Free RPRA Practice Questions

Question 1

The engagement calls for a review of a farm appraisal and the reviewer's own opinion of market value. The reviewer verifies and adopts sound sales data from the appraisal but replaces an unsupported income analysis. The resulting value differs from the original conclusion. Which reporting approach is permitted by USPAP?

Accepted Answer

Report both opinions in the review report, identifying adopted material and supporting the additional valuation work.

Answer

Keep the review limited to quality, because the new value must appear in a separate appraisal report.

Answer

Revise the original appraisal and sign its certification, because adopting its data makes the reviewer a coauthor.

Answer

Present the revised figure as a review conclusion only, without developing it under the real-property appraisal requirements.

Question 2

A 240-acre farm has 180 income-producing crop acres rented at $400 per acre annually. The remaining acreage provides access and drainage but no separate income. A farmhouse produces another $12,000 in annual rent. All leases are at market, with no vacancy or collection loss. Annual property operating expenses are $18,000; mortgage debt service is $48,000. Comparable sales support a 6.0% overall capitalization rate on the same expense and reserve basis. What total-property value does direct capitalization indicate?

Accepted Answer

$1,100,000

Answer

$300,000

Answer

$900,000

Answer

$1,500,000

Question 3

A proposed federal acquisition crosses one of two ranch tracts held by the same owner. A public highway separates the tracts, but a legally established crossing connects them. One tract contains the calving facilities and the other supplies seasonal grazing. Market evidence supports continued operation and sale as an integrated ranch. The county assigns separate tax-parcel numbers. What most strongly supports treating the tracts as one larger parcel?

Accepted Answer

Their integrated economic use, supported by common ownership and a functional connection.

Answer

Their common ownership, regardless of whether the tracts contribute to the same economic use.

Answer

Their combined acreage, provided it is comparable to the typical ranch sold in that county.

Answer

Their separate tax identification, which allows each tract's stand-alone value to be added without further analysis.

Question 4

Twenty-one months ago, an appraiser valued an orchard for a private client. A lender now asks the appraiser to review someone else's appraisal of that orchard. The earlier client permits disclosure that the prior appraisal occurred but has not authorized release of its results. The appraiser can remain impartial, and no separate independence restriction applies. How should the appraiser handle the prior service?

Accepted Answer

Disclose the service before accepting and in the review certification, while protecting the earlier assignment results.

Answer

Decline the review because appraising the property within the preceding three years creates an automatic disqualification.

Answer

Accept without disclosure because the earlier assignment was an appraisal rather than a review of this report.

Answer

Disclose the service and its value conclusion, because the new lender needs both to assess the reviewer's independence.

Question 5

A donated conservation easement prohibits subdivision but expressly reserves one lawful homesite and continued farming. Verified sales show that the reserved homesite adds value. The appraisal's before value correctly reflects the property's existing rights, but its after value assumes that no residence can be built. Holding the other analyses constant, how does this error affect the easement valuation?

Accepted Answer

The after value is understated, so the reported easement value is overstated.

Answer

The before value is overstated, so the reported easement value is overstated.

Answer

The after value is overstated, so the reported easement value is understated.

Answer

The after value is understated, so the reported easement value is understated.

Question 6

For an acquisition governed by 49 CFR 24.103, the evidence separates three influences on a farm's current value: a regional increase in agricultural land prices unrelated to the project, a price decline caused by anticipated acquisition, and barn deterioration within the owner's reasonable control. The appraiser removes all three influences to reproduce the property's preannouncement value. The review should instead require which treatment?

Accepted Answer

Exclude the acquisition effect; retain the independent market change and the owner-controlled deterioration.

Answer

Retain all three influences because market value must reflect every condition observed on the valuation date.

Answer

Exclude the acquisition effect and the deterioration, but retain the independently supported regional price increase.

Answer

Exclude the regional increase and acquisition effect, but retain the owner-controlled deterioration in the analysis.

Question 7

In a one-family appraisal, Sale 1 has a 2% net adjustment and a 38% gross adjustment. Sale 2 has a 9% net adjustment and an 11% gross adjustment. Both calculations are correct. The appraiser gives Sale 1 greater weight solely because its net adjustment is smaller. No client or program adjustment limit applies. Which review comment identifies the weakness in that reasoning?

Accepted Answer

Sale 1's small net change masks larger offsetting adjustments; its weighting needs support beyond that percentage.

Answer

Sale 1 should be excluded because offsetting upward and downward adjustments invalidate the comparison.

Answer

Sale 2 must receive greater weight because the lower gross percentage conclusively establishes superior reliability.

Answer

Sale 1 needs a second deduction for its gross adjustments before its adjusted price can be compared with Sale 2.

Question 8

A produce-packing building is well maintained, but its loading openings cannot accommodate the trucks used by current tenants. Competing buildings with suitable openings command higher rents; local demand has not weakened. Enlarging the openings is physically possible, but the complete alteration cost exceeds the supported increase in property value. Which depreciation classification fits these findings?

Accepted Answer

Incurable functional obsolescence

Answer

Curable functional obsolescence

Answer

Curable physical deterioration

Answer

Incurable external obsolescence

Question 9

A federal partial acquisition impairs access to a farm's remainder. Without a cure, the supported remainder loss is $230,000. Plan A costs $70,000 in construction plus $20,000 in indirect and delay costs, and leaves $65,000 in residual market-value loss. Plan B costs $145,000 in total and eliminates the loss. Both plans are legally and physically feasible on the remainder; the figures capture all costs and value effects recognized by buyers. Apart from the value of the land acquired, what measure of remainder damage is supported?

Accepted Answer

$145,000, using Plan B's complete cure

Answer

$90,000, using Plan A's direct and indirect costs

Answer

$155,000, using Plan A plus its residual loss

Answer

$230,000, using the loss without either cure

Question 10

At a commercial grain elevator, a review appraiser is asked to enter a steel grain bin to inspect its liner. A calibrated instrument reads 17.8% oxygen inside the bin. The appraiser has no bin-entry training or supplied-air equipment. Which response addresses the immediate inspection hazard?

Accepted Answer

Do not enter; notify the site safety lead and arrange for safe collection of the needed condition information.

Answer

Enter with a dust respirator while an employee remains at the hatch to maintain visual contact.

Answer

Proceed after auger lockout, because isolating the machinery removes the significant hazards associated with the inspection.

Answer

Start the ventilation fan and enter after several minutes, using the fan's operation as confirmation of safe air.

Free RPRA Practice Questions

Domain 1: ASFMRA Best in Business Ethics

Question 1

Domain 2: Integrated Approaches to Value (A360 or A304)

Question 2

Question 3

Domain 3: Uniform Appraisal Standards for Federal Land Acquisitions (Yellow Book) Course

Question 4

Domain 4: Eminent Domain (A430 or A250)

Question 5

Question 6

Domain 5: Valuation of Conservation Easements and Other Partial Interests in Real Estate (A420 or A315)

Question 7

Domain 6: Foundations of Appraisal Review (A600)

Question 8

Question 9

Question 10

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