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V_General Appraiser > Statistics, Modeling and Finance > Flashcards

Statistics, Modeling and Finance Flashcards

1
Q

A property has a first mortgage of $150,000, a second mortgage of $30,000, and a third mortgage of $15,000. It is foreclosed and sold for $165,000. The holder of the third mortgage gets $________ and the holder of the second mortgage receives $ _________.
- 0, $30,000
- $15,000, $15,000
- $0, $15,000
- $7,500, $7,500

A

$0, $15,000

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2
Q

A property has a first mortgage of $170,000, a second mortgage of $20,000, and a third mortgage of $10,000. It is foreclosed and sold for $195,000. The holder of the third mortgage gets $________ and the holder of the second mortgage receives $ _________.
- 0, $20,000
- $10,000, $15,000
- $5,000, $20,000
- 0, $25,000

A

$5,000, $20,000

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3
Q

In the compound interest tables, which columns provide future values as outputs?
- 1, 2, 5
- 2, 4, 6
- 1, 2, 3
- 4, 5, 6

A

1, 2, 3

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4
Q

The first subsidized housing occurred in the
- 1920s
- 1930s
- 1940s
- 1950s

A

1930s

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5
Q

In the compound interest tables, which columns provide present values as outputs?
- 1, 2, 5
- 2, 4, 6
- 1, 2, 3
- 4, 5, 6

A

4, 5, 6

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6
Q

The STANDARD or STANDARDS in USPAP that covers mass appraisals is STANDARD(s)
- 4
- 5 and 6
- 6
- 6 and 7

A

5 and 6

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7
Q

In a normal distribution, approximately ____ % of the observations fall within one standard deviation (+ or -) from the mean.
- 50
- 68
- 95
- 99

A

68

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8
Q

In a normal distribution, approximately ____ % of the observations fall within two standard deviations (+ or -) from the mean.
- 33
- 68
- 95
- 99

A

95

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9
Q

In a normal distribution, approximately ____ % of the observations fall within three standard deviations(+ or -) from the mean.
- 33
- 68
- 95
- 99

A

99

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10
Q

Money is
- gold
- cash
- a commodity
- credit

A

a commodity

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11
Q

The difference between an observation and the measure of central tendency for that array, without regard as to the sign of the difference, is the
- range
- outlier
- absolute deviation
- degree of freedom

A

absolute deviation

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12
Q

Which would NOT be a strength of AVMs?
- speed
- accuracy
- low cost
- no appraiser bias

A

accuracy

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13
Q

The most common use of mass appraisal for real property is
- valuation of a lender’s portfolio of REO properties
- mortgage origination
- ad valorem tax assessment
- commercial appraisal

A

ad valorem tax assessment

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14
Q

“A debt secured by real estate with an interest rate that may move up or down following a specified schedule or in accordance with the movements of a standard or index to which the interest rate is tied” is the definition of a(n) ___________ rate mortgage.
- fixed
- balloon
- adjustable
- sliding

A

adjustable

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15
Q

The price of money is
- fixed
- an interest rate
- an exchange rate
- a capitalization rate

A

an interest rate

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16
Q

“The listing of a set of observations, such as sales ratios, in a specific order, e.g., alphabetical, alpha-numeric, chronological, order of magnitude” is the definition of
- array
- parameter
- distribution
- grouped data

A

array

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17
Q

Computer-assisted mass appraisals (CAMAs) were first adopted by _________________ in the ____________.
- Fannie Mae, 1980s
- appraisers, 1990s
- lenders, 1960s
- assessors, 1970s

A

assessors, 1970s

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18
Q

An appraiser calculates the mean of a set of numbers, and then subtracts the mean from each number, adds up these differences without regard to sign, and divides this sum by the number of items. What has the appraiser calculated?
- range
- median
- standard deviation
- average deviation

A

average deviation

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19
Q

In statistics, “a systematic error” is called
- bias
- normal distribution
- deviation
- preference

A

bias

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20
Q

A random sample is not
- a chance selection
- from an entire aggregate
- biased
- from a universe

A

biased

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21
Q

The Fed can influence ___________ of money.
- only the supply
- only the cost
- both the supply and the cost
- neither the supply nor the cost

