CGA EXACT QUESTIONS WITH COMPLETE
ANSWERS ALREADY GRADED A+
The h"as hvacant" hhighest hand hbest huse his hfor hretail hand hthe has himproved hhighest
hand hbest huse his hfor hsingle htenant-office h.... hWhat hprinciple hunderlies hthe hvaluation
hprocess? h- hANS-Consistent hUse
A hproperty's hsite his hleased hfor h$40,000 hper hyear, hwhich his hconsidered hthe hmarket
hrate. hThe hsite hrepresents h35% hof hthe htotal hvalue. hThe hoverall hcap hrate his h10%
hand hthe hbuilding hcap hrate his h11%. hWhat his hthe hsite hvalue? h- hANS-$491,228
A hproperty hwas hpurchased hfor h$325, h000 hand hthe hbuyer hexpected hto hhold hthe
hproperty hfor hfive hyears. hThe hpro hforma hprojections hcall hfor ha hnet hoper. hincoome
hof h$30,000 hfor hYrs h1 h& h2, h$35,000 hfor hYrs h3& h4 hand h$37,000 hfor hYr. h5. hThe
hproperty his hexpected hto hincrease hin hvalue hto h$375k hat hthe hend hof hthe hholding
hperiod. hWhat his hthe hoverall hcapitalization hrate hfrom hthe hinvestment? h- hANS-12.5%
In hpreparing ha hmarket hvalue happraisal hwith hretrospective hdate hof hvalue, his hthe
happraiser hallowed hto hconsider hany hinfo hafter hthe heff. hdate hof hvalue, hand hwhy? h-
hANS-Yes, hthe happraiser hmay huse hdata hsubsequent hto hthe heff. hdate has ha
hconfirmation hof htrends.
Which hof hthe hfollowing hdemand-side heconomic hfactors hcreates hvalue? h- hANS-
Desire hand heffective hpurchasing hpower
*"Always hAppears" h- hIf hthe hoverall hcap hrate hfor hthe hfee hsimple hinterest his h10%
hand hthe hleased hfee hcap hrate his h8.5%, hmarket hnet hoperating hincome his h$20,000
hand hcontract hnet hoperating hincome his h$12,500. hWhat his hthe himplied hleasehold
hcap hrate? h- hANS-14.17%
A hstaff happraiser, hemployed hby ha hlocal hbank hfor h5 hyears, hplans hto hleave hthe
hbank hto hopen han hindependent happraisal hbusiness. hMust hthe happraiser hremove hall
hwork hfiles hfor hassignments hcompleted hfor hthe hbank? h- hANS-No; hthe happraiser
hmay hmake harrangements hwith hthe hbank hto haccess hor hretrieve hthe hfiles.
The hsubject hproperty his ha h5,000 hsf hsingle htenant hoffice hbuilding hthat his hcurrently
hleased hfor h$9.00 hper hsf hwith hthree hyears hremaining hon hthe hlease... hvacancy
hcredit hloss h10% h... howner hexpenses h25% hof hof heff. hgross hincome h... hmarket hrent
h$12 hper hsf hper hyear. hMarket hoverall hrates h9.5%. ha hsale hof ha hleasehold hinterest
hsold hfor h$29,000 hwith ha hnet hleasehold hinocme hof h$12000 hper hyear hwith h3 hyrs
hremaining. hWhat his hthe hvalue hof hthe hleasehold hestate, hrounded hto hthe hnearest
h$1000 h- hANS-$36,000
, A hproperty hsold hfor h$330, h000 hwith h10% hdown, hfinanced hat h7.5% hinterest hfor h20
hyears hwith hmonthly hpayments. hThe hproperty hhas ha hgross hannual hincome hof h$42k.
h/ hVacancy h/ hcollection hloss htotals h8% hand hexpenses hare h$8k hper hyear. hWhat his
hthe hequity hdividend hrate hindicated hby hthis hsale? h- hANS-5.85%
The hmarket hvalue hof ha hproperty his h$2,300,000 hat hstabilized hoccupancy. hThe hdirect
hbuilding hcost his h$1,500,000. hThe hindirect hcosts hare h$200,000 hand hthe hland hcosts
hare h$125,000. hWhat his hthe hindicated hentrepreneurial hprofit? h- hANS-$475,000
What hterm hrefers hto ha hdivision hof ha htotal hmarket hbased hon hthe hpreferences hof
hbuyers hand hsellers? h- hANS-Submarket
The hsubject hproperty hhas h200 hacres hon himproved hpasture, h300 hacres hof hnative
hpasture, hand h500 hacres hof hwoodland. hComp hA hhas h300 hacres hof himproved
hpasture, h300 hacres hof hnative hpasture, hand h400 hacres hof hwoodland. hComp hA hsold
hfor h$1050 hper hacre. hAssuming hnative hpasture hsells hfor h80% hof himproved hpasture
hprices hand hwoodland hsells hfor h40% hof himproved hpasture hprices, hwhat his hthe hper
hacre hvalue hof hthe hsubject hproperty? h- hANS-$960 hper hacre
An hapartment hcomplex hwas hpurchased h5 hyrs hago hfor h$850k, hthe howner hreceived
hthe hfollowing hnet hcash hflows:
1: h50k
2: h52k
3: h48k h("sometimes hthe hnumber his hanother h50k")
4: h53k
5: h54k
At hthe hend hof hyr. h5 hthe howner hsold hthe hproperty hfor h$975,000. hWhat his hthe hIRR
hfrom hthis hinvestment? h- hANS-8.51%
An hoffice hbuilding his hexpected hto hgenerate hthe hfollowing hover hits h5 hyear hholding
hperiod:
Yr h1: h$120,000
Yr h2: h$130,000
Yr. h3: h$120,000
Yr. h4: h$140,000
Yr. h5: h$145,000
If hthe happropriate hyield hrate his h13% hwhat his hthe hlevel hincome hequivalent hof hthis
hincome hstream? h- hANS-$129, h572
What htechnique hcan hbe hutilized hto hvalue ha hleasehold hestate? h- hANS-Present
hworth hof hthe hrent hadvantage.
The happraiser his hasked hto hvalue ha hproposed hassisted hliving hfacility. hThe happraiser
hsurveys hthe hbed hcount hand hoccupancy hat hexisting hfaciiliites, hchecks hwith hlocal
