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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. _ is a loss in value caused by factors outside the property
$421 -052
market value; existing property
economic obsolescense
potential gross income; allowances; vacancy; rent loss; income; miscellaneous income

2. Net income is _ minus _
State Tax Commission
market value; existing property
potential income; vacancy - bad debt and operating expenses
uniform rates

3. The capitalization rate includes the _ - _ and the _
discount rate - recapture rate - effective tax rate
Headlee Amendment
owners and interested parties of the property to be assessed
replacement cost new; depreciation

4. A report of Real and Personal Property totals prepared by the county equalization department; submitted to STC by the third Monday in April
GRM X MARKET RENT = MARKET VALUE
Form L-4024
benefits from the special assessment
County multipliers

5. Initial survey point for Michigan at the intersection of two streets
sewers - paving - curbing - sidewalks - grading and widening streets - parks - bridges - and water and sewer lines
income
depreciation
Genesee County

6. The estimated potential gross income less allowances for vacancy and rent loss plus other income or miscellaneous income is _
effective gross income
Private Forest Reserve
Economic condition factor
typical farm buildings

7. Public rights-of-way are _
to hear appeals of the tentative taxable value
expenses not allowable
exempt
Private Forest Reserve

8. The formula for calculating tax bills is _
5 -280 lineal feet
value in exchange
Tuesday following; first Monday in March
Taxable Value x Millage Rate = Tax Bill

9. _ includes the discount rate - recapture rate - and the effective rate.
Circle computation of area
Capitalizaiton rate
40
Form L-4046

10. The Board of Review was created by the _ of 1893
beginning value the following year
are not
Reproduction cost
General Property Tax Act

11. Ordinance established the laws that cover Michigan - Ohio - Indiana - Illinois - and Wisconsin
assessor and Board of Review
Federal Northwest
50%; usual selling price
Township Board; City Council

12. Special assessment districts are commonly used for _
exempt
Interest or discount
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
sewers - paving - curbing - sidewalks - grading and widening streets - parks - bridges - and water and sewer lines

13. The difference between commercial and industrial property is _
Industrial Facility Tax Abatement
are not
agricultural personal property; exempt
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

14. Taxable unless specifically exempted
cost approach
potential gross income; allowances; vacancy; rent loss; income; miscellaneous income
real and personal
exempt

15. Equity at the local level is the responsibility of the _
July; July Board of Review
fee simple
track land sales
assessor and Board of Review

16. Capped value is _

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17. You verify a sale _
estimate the assessment
Form L-4025
by contacting one of the parties to the transaction (buyer - seller - or realtor)
percent good

18. IFT certificates are granted for _ years with a possible 2-year construction period
track land sales
fee simple - partial estate - and life estate
12
benefits from the special assessment

19. The market rent times the number of units availabe to rent is _
Headlee Amendment
potential gross income
at value
reducing

20. The Private Forest Reserve Act specifies that the property in the reserve be assessed on the ad valorem at _
partial estate
soil survey; land value
Tuesday following; first Monday in March
$1 per acre

21. In a township - the _ is the secretary of the Board of Review
power to tax - eminent domain - police power - escheat
life estate
supervisor
transferability

22. The discount rate may be developed by the following:
Summation Method- Bank of Investment Method - and Market Comparison Method
Form L-4022
Board of Review; Michigan Tax Tribunal
expenses allowable

23. Personal property forms must be approved by the _
State Tax Commission
exterior
March BOR
fee simple - partial estate - and life estate

24. The definition of market value is _
taxation - eminent domain - and police powers
43 -560 square feet
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
reproduction cost

25. _ measures value in exchange; it is based on the principle of substitution
640 acres
direct sales comparison
exterior
not standard depth

26. July Board of Review begins
5 -280 lineal feet
Tuesday following Third Monday
adverse possession
3/4 Proposal

27. Buildings on leased lands _ personal property
taxes
hear appeals from taxpayers or their agents
are
expenses not allowable

28. The BOR _ and _ the roll
reproduction cost
receives and reviews
life estate
fee simple - partial estate - and life estate

29. 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?
State Tax Commission
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
power to tax - eminent domain - police power - escheat
a plus adjustemnt for the fireplace to the comp

30. Cost to construct an exact duplicate of the subject
power to tax - eminent domain - police power - escheat
reproduction cost
contract rent
CAMA

31. If there is a 40-acre parcel and all but the land surrounding the house is wooded - this property should be classified by _
demand one
Michigan Constitution
Form L-4022
determining the primary use of the property; in this case probably agricultural or residential

32. Personal property statements (are/are not) available to the public under the Freedom of Information Act.
first Monday in June
sales prices of other parcels similar to the property being appraised
income
are not

33. The return on the investment called in the capitalization rate is _
true cash value
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
hear appeals from taxpayers or their agents
Interest or discount

34. The CAMA system should be able to calculate the valuation of properties by direct capitalization in the _ approach
Reproduction cost
sewers - paving - curbing - sidewalks - grading and widening streets - parks - bridges - and water and sewer lines
income
local government unit

35. In a cost approach program - the computer system should estimate _ less _
cost - sales comparison (market) - and income
Form L-4022
reducing
replacement cost new; depreciation

36. Computer assisted mass appraisal
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
CAMA
receives and reviews
branches

37. Management costs in timber-cutover include _ which are usually the largest expense in this classification
owners and interested parties of the property to be assessed
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
taxes
Circle computation of area

38. Effective gross income is the estimated _ less _ for _ and _ plus other _ or _
potential gross income; allowances; vacancy; rent loss; income; miscellaneous income
real and personal
Tuesday following the second
Form L-4023

39. Economic condition factors (are/are not) applied to land and buildings
36 sections
Michigan Constitution
State Tax Commission
are not

40. 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.
May 1
3/4 Proposal
county multipliers
present worth

41. The physical land and any structure attached to it
Rectangular survey; metes and bounds; platted or recorded subdivision
Economic condition factor
real estate
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

42. The usual reference source regarding assessment and taxes
partial estate
operating expenses
General Property Tax Act
receives and reviews

43. Applications for IFT districts must be received by the State Tax Commission by _ to be acted on for the following year
October 31
$1 per acre
are not
Form L-4054

44. The value of vacant land is estimated using _
July and December BOR
sales prices of other parcels similar to the property being appraised
hear appeals from taxpayers or their agents
location - time of sale - finanical terms of sale - physical differences - and restrictions of use

45. The formula for calculating rate is _
discount rate - recapture rate - effective tax rate
Interest or discount
income / value
market rent

46. The most common types of ownership are _
median
fee simple - partial estate - and life estate
desirability
potential gross income; allowances; vacancy; rent loss; income; miscellaneous income

47. Tax day
Site/location
physical - functional - and economic
$1 per acre
December 31

48. The CAMA system should be able to select comparable sales - make adjustments to the comps - and come up with an estimate of market value for the subject in the _ approach
sales comparison
Form L-4054
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
select sales of comparable properties - list the sales - adjust the sales to the subject - and correlate and justify the value of the subject property

49. If the Board of Review or Michigan Tax Tribunal changes the assessed - equalized - or taxable value - that value is used as the _
real property
40
Headlee Amendment
beginning value the following year

50. _ is estimating the cost of a building of similar design and utility
market comparison approach; cost approach
Replacement cost
are not
50%; usual selling price