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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. Equity within the 83 counties of the state is the responsibility of the _
determining the primary use of the property; in this case probably agricultural or residential
State Tax Commission
percent good
taxation - eminent domain - and police powers

2. In a residential neighborhood - the measurement usually used in developing cost is _
Front foot
effective gross income
to hear appeals of the tentative taxable value
depreciation

3. The _ must approve the application for an IFT before the State Tax Commission approves the application
effective gross income
local government unit
GRM X MARKET RENT = MARKET VALUE
Rectangular computation of area

4. The definition of the economic principle of highest and best use is _
effective gross income
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
market comparison approach; cost approach
Site/location

5. The middle of a ratio study where the ratios are ranked from lowest to highest or highest to lowest
value in use
Genesee County
median
July; July Board of Review

6. Value is determined by _
supervisor
partial estate
cost approach
utility - scarcity - desirability - transferability

7. The formula for calculating tax bills is _
Taxable Value x Millage Rate = Tax Bill
property record cards and assessment maps
Form L-4054
sales comparison approach

8. Public rights-of-way are _
exempt
the prior year's taxable value minus losses times the lesser of 105% or the CPI (whichever is less) plus additions
tangible or intangible
income approach

9. The most common types of ownership are _
fee simple - partial estate - and life estate
fee simple
are not
real estate

10. When appraising a commercial building - you should remember that unlike building - land is...
median
reducing
never depreciated
July; July Board of Review

11. _ is the rent actually received for a property
by contacting one of the parties to the transaction (buyer - seller - or realtor)
true cash value
contract rent
determining the primary use of the property; in this case probably agricultural or residential

12. The General Property Tax Law states that agricultural operations means farming in all its _
branches
Form L-4260
General Property Tax Act
cost - sales comparison (market) - and income

13. In July and December - the BOR may meet to _
correct clerical errors and mutual mistakes of fact; they may also hear poverty appeals that were not heard at the March BOR
Circle computation of area
select sales of comparable properties - list the sales - adjust the sales to the subject - and correlate and justify the value of the subject property
benefits from the special assessment

14. Effective gross income is the estimated _ less _ for _ and _ plus other _ or _
sales prices of other parcels similar to the property being appraised
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
potential gross income; allowances; vacancy; rent loss; income; miscellaneous income
property record cards and assessment maps

15. A report of Real and Personal Property totals prepared by the county equalization department; submitted to STC by the third Monday in April
Form L-4024
taxes
36 sections
exempt

16. Pole barns - silos - and large grain bins are considered _
GRM X MARKET RENT = MARKET VALUE
replacement cost new; depreciation
typical farm buildings
February 20

17. The difference between commercial and industrial property is _
Front foot
taxes
Industrial Facility Tax Abatement
uniform rates

18. The government is authorized to levy taxes in the _
Rectangular computation of area
correct clerical errors and mutual mistakes of fact; they may also hear poverty appeals that were not heard at the March BOR
Michigan Constitution
Front foot

19. If a property owner has an agricultural use on 1/2 their property - they may designate a specific number of wooded acres as _
real estate
cost
Private Forest Reserve
Michigan General Property Tax Act

20. _ includes the discount rate - recapture rate - and the effective rate.
true cash value
sales comparison approach
potential gross income; allowances; vacancy; rent loss; income; miscellaneous income
Capitalizaiton rate

21. The _ to value is best used for mass appraisals being done by the assessor.
Cost Approach
3/4 Proposal
General Land Office survey
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

22. Taxable unless specifically exempted
exempt
real and personal
Rectangular computation of area
specific tax

23. Special assessments are not levied on all real and personal property that...
benefits from the special assessment
desirability
branches
uniform rates

24. May change assessment for current year
Triangle computation of area
electors
March BOR
income

25. _ is a loss of utility and therefore of value from any cause
depreciation
demand one
is
Triangle computation of area

26. is the rent a property could command on the open market
owners and interested parties of the property to be assessed
market value; existing property
market rent
by contacting one of the parties to the transaction (buyer - seller - or realtor)

27. Taxable personal property includes all property not expressly _
are not
exempted
property record cards and assessment maps
October 31

28. The value property has in a specific use
by contacting one of the parties to the transaction (buyer - seller - or realtor)
Front foot
the most probable price in terms of money which a property will bring in a competitive and open market under all conditions requisite to a fair sale - the buyer and seller - each acting prudently - knowledgeably and assuming the price is not affected
value in use

29. Used to estimate the cost of constructing improvements to the land
cost approach
income / value
May 1
northeast corner with section 1 and proceed west to section 6

30. The Assessor or Equalization Director's Notice of Property Incorrectly Reported or Omitted from Assessment Roll; filed with STC when omitted property is discovered
market value; existing property
Form L-4154
Form L-4023
July; July Board of Review

31. Net income is _ minus _
tangible or intangible
Rectangular computation of area
potential income; vacancy - bad debt and operating expenses
Site/location

32. All meetings of the BOR are governed by the _
Form L-4022
5 -280 lineal feet
reducing
Open Meetings Act

33. True cash value is _
Michigan General Property Tax Act
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
Front foot
March BOR

34. Notices of the decisions of the BOR must be mailed by the _
first Monday in June
Form L-4046
owners and interested parties of the property to be assessed
ground floor area

35. Used to value the income stream of a property
reducing
income approach
40
Triangle computation of area

36. Two types of maps that are used in valuing agricultural land are _ maps and _ maps
soil survey; land value
State Tax Commission
Interest or discount
market rent

37. To calculate a gross rent multiplier - _
income
expenses allowable
adverse possession
Divide the sales price by the gross rent

38. Enacted in 1893
Michigan Constitution
real estate
Michigan General Property Tax Act
Form L-4260

39. The formula for calculating value is _
exempt
Income / rate
electors
Genesee County

40. _ are applied to the cost schedules in the manuals
exempt
County multipliers
October 31
State Tax Commission

41. Approved by voters in 1978
hear appeals from taxpayers or their agents
income approach
a plus adjustemnt for the fireplace to the comp
Headlee Amendment

42. If there is a 40-acre parcel and all but the land surrounding the house is wooded - this property should be classified by _
specific tax
determining the primary use of the property; in this case probably agricultural or residential
depreciation
assessor and Board of Review

43. Vacant land adjustments have to be made for differences in _
Replacement cost
Michigan General Property Tax Act
sales comparison approach
location - time of sale - finanical terms of sale - physical differences - and restrictions of use

44. In heavily wooded areas where property lines may be difficult to identify - it is important that the owners protect their property from being claimed under _
adverse possession
5 -280 lineal feet
owners and interested parties of the property to be assessed
May 1

45. The first meeting of the BOR is held on the _
hear appeals from taxpayers or their agents
February 20
12
Tuesday following; first Monday in March

46. The physical land and any structure attached to it
location - time of sale - finanical terms of sale - physical differences - and restrictions of use
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
sales prices of other parcels similar to the property being appraised
real estate

47. _ is estimating the cost of an exact duplication of the building
replacement cost new; depreciation
sales prices of other parcels similar to the property being appraised
sewers - paving - curbing - sidewalks - grading and widening streets - parks - bridges - and water and sewer lines
Reproduction cost

48. Deadline for filing Principal Residence Affidavits
43 -560 square feet
life estate
May 1
Economic condition factor

49. 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
cost
exempt
potential gross income; allowances; vacancy; rent loss; income; miscellaneous income

50. Cost to construct improvement with the same functional utility of the subject
Triangle computation of area
taxes
Genesee County
replacement cost