Across
- 3. An opinion, an estimate of value
- 5. A tangible asset used in a business that are of a relatively fixed or permanent nature (2 words)
- 6. Principle that states that the maximum market value is reached when the four agents of production attain a state of equilibrium
- 11. Principle which states that the value of a property depends, to some extent, on its relation to its surroundings
- 12. Acquisition cost less ACCOUNTING depreciation (2 words)
- 13. Principle which states that the market value of a property is set by the cost of acquiring an equally desirable and valuable property. This principle underlies the three approaches to value.
- 16. ______________ improvements are upgrades made by a lessee to a leased property
- 18. The right of any person to possess, use, enjoy, and dispose of a thing
- 20. Principle which states that value is created by expected future benefits to be derived from property
- 21. Economic resources of a business. For example: cash, accounts receivable, inventory, land, buildings, and machinery
- 22. A lease in which there is a transfer of ownership at any point during or after the lease, the lease term exceeds 75% of the economic useful life, or lease value exceeds 90% of the fair market value of leased equipment at acquisition
- 23. The __________ approach to value uses a capitalization process to convert the anticipated benefits of ownership of property into an estimate of present value.
- 24. A formal record of a particular type of transaction express in money or other unit of measurement and kept in a ledger
- 25. Property such as copyrights, patents, franchises, and goodwill are known as ___________ property.
- 28. The ___________________ approach compares the subject property with comparable property that has recently sold (2 words)
- 29. The four agents of production are land, labor, capital, and _______________.
- 32. A rental agreement where there is no transfer of ownership and no investment of tax credit transfer (2 words)
- 34. Shows the "snapshot" of a business as of a given point in time. Lists assets, capital, and liabilities (2 words)
- 36. Property tax is an ad valorem tax meaning according to _________.
- 37. The first adjustment in the sales comparison approach should be made for special ________________.
- 38. Loss in value from any cause
- 40. The estimated period over which it is anticipated that a property may be profitable (2 words)
- 41. A __________ identification system should be unique, permanent, simple, easy to maintain, flexible, and refer to the geographic location of property
Down
- 1. Claims upon the economic resources of a business. For example: accounts payable, salaries payable, and taxes
- 2. The method of valuation that is based on the theory that the market value of an improved parcel can be estimated as the sum of the land value and the estimated depreciated value of the improvements
- 4. The sacrifice made in the acquisition of property
- 7. A type of trend affecting the value of property including jobs, incomes, foreclosure rates, lender attitudes, utility costs, and property taxes
- 8. Principle which states that supply must be in harmony with demand. When one is in excess, prices will fluctuate.
- 9. Stocks of goods intended to be consumed during the normal course of business but do NOT include raw materials, goods in process, or inventory held for sale
- 10. The fraction or percentage of market value for the purpose of taxation (2 words)
- 14. Principle which states that the value of a component of property relates to its contribution to the property as a whole, not the cost of the component
- 15. A type of trend affecting the value of property including age/marital status/family size of residents, crime, and community cohesiveness
- 17. the merging of adjacent properties into one common ownership with no change in value
- 19. Property not permanently affixed to or part of the realty (2 words)
- 20. The process of associating income tax expense with related income
- 26. The level of trade with the highest market value is the ______________.
- 27. The combining of two or more sides creating a site that has a greater utility and an increased value
- 30. A type of trend affecting the value of property including laws, regulations, building codes, zoning, municipal services, and special assessments
- 31. Principle which states that property must be valued with a single use for the entire property (2 words)
- 33. Principle which states that market value is never constant because of physical, economic, governmental, and social factors working to change property and its environment
- 35. A type of trend affecting the value of property including location, size, proximity to support facilities, appearances, and maintenance
- 39. The physical location of property