Property Valuation

In North Dakota, which of the following is NOT a standard method of depreciation recognized in the cost approach to appraisal?

APhysical deterioration
BFunctional obsolescence
CEconomic obsolescence
DFinancial depreciation✓ Correct

Explanation

The three recognized forms of depreciation in appraisal are physical deterioration, functional obsolescence, and economic (external) obsolescence. 'Financial depreciation' is not a recognized appraisal term.

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