SAEE International Valuation Standards 4

Question 1

Which IVS asset standard addresses the valuation of businesses and business interests?

Accepted Answer

IVS 200

Answer

IVS 300

Answer

IVS 400

Answer

IVS 500

Question 2

When valuing intangible assets under IVS, which approach is frequently applied using relief-from-royalty?

Accepted Answer

Income approach

Answer

Cost approach

Answer

Market approach

Answer

Replacement approach

Question 3

What is a 'special purchaser' under IVS?

Accepted Answer

A buyer for whom the asset has special value above the market

Answer

A buyer who pays only the minimum price

Answer

A government agency only

Answer

A buyer who never completes transactions

Question 4

Under IVS, the date on which the value estimate applies is called the:

Accepted Answer

Valuation date

Answer

Report date

Answer

Inspection date

Answer

Instruction date

Question 5

Which factor would a valuer most likely treat as a 'special assumption'?

Accepted Answer

Assuming planning permission is granted that does not yet exist

Answer

Using the actual current physical state

Answer

Using verified market comparables

Answer

Applying the agreed valuation date

Question 6

Under IVS, professional skepticism requires the valuer to:

Accepted Answer

Critically assess evidence rather than accept it uncritically

Answer

Distrust all clients permanently

Answer

Ignore management forecasts

Answer

Refuse all assignments

Question 7

Which of the following is an example of value being affected by 'marriage value' (synergistic value)?

Accepted Answer

Combining two adjacent plots worth more together than separately

Answer

A single plot valued at market rate

Answer

An asset's insured value

Answer

The book value of equipment