USPAP Exam Practice Test
USPAP Scope of Work and Reporting Requirements 3
What is the key difference between an 'assumption' and an 'extraordinary assumption' in USPAP?
Select your answer
A
An assumption is always false; an extraordinary assumption is always true
B
An ordinary assumption is reasonable and supportable; an extraordinary assumption treats an uncertain condition as certain
C
Assumptions are used only in the cost approach; extraordinary assumptions apply to the income approach
D
There is no meaningful difference under current USPAP
Hint