A

both the supply and the cost

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22
Q

___________ refers to the process of analyzing sets of property and market data to determine the specific parameters of a model.
- Fundamental analysis
- Multiple regression
- Calibration
- Income model

A

Calibration

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23
Q

“The central point, or representative value, around which items cluster in a frequency distribution” is the definition of
- mediancy
- central tendency
- mode
- collinearity

A

central tendency

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24
Q

“A statistic indicating the proportion of the total variance in the dependent variable accounted for by the independent variable in a simple linear regression equation” is the definition of
- coefficient of determination
- coefficient of dispersion
- regression coefficient
- regression dispersion

A

coefficient of determination
( R2- how much of the total variance is explained by the independent variable)

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25
Q

“The application of computer technology and statistical techniques to the solution of appraisal problems; used in assessment administration to derive value indications in the cost and sales comparison approaches and to perform other functions, e.g., assessment ratio analysis” is the definition of
- coefficient of determination
- computer-assisted mass appraisal
- stepwise regression analysis
- automated valuation model

A

computer-assisted mass appraisal

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26
Q

“In statistics, the specification of a zone within a population, based on a sample mean and its standard error, within which the true mean most probably lies” is the definition of
- confidence zone
- probability zone
- confidence interval
- coefficient of determination

A

confidence interval

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27
Q

To whom is the Fed accountable?
- Congress
- No one
- The President
- The Treasury Department

A

Congress

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28
Q

Advisory Opinion 18 of USPAP says that an appraiser must be able to reasonably conclude that the AVM’s output is _________ before using the AVM.
- accurate to within 5%
- equivalent to an appraisal
- provable
- credible

A

credible

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29
Q

“In statistics, items of information used to draw conclusions about, or to describe, a population” is the definition of
- variable
- data
- statistics
- sample

A

data

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30
Q

A ______________ variable is defined as “the variable being estimated (outcome or response variable) in a predictive model such as a multiple linear regression equation.”
- dependent
- independent
- predicting
- supportive

A

dependent

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31
Q

Analysis of central tendency is part of ____________ statistics.
- linear
- graphical
- descriptive
- inferential

A

descriptive

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32
Q

“The amount a variable’s value differs from the mean or some other benchmark” is the definition of
- range
- deviation
- error of the mean
- average deviation

A

deviation

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33
Q

If interest rates on bank interest-bearing accounts are too low, investors will invest their money elsewhere. This demonstrates the concept of
- intermediation
- disintermediation
- rate creep
- inflation spread

A

disintermediation

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34
Q

“The unexplained or random aspect of a relationship among variables” is the definition of
- error
- factor
- sampling error
- data entry error

A

error

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35
Q

True or False: AVMs were conceived as a way of replacing appraisers in financing transactions.
- TRUE
- FALSE
-
-

A

FALSE

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36
Q

In 1968, FNMA was split into two organizations:
- Fannie Mae and Freddie Mac
- Fannie Mae and HUD
- Ginnie Mae and Sallie Mae
- Fannie Mae and Ginnie Mae

A

Fannie Mae and Ginnie Mae

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37
Q

You may purchase an AVM from all of the following EXCEPT
- Fannie Mae
- Freddie Mac
- Corelogic
- ATTOM

A

Fannie Mae

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38
Q

Which federal agency was formed to insure bank deposits?
- FHA
- FHFA
- FNMA
- FDIC

A

FDIC

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39
Q

Which federal agency was created for the purpose of providing funds to savings and loan (thrift) institutions to make mortgages more affordable?
- FHA
- Federal Home Loan Bank Board
- Fannie Mae
- Federal Deposit Insurance Agency

A

Federal Home Loan Bank Board

The Federal Home Loan Bank (FHLB) system was founded in 1932 to support mortgage lending by thrifts and insurance companies. Over time, the system has grown into a provider of funding for a larger range of financial institutions, including commercial banks and insurance companies

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40
Q

Which agency oversees the conservatorship of Fannie Mae and Freddie Mac?
- The Appraisal Foundation
- Federal Deposit Insurance Corporation
- Bureau of Consumer Financial Protection
- Federal Housing Finance Agency

