Property Valuation
In the cost approach to value, the appraiser estimates:
AThe income the property could generate
BThe land value plus the depreciated replacement cost of improvements✓ Correct
CThe average price of comparable sales
DThe present value of future cash flows
Explanation
The cost approach calculates land value separately (as if vacant), adds the replacement cost new of improvements, then subtracts all forms of depreciation (physical, functional, external).
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