Property Valuation
Market value in appraisal theory assumes the buyer and seller are:
ARelated parties who have agreed on price
BKnowledgeable, acting without compulsion, and each seeking their best financial interest✓ Correct
CRequired to use a licensed broker
DLocated in the same municipality
Explanation
Market value assumes an arm's-length transaction between a knowledgeable, willing buyer and seller, neither acting under duress, both seeking their best interests, with reasonable market exposure.
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