Property Valuation

In the cost approach, the term 'reproduction cost' means:

AThe cost to build a building with similar utility using current materials
BThe cost to build an exact replica of the original building using original materials and methods✓ Correct
CThe replacement cost minus depreciation
DThe cost determined by county assessors

Explanation

Reproduction cost is the cost to build an exact replica of the improvements using the same materials and methods as the original. Replacement cost uses modern materials and design with similar utility.

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