Principles, Property, and Land Use Practice Question

Question

A license applicant is reviewing a practice scenario for the South Carolina Real Estate Salesperson Exam involving cost approach and South Carolina Real Estate Commission. Which statement is most accurate for exam purposes? (Item 17)

Answer choices

1. A. Combine land value with replacement cost less depreciation in a way that fits South Carolina exam practice.
2. B. The party who complains first automatically receives the remedy requested.
3. C. Escrow or closing staff automatically assume all brokerage agency and disclosure duties.
4. D. The client’s preference eliminates the need to disclose known material facts.

Correct Answer

A. Combine land value with replacement cost less depreciation in a way that fits South Carolina exam practice.

Explanation

The correct answer is A because cost approach requires candidates to combine land value with replacement cost less depreciation. The South Carolina reference keeps the scenario tied to state licensing practice, while the other options rely on unsafe assumptions about oral custom, escrow, client preference, independent licensee authority, or ignoring written duties.

Question details

• Difficulty: easy
• Domain: Principles, Property, and Land Use
• Objective: cost approach

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