Property Valuation
What is the difference between reproduction cost and replacement cost in the West Virginia cost approach?
AReproduction cost uses current materials; replacement cost uses original materials
BReproduction cost replicates the exact structure; replacement cost uses modern equivalent materials and design✓ Correct
CThey are identical terms used interchangeably
DReplacement cost applies only to historic properties
Explanation
Reproduction cost is the cost to create an exact replica using original materials and methods. Replacement cost is the cost to build a functionally equivalent structure using current materials and methods. Appraisers typically use replacement cost for most properties.
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