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MCAO: Michigan Certified Assessing Officer

Instructions:

Answer 50 questions in 15 minutes.
If you are not ready to take this test, you can study here.
Match each statement with the correct term.
Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.

This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.

1. Used to value the income stream of a property
income approach
typical farm buildings
demand one
at value

2. The return on the investment called in the capitalization rate is _
Triangle computation of area
State Tax Commission
taxes
Interest or discount

3. Definition of ad valorem
Triangle computation of area
potential gross income; allowances; vacancy; rent loss; income; miscellaneous income
at value
Michigan General Property Tax Act

4. The _ must approve the application for an IFT before the State Tax Commission approves the application
income / value
12
local government unit
State Tax Commission

5. _ is estimating the cost of a building of similar design and utility
taxation - eminent domain - and police powers
Replacement cost
the usual selling price at the place where the property to which the term is applied shall be at the time of the assessment being the price which could be obtained therefore at private sale - and not at forced sale or auction sale
Number 1

6. Net income is _ minus _
at value
July and December BOR
the usual selling price at the place where the property to which the term is applied shall be at the time of the assessment being the price which could be obtained therefore at private sale - and not at forced sale or auction sale
potential income; vacancy - bad debt and operating expenses

7. IFT certificates are granted for _ years with a possible 2-year construction period
effective gross income
cost
12
sales comparison approach

8. The market rent times the number of units availabe to rent is _
Tuesday following the second
potential gross income
to hear appeals of the tentative taxable value
43 -560 square feet

9. If there is a 40-acre parcel and all but the land surrounding the house is wooded - this property should be classified by _
determining the primary use of the property; in this case probably agricultural or residential
General Property Tax Act
July; July Board of Review
July and December BOR

10. Approved by voters in 1978
is
The Land Residual
owners and interested parties of the property to be assessed
Headlee Amendment

11. is the rent a property could command on the open market
Economic condition factor
market rent
market value; existing property
$421 -052

12. The formula for calculating value is _
The Land Residual
Taxable Value x Millage Rate = Tax Bill
the reasonably probable and legal use of vacant land or improved property - which is physically possible - appropriately supported - financially feasible - and that results in the highest value
Income / rate

13. The value property has in a specific use
the reasonably probable and legal use of vacant land or improved property - which is physically possible - appropriately supported - financially feasible - and that results in the highest value
Triangle computation of area
a. valuing the land separately using market data b. estimating the reproduction or replacement of the subject by building a substitute c. estimating the depresiation of the subject from the time it was built to the date of the assessment
value in use

14. Pole barns - silos - and large grain bins are considered _
GRM X MARKET RENT = MARKET VALUE
typical farm buildings
Plant Rehabilitation and Industrial Development Districts - Act 198 of 1974
December 31

15. Taxable personal property includes all property not expressly _
exempted
Number 1
potential gross income
northeast corner with section 1 and proceed west to section 6

16. In a cost approach program - the computer system should estimate _ less _
replacement cost new; depreciation
General Property Tax Act
cost
at value

17. The three approaches to value
Headlee Amendment
assessor and Board of Review
General Property Tax Act
cost - sales comparison (market) - and income

18. The Commercial Forest Act permits an owner to put property into a program that permits payment of a _ in lieu of the ad valorem rates
by contacting one of the parties to the transaction (buyer - seller - or realtor)
February 20
Form L-4024
specific tax

19. Buildings on leased lands _ personal property
partial estate
are
County multipliers
Form L-4025

20. The _ determines the size for rates
operating expenses
gross rent multipliers
ground floor area
present worth

21. Report of Assessment Roll Changes and Classification; includes assessed values of all eleven classes of property
Reproduction cost
Form L-4022
Tuesday following; first Monday in March
exterior

22. _ includes the discount rate - recapture rate - and the effective rate.
taxation - eminent domain - and police powers
Capitalizaiton rate
Tuesday following Third Monday
the property owner or lessee - or the local government may begin the process of its own volition

23. Michigan's Constitution provides for _ of taxation
Reproduction cost
to hear appeals of the tentative taxable value
cost - sales comparison (market) - and income
uniform rates

24. The second meeting of the BOR is held to _
is
May 1
50%; usual selling price
hear appeals from taxpayers or their agents

25. A consumer must want the product for it to have value
property record cards and assessment maps
desirability
a. valuing the land separately using market data b. estimating the reproduction or replacement of the subject by building a substitute c. estimating the depresiation of the subject from the time it was built to the date of the assessment
discount rate - recapture rate - effective tax rate

