RICS APC Measurement and Valuation

Question 1

Under the RICS Code of Measuring Practice (6th Edition), what does 'GIA' stand for?

Accepted Answer

Gross Internal Area

Answer

General Internal Assessment

Answer

Gross Investment Appraisal

Answer

Ground Internal Area

Question 2

Which of the five methods of valuation is most commonly used for standard residential properties in the UK?

Accepted Answer

Comparison method

Answer

Investment method

Answer

Profits method

Answer

Residual method

Question 3

In the RICS Red Book, what does the term 'Market Value' represent?

Accepted Answer

The estimated amount for which an asset should exchange on the valuation date between a willing buyer and seller in an arm's-length transaction

Answer

The price a developer would pay

Answer

The insurance replacement cost

Answer

The forced sale price

Question 4

What is a 'yield' in property investment valuation?

Accepted Answer

The relationship between income and capital value, usually expressed as a percentage

Answer

The total rental income received

Answer

The profit from selling a property

Answer

The cost of building a property

Question 5

What does 'NIA' measure in commercial property?

Accepted Answer

Net Internal Area

Answer

Net Investment Appraisal

Answer

New Interior Assessment

Answer

National Investment Area

Question 6

Which valuation method would typically be used to value a hotel or petrol station?

Accepted Answer

Profits method

Answer

Comparison method

Answer

Contractor's method

Answer

Residual method