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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. If a business fails to file a personal property statement - the assessor shall _
Tuesday following; first Monday in March
present worth
estimate the assessment
potential income; vacancy - bad debt and operating expenses

2. Public rights-of-way are _
replacement cost new; depreciation
exempt
Rectangular computation of area
Capitalizaiton rate

3. The difference between commercial and industrial property is _
Interest or discount
cost approach
Industrial Facility Tax Abatement
exempted

4. Market value of property is _
expenses allowable
Michigan General Property Tax Act
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
Form L-4025

5. Approved by voters in 1978
County multipliers
Taxable Value x Millage Rate = Tax Bill
50%; usual selling price
Headlee Amendment

6. The formula for calculating tax bills is _
exempted
real property
Taxable Value x Millage Rate = Tax Bill
Form L-4023

7. Special assessments are not levied on all real and personal property that...
expenses not allowable
at value
median
benefits from the special assessment

8. The physical land and any structure attached to it
branches
real estate
sales prices of other parcels similar to the property being appraised
Form L-4260

9. _ do not include property taxes - depreciation - debt retirement - or interest earned on the funds invested in the property
income / value
operating expenses
are
uniform rates

10. Management costs in timber-cutover include _ which are usually the largest expense in this classification
market rent
effective gross income
February 20
taxes

11. _ are expenses that may be part of the capitalization rate such as depreciation and property taxes or capital improvement expenses and the owner's costs and corporation costs; also not income taxes.
Michigan General Property Tax Act
branches
expenses not allowable
specific tax

12. The rights of ownership (bundle of rights) enjoyed by the owner of real estate
track land sales
real property
determining the primary use of the property; in this case probably agricultural or residential
The Land Residual

13. _ includes the discount rate - recapture rate - and the effective rate.
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
Capitalizaiton rate
# of acres times 43 -560 divided by known dimension
income

14. When appraising a commercial building - you should remember that unlike building - land is...
fee simple
are
December 31
never depreciated

15. The _ to value is best used for mass appraisals being done by the assessor.
estimate the assessment
Cost Approach
benefits from the special assessment
Circle computation of area

16. Not transfers of ownership
February 20
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
direct sales comparison
Form L-4024

17. Depreciation in the assessing process is expressed as a _
percent good
Tuesday following First Monday
Form L-4054
specific tax

18. The most common types of ownership are _
Michigan Constitution
assessor and Board of Review
fee simple - partial estate - and life estate
first Monday in June

19. Report of Taxable Valuations Including Additions - Losses and Totals as approved by 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
General Land Office survey
Form L-4025
GRM X MARKET RENT = MARKET VALUE

20. 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
are not
July and December BOR
July; July Board of Review
specific tax

21. The General Property Tax Law states that agricultural operations means farming in all its _
43 -560 square feet
real and personal
branches
by contacting one of the parties to the transaction (buyer - seller - or realtor)

22. May change assessment for current year
The Land Residual
assessor and Board of Review
March BOR
to hear appeals of the tentative taxable value

23. 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.
fee simple - partial estate - and life estate
3/4 Proposal
CAMA
select sales of comparable properties - list the sales - adjust the sales to the subject - and correlate and justify the value of the subject property

24. _ is estimating the cost of an exact duplication of the building
Reproduction cost
Private Forest Reserve
Tuesday following the second
Form L-4025

25. The amount of money or goods you can receive if you sell property
electors
effective gross income
value in exchange
transferability

26. The discount rate may be developed by the following:
Summation Method- Bank of Investment Method - and Market Comparison Method
Headlee Amendment
median
at value

27. Personal property statemetns are due on _
36 sections
Tuesday following First Monday
not standard depth
February 20

28. Notices of the decisions of the BOR must be mailed by the _
sales prices of other parcels similar to the property being appraised
December 31
Industrial Facility Tax Abatement
first Monday in June

29. The government is authorized to levy taxes in the _
economic obsolescense
reproduction cost
Michigan Constitution
demand one

30. A private claim describes property that was occupied prior to the _
present worth
General Land Office survey
real property
replacement cost new; depreciation

31. Deadline for filing Principal Residence Affidavits
Federal Northwest
real and personal
cost approach
May 1

32. The four basic steps in the sales comparison approach is _
never depreciated
taxation - eminent domain - and police powers
partial estate
select sales of comparable properties - list the sales - adjust the sales to the subject - and correlate and justify the value of the subject property

33. _ is estimating the cost of a building of similar design and utility
Replacement cost
The Land Residual
receives and reviews
demand one

34. The government retains the following powers
rate x value
net income
partial estate
taxation - eminent domain - and police powers

35. Usually valuing farmland is done by the _ for the land values and the _ for the buildings.
Headlee Amendment
tangible or intangible
market comparison approach; cost approach
real property

36. The three principal steps in the cost approach are _
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
CAMA
Open Meetings Act
Plant Rehabilitation and Industrial Development Districts - Act 198 of 1974

37. Accurate _ and _ are necessary because assessments are only as accurate as the data used to calculate them
property record cards and assessment maps
Michigan General Property Tax Act
Genesee County
benefits from the special assessment

38. Members of the Board of Review must be _ of the township
power to tax - eminent domain - police power - escheat
50%; usual selling price
electors
State Tax Commission

39. Used to value the income stream of a property
income approach
12
State Tax Commission
median

40. Pole barns - silos - and large grain bins are considered _
typical farm buildings
Interest or discount
reducing
Number 1

41. The three categories of depreciation are _
sewers - paving - curbing - sidewalks - grading and widening streets - parks - bridges - and water and sewer lines
County multipliers
physical - functional - and economic
never the land

42. Half the base times the height
Triangle computation of area
Capitalizaiton rate
utility - scarcity - desirability - transferability
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

43. The income approach calculates the _ of a future income stream
present worth
depreciation
12
Township Board; City Council

44. Vacant land adjustments have to be made for differences in _
Tuesday following First Monday
Economic condition factor
location - time of sale - finanical terms of sale - physical differences - and restrictions of use
typical farm buildings

45. In a township - the _ is the secretary of the Board of Review
economic obsolescense
is
supervisor
adverse possession

46. The rights of ownership removed by government are _
income
43 -560 square feet
power to tax - eminent domain - police power - escheat
expenses allowable

47. Number of acres in the E 1/2 of the W 1/2 of hte NW 1/4
market rent
is
40
rate x value

48. The value property has in a specific use
The Land Residual
value in use
taxation - eminent domain - and police powers
correct clerical errors and mutual mistakes of fact; they may also hear poverty appeals that were not heard at the March BOR

49. In July and December - the BOR may meet to _
Michigan Constitution
by contacting one of the parties to the transaction (buyer - seller - or realtor)
The Land Residual
correct clerical errors and mutual mistakes of fact; they may also hear poverty appeals that were not heard at the March BOR

50. Effective gross income is the estimated _ less _ for _ and _ plus other _ or _
Rectangular survey; metes and bounds; platted or recorded subdivision
Economic condition factor
real property
potential gross income; allowances; vacancy; rent loss; income; miscellaneous income