A

Federal Housing Finance Agency

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41
Q

____________ loans are assumable without the permission of the lender.
- All
- All conventional
- Only FHA
- FHA and VA

A

FHA and VA

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42
Q

Which was created first?
- FHFA
- Fannie Mae
- FHA
- Freddie Mac

A

FHA

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43
Q

“To estimate, calculate, or indicate in advance” is the definition of
- discounting
- probabilities
- descriptive statistics
- forecasting

A

forecasting

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44
Q

In the 1950s all of these were sources of mortgage funds EXCEPT
- depositors
- Freddie Mac
- repayment of existing mortgages
- sales of shares of ownership

A

Freddie Mac

Freddie Mac was chartered by Congress in 1970 as a private company to likewise help ensure a reliable and affordable supply of mortgage funds throughout the country. Today it is a shareholder-owned company that operates under a congressional charter.

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45
Q

A chart or visual representation of data relying on references to two axes” is the definition of
- chart
- plot
- graph
- histogram

A

graph

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46
Q

“Quantitative techniques used to identify and measure adjustments to the sale prices of comparable properties; a variant of statistical analysis in which an appraiser interprets graphically displayed data visually or through curve fit analysis” is the definition of _____________ analysis.
- chart
- linear
- straight line
- graphic

A

graphic

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47
Q

In mass appraisal, a _____________ model calculates value based on physical characteristics.
- repeat sales
- tax assessment
- hedonic
- hedonistic

A

hedonic

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48
Q

A chart or visual representation of data relying on references to two axes” is the definition of
- chart
- plot
- graph
- histogram

A

graph

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49
Q

“The process of drawing conclusions about population characteristics through analysis of sample data” defines _____________ statistics.
- descriptive
- inferential
- intuitive
- meaningful

A

inferential

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50
Q

_____________ liens are liens placed on a property after a previous lien has been made and recorded.
- First
- Predominant
- Reverse
- Junior

A

Junior

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51
Q

A(n) __________________ is a model where an independent variable’s marginal contribution to the value of a dependent variable is constant over the entire range of the data.
- model
- linear model
- income model
- AVM

A

linear model

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52
Q

All of the following are tools of the Fed, EXCEPT
- open market operations
- the discount rate
- reserve requirements
- loan to value ratio requirements

A

loan to value ratio requirements

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53
Q

The most common competitors for mortgage funds are
- savings account deposits
- short term money market funds
- long term certificates of deposit
- long term government bonds

A

long term government bonds

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54
Q

“A mathematical model used to develop values for each property within a group or universe of properties” is the definition of
- appraiser assisted AVM
- mass appraisal model
- linear model
- income model

A

mass appraisal model

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55
Q

Every distribution of numbers has a(n) ____________ but there may not be a _____________.
- mode, median
- mode, mean
- average, median
- mean and median, mode

A

mean and median, mode

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56
Q

Which term is MOST similar to a common average?
- mean
- median
- mode
- statistic

A

mean

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57
Q

The _______ describes the middle value in an ordered array of numerical values.
- mode
- median
- mean
- quartile

A

median

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58
Q

Some stepwise regression analysis could be performed through the use of standard spreadsheet application such as all of the following EXCEPT
- Microsoft Excel
- Lotus
- Microsoft Access
- Microsoft Word

A

Microsoft Word

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59
Q

“A measure of central tendency consisting of the numerical value or categorical characteristic that occurs most frequently in a sample or population “ is the definition of
- mean
- mode
- median
- range

A

mode

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60
Q

The most frequently occurring value in an array of numbers is the
- mean
- mode
- median
- range

A

mode

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61
Q

“A representation describing an underlying logical structure, relationship, or behavior” is the definition of
- model
- linear model
- coefficient of determination
- mass appraisal

A

model

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62
Q

“Currency plus demand and time deposits plus the liabilities of nonbank financial intermediaries” is the definition of
- mortgage money
- money supply
- cash
- total demand

A

money supply

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63
Q

“The interaction of buyers and sellers who trade short-term money instruments” is the definition of the _____________ market.
- monetary
- money
- capital
- bond

A

money

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64
Q

Which would NOT be a benefit of the secondary mortgage market system?
- smoother flow of money
- more local control
- re-infusion of funds into local lenders
- increased objectivity of underwriting