In a leasehold estate, which of the following is true

A. The owner is permitted to divide the estate

B. Rights to use the land expire on a predetermined date

C. Commercial mortgages are generally issued against these

What is a leading indicator that a property is not currently achieving its highest and best use?

A. Vacant property commands a significant premium to its peer group on the open market

B. Net operating income generated from the property is lower than peers

C. Cap rate is high relative to its geographic and structural equivalents

The cost approach to valuation is based on the concept of...

A. Expected appreciation of the subject property

B. Replacement cost

C. Expected useful life of the property

The income approach to valuation assumes that the value of an income-producing property is equal to

A. The most accurate valuation based on actual historical financial information

B. A slightly more speculative present value

C. Consistently higher property valuation