IACP Reporting Standards & Documentation Practices 5

Question 1

An appraiser completes a report and later discovers a significant error that affects the value conclusion. USPAP requires the appraiser to:

Accepted Answer

Notify the client and correct the report

Answer

Upon discovering a material error, the appraiser must promptly notify the client and issue a corrected or amended report.

Question 2

The signature on an appraisal report certifies that the appraiser:

Accepted Answer

Is responsible for and stands behind the contents of the report

Answer

Signing the report means the appraiser takes responsibility for the analysis, opinions, and conclusions contained in it.

Question 3

When a supervisory appraiser co-signs an appraisal prepared by a trainee, the supervisory appraiser is:

Accepted Answer

Equally responsible for the content and conclusions

Answer

A co-signing supervisory appraiser assumes equal responsibility for the entire appraisal report.

Question 4

The scope of work for an appraisal assignment must be disclosed in the report at a level of detail that:

Accepted Answer

Allows intended users to understand what was and was not done

Answer

USPAP requires scope of work disclosure sufficient for intended users to understand what the appraiser did and did not do in the assignment.

Question 5

A client asks an appraiser to omit a negative property characteristic from the report. The appraiser should:

Accepted Answer

Refuse, because omitting material information violates USPAP

Answer

Omitting material information that could mislead intended users violates USPAP's prohibition on misleading reports.

(IACP) Independent Appraisers Certification Program Practice Test