ASA Personal Property & Machinery Valuation

Question 1

Under ASA personal property standards, which definition of value is most often used for insurance purposes?

Accepted Answer

Replacement value (cost to replace with a comparable item)

Answer

Fair market value

Answer

Liquidation value

Answer

Salvage value

Question 2

The ASA designation 'MTS' in machinery and equipment appraisal stands for:

Accepted Answer

Machinery and Technical Specialties

Answer

Market Transaction Summary

Answer

Mechanical Trade Standard

Answer

Manufacturing Technology Survey

Question 3

In machinery and equipment appraisal, 'in-place value' includes which costs beyond the equipment's stand-alone value?

Accepted Answer

Installation, freight, and other soft costs required to make the equipment operational

Answer

Future maintenance and repair costs over the asset's life

Answer

The value of the real property on which the equipment sits

Answer

Annual depreciation charges under GAAP

Question 4

Which depreciation method estimates loss in value by multiplying the replacement cost new by age-life percentages?

Accepted Answer

Straight-line age-life method

Answer

Declining balance method

Answer

Units of production method

Answer

Modified ACRS method

Question 5

Personal property that is permanently attached to real estate and legally becomes part of the real estate is called a:

Accepted Answer

Fixture

Answer

Trade fixture

Answer

Chattel

Answer

Leasehold improvement

Question 6

In art and antique appraisal under ASA standards, 'fair market value' requires the appraiser to assume the item is sold in:

Accepted Answer

The most appropriate market for that type of property

Answer

A forced liquidation auction

Answer

The retail gallery market only

Answer

The country of the artwork's origin