Property Valuation
An appraiser notes that a Louisiana home has a swimming pool that cost $35,000 to install but only adds $15,000 to market value. This demonstrates the principle of:
AAnticipation
BContribution✓ Correct
CSubstitution
DConformity
Explanation
The principle of contribution states that the value of a component is measured by its contribution to the whole — not its cost. A $35,000 pool that adds only $15,000 to value contributes $15,000 regardless of installation cost.
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