USPAP Ethics and Competency 3

Question 1

Under USPAP, 'impartiality' in the Ethics Rule means the appraiser must:

Accepted Answer

Perform analysis without a predetermined conclusion

Answer

Agree with the lender's value estimate

Answer

Use only government-approved data sources

Answer

Limit scope of work to what the client requests

Question 2

When must an appraiser disclose prior services performed on a property?

Accepted Answer

Before accepting or within the appraisal report if services occurred within three years

Answer

Never, to protect confidentiality

Answer

Only if the prior service was within three years

Answer

Only if the client specifically asks

Question 3

Which of the following scenarios would require invoking the Competency Rule?

Accepted Answer

Appraising a specialized industrial property the appraiser has never valued

Answer

Appraising a property type the appraiser has completed 50 times before

Answer

Using the income approach for the first time in a report

Answer

Using a software tool to run regression analysis

Question 4

What is the primary purpose of the Ethics Rule in USPAP?

Accepted Answer

To ensure appraisers produce credible, unbiased value opinions

Answer

To set minimum education requirements for appraisers

Answer

To establish fees that appraisers may charge

Answer

To define state licensing requirements

Question 5

Can an appraiser accept a fee for recommending a specific appraiser to a client?

Accepted Answer

No, referral fees for recommending appraisers are prohibited by USPAP

Answer

Yes, with no restrictions

Answer

Yes, but only if disclosed in the report

Answer

Yes, if approved by the state licensing board

Question 6

Under USPAP's Confidentiality section, which party is the appraiser permitted to share confidential assignment results with?

Accepted Answer

Only parties authorized by the client or law

Answer

Any member of the public upon request

Answer

Any licensed appraiser in the same firm

Answer

The property owner without restriction