26. IFT's affect only the building value...
percent good
Tuesday following Third Monday
never the land
life estate

27. Convened to correct clerical errors - mutual mistakes of fact or qualified errors
July and December BOR
value in use
cost
Headlee Amendment

28. _ are applied to the cost schedules in the manuals
General Land Office survey
3/4 Proposal
income / value
County multipliers

29. The rights of ownership removed by government are _
value in exchange
power to tax - eminent domain - police power - escheat
effective gross income
potential gross income; allowances; vacancy; rent loss; income; miscellaneous income

30. The March Board of Review may change assessments - exemptions - and classification property. What additional authority were they given by Proposal A?
to hear appeals of the tentative taxable value
$1 per acre
typical farm buildings
Form L-4046

31. The four basic steps in the sales comparison approach is _
market value; existing property
640 acres
General Property Tax Act
select sales of comparable properties - list the sales - adjust the sales to the subject - and correlate and justify the value of the subject property

32. You verify a sale _
July; July Board of Review
$1 per acre
physical - functional - and economic
by contacting one of the parties to the transaction (buyer - seller - or realtor)

33. Michigan Tax Tribunal Appeals of special assessments are first appealed to the _ or _ and then to the _
Township Board; City Council
ground floor area
tangible or intangible
Tuesday following First Monday

34. When measuring a house - you use _ measurements
taxation - eminent domain - and police powers
contract rent
deed- land contract- conveyance to a trust- distribution from a trust- change in beneficiary of trust- distribution after owner dies- lease- corporation partnership- tenancy in common transfers of ownership- spouse to spouse- tenancy by entireties- l
exterior

35. Market value of property is _
Income / rate
value in use
receives and reviews
the usual selling price of a property in an open-market transaction with a willing buyer and seller who desire to come to terms but who are under no undue constraints to do so

36. The government is authorized to levy taxes in the _
life estate
Michigan Constitution
Federal Northwest
Number 1

37. If the subject property has a fireplace and air-conditioning and the comp has only air-conditioning - what adjustment would be made to what property?
40
a plus adjustemnt for the fireplace to the comp
Reproduction cost
reproduction cost

38. March Board of Review begins
expenses not allowable
Form L-4024
Tuesday following First Monday
December 31

39. The CAMA system should be able to calculate the valuation of properties by direct capitalization in the _ approach
income approach
income
not standard depth
Cost Approach

40. Formula used to calculate taxes is _
median
5 -280 lineal feet
Taxable Value X Millage Rate
February 20

41. The formula for calculating income is _
Income / rate
rate x value
true cash value
December 31

42. Members of the Board of Review must be _ of the township
adverse possession
cost - sales comparison (market) - and income
electors
Genesee County

43. It (is not necessary to use __________ when valuing agricultural property.
Township Board; City Council
depreciation
percent good
county multipliers

44. Sections in a township start _
by contacting one of the parties to the transaction (buyer - seller - or realtor)
sales prices of other parcels similar to the property being appraised
northeast corner with section 1 and proceed west to section 6
determining the primary use of the property; in this case probably agricultural or residential

45. Special assessments are not levied on all real and personal property that...
benefits from the special assessment
by contacting one of the parties to the transaction (buyer - seller - or realtor)
soil survey; land value
Taxable Value x Millage Rate = Tax Bill

46. Computer assisted mass appraisal
the reasonably probable and legal use of vacant land or improved property - which is physically possible - appropriately supported - financially feasible - and that results in the highest value
are not
CAMA
northeast corner with section 1 and proceed west to section 6

47. One use of land value maps is to _
track land sales
State Tax Commission
replacement cost
receives and reviews

48. A limits the maximum amount of ad valorem taxes that may be levied for school district operating purposes. The change this maximum requires a vote of _ of the legislature to approve.
to hear appeals of the tentative taxable value
Form L-4024
3/4 Proposal
assessor and Board of Review

49. _ soil is considered the most productive
value in exchange
uniform rates
a. valuing the land separately using market data b. estimating the reproduction or replacement of the subject by building a substitute c. estimating the depresiation of the subject from the time it was built to the date of the assessment
Number 1

50. Churches - schools - libraries and similar institutions are usually...
present worth
potential gross income; allowances; vacancy; rent loss; income; miscellaneous income
replacement cost new; depreciation
exempt