Question 2

The comparison method cannot be used for valuation of special properties such as petrol station due to insufficient transaction data. However, the profit method and cost approach are normally used for this type of property. Referring to the statement:

1. Identify FIVE (5) types of data and information that you should gather in using the cost method of valuation.

2. Based on the data and information that you have given in (a), demonstrate the cost approach in determining the market value of a special property.