Property Valuation
In South Dakota, an appraiser estimates the 'cost to cure' a deferred maintenance item at $5,000. If the repair adds $8,000 in value, the appraiser would classify this as:
AIncurable physical deterioration
BCurable physical deterioration (deferred maintenance)✓ Correct
CExternal obsolescence
DFunctional obsolescence
Explanation
Deferred maintenance is curable if the cost to fix ($5,000) is less than the value added ($8,000). Since fixing it is economically justified, it's classified as curable physical deterioration.
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