Practice Test Geeks(CMA) Certified Minerals Appraiser Practice Test
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Regulatory Standards & Ethical Practices Flashcards

7 cards from real CMA practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

Read the first 7 Regulatory Standards & Ethical Practices flashcards as text

  1. Which ethical violation would occur if a mineral appraiser accepts a referral fee from a drilling company whose properties the appraiser regularly appraises?

    Answer: Violation of the Ethics Rule — Independence section

    Accepting undisclosed referral fees from parties with interests in appraised properties violates the appraiser's independence requirement under USPAP's Ethics Rule.

  2. Under OSMRE (Office of Surface Mining Reclamation and Enforcement) regulations, what is required before surface mining operations can begin?

    Answer: A Surface Mining Permit with an approved reclamation plan

    SMCRA (Surface Mining Control and Reclamation Act) requires operators to obtain a permit with an approved reclamation plan from OSMRE before commencing surface mining.

  3. A minerals appraiser is asked to provide a 'desk review' of another appraiser's mineral valuation. Under USPAP, this review is governed by:

    Answer: Standard 3 and Standard 4

    USPAP Standards 3 and 4 govern appraisal review assignments, where an appraiser evaluates the work of another appraiser.

  4. What is the ethical obligation of a mineral appraiser who realizes mid-assignment that the property involves a relative's financial interest?

    Answer: Immediately withdraw from the assignment and disclose the conflict to the client

    An appraiser with a personal interest that could compromise independence must withdraw from the assignment and disclose the conflict, as required by USPAP's Ethics Rule.

  5. The National Environmental Policy Act (NEPA) affects mineral appraisals primarily by:

    Answer: Requiring environmental review that can affect the feasibility and value of mineral development

    NEPA requires environmental impact assessments for federal actions, which can affect the permitting timeline and feasibility of mineral development, directly impacting value.

  6. An appraiser signs an appraisal report that was substantially prepared by an unlicensed trainee without supervision. This is a violation of which USPAP provision?

    Answer: Ethics Rule — Conduct section (signing rule)

    USPAP's Ethics Rule prohibits signing an appraisal report that was not prepared by the signing appraiser or under their direct supervision.

  7. In mineral appraisal ethics, what is the significance of the 'prior services' disclosure requirement under USPAP?

    Answer: Appraisers must disclose if they appraised the same property within the prior three years

    USPAP requires appraisers to disclose in the report whether they have performed prior services on the subject property within the previous three years.