CFE Statistical Analysis & Mass Appraisal 3

Question 1

Which of the following best describes 'time trending' in a mass appraisal ratio study?

Accepted Answer

Adjusting sale prices to a common effective date to account for market changes over time

Answer

Trending the replacement cost of improvements using a cost index

Answer

Calculating the depreciation trend for aging properties

Answer

Projecting future assessed values based on prior-year data

Question 2

In Florida, the just value standard used for mass appraisal is most closely aligned with:

Accepted Answer

Market value as of January 1 of the tax year

Answer

Investment value

Answer

Liquidation value

Answer

Assessed value after Save Our Homes cap

Question 3

An outlier sale in a ratio study is typically identified using:

Accepted Answer

A trimming or truncation method based on the interquartile range or standard deviations

Answer

The mean sale price divided by median assessed value

Answer

The county's highest and lowest recorded sale prices

Answer

The appraisal district's approved sales list only

Question 4

Which of the following is NOT a common mass appraisal valuation model type?

Accepted Answer

Feedback assessment model (FAM)

Answer

Adaptive estimation procedure (AEP)

Answer

Multiple regression analysis (MRA)

Answer

Comparable sales or market-derived adjustments model

Question 5

The Weighted Mean ratio in a sales ratio study is calculated by:

Accepted Answer

Dividing the sum of all assessed values by the sum of all sale prices

Answer

Averaging individual ratios after weighting each equally

Answer

Multiplying the median ratio by the number of sales

Answer

Dividing the sum of all sale prices by the sum of all assessed values

Question 6

In mass appraisal modeling, 'specification error' occurs when:

Accepted Answer

Important property characteristics are omitted from or incorrectly represented in the model

Answer

The assessor incorrectly enters data into the CAMA system

Answer

The sales ratio exceeds the state's acceptable COD threshold

Answer

The regression model produces a negative R-squared value

Question 7

Florida's Department of Revenue uses ratio studies to determine whether a county property appraiser meets the statutory assessment standard. What minimum level of just value is generally required?

Accepted Answer

At least 90% of just value

Answer

At least 80% of just value

Answer

At least 85% of just value

Answer

At least 95% of just value