USPAP USPAP Scope of Work Rule 2

Question 1

Under USPAP, 'scope of work' is defined as the type and extent of:

Accepted Answer

Research and analyses applied in an assignment

Answer

USPAP defines scope of work as the type and extent of research and analyses performed in an appraisal or appraisal review assignment.

Question 2

An appraiser performs a desktop appraisal without an interior inspection. This is permissible under USPAP if:

Accepted Answer

The scope of work is adequate for the intended use and this is disclosed

Answer

A desktop appraisal (no inspection) is acceptable if the reduced scope still produces credible results for the intended use and the limitation is disclosed in the report.

Question 3

The benchmark for evaluating whether a scope of work is appropriate under USPAP is:

Accepted Answer

The actions of appraisers' peers performing similar assignments

Answer

USPAP evaluates the appropriateness of scope of work against what similar assignments would typically require — the 'similar assignment' standard used by peers.

Question 4

Under USPAP, the scope of work for an assignment is established:

Accepted Answer

At the time of assignment acceptance, considering all assignment conditions

Answer

The scope of work is established at the time of assignment acceptance, taking into account all known assignment conditions and requirements.

Question 5

Which of the following is a key component appraisers must consider when establishing scope of work?

Accepted Answer

The intended use of the appraisal

Answer

The intended use of the appraisal is a critical factor because it determines what level of research and analysis is needed to produce credible results.

USPAP Exam Practice Test

USPAP Exam Practice Test

USPAP USPAP Scope of Work Rule 2