Property Valuation
A Kentucky appraiser determines the highest and best use of a vacant lot. The analysis must consider uses that are:
ALegally permissible, physically possible, financially feasible, and maximally productive✓ Correct
BLegally permissible and physically possible only
CCurrently approved by the local zoning board only
DConsistent with the current use of adjacent properties
Explanation
The four tests of highest and best use are: (1) legally permissible under zoning and deed restrictions, (2) physically possible given the site's characteristics, (3) financially feasible (generates positive return), and (4) maximally productive (yields the highest value).
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