to 10.0

    IAAO recommends a COD of 5.0 to 10.0 for newer or homogeneous single-family residential strata.

  3. What is the IAAO-recommended acceptable range for the price-related differential (PRD)?

    Answer: 0.98 to 1.03

    IAAO standards state PRDs between 0.98 and 1.03 are generally acceptable.

  4. A ratio study produces a PRD of 1.08. What does this most likely indicate?

    Answer: Assessment regressivity, with high-value properties underappraised relative to low-value properties

    A PRD above 1.03 suggests regressivity, meaning higher-priced properties are assessed at lower ratios.

  5. What is the IAAO-recommended acceptable range for the overall level of appraisal (median ratio)?

    Answer: 0.90 to 1.10

    IAAO standards call for the median ratio to fall between 0.90 and 1.10.

  6. What is the generally acceptable range for the price-related bias (PRB) coefficient?

    Answer: -0.05 to +0.05

    IAAO considers PRB values between -0.05 and +0.05 acceptable for vertical equity.

  7. Why is 'sales chasing' a serious problem in ratio studies?

    Answer: It makes sold properties' values match sale prices, producing misleadingly good ratio statistics that do not represent unsold properties

    Selectively revaluing sold parcels toward their prices biases ratio study results and hides inequity in unsold parcels.

How this page was made: written with AI tools and published by Nathan Beja, founder of Practice Test Geeks, who is responsible for its content. Exam facts are checked against the official sources listed below. Not reviewed by a subject-matter expert. Editorial policy

Sources & references

Exam facts on this page (fees, format, dates, passing scores) are checked against these official sources; the date is our last check. Editorial policy

  1. iaao.org — Passing score, renewal, retake policy, score validity, score release, test delivery, eligibility, time limit, fees, retake fee · verified Oct 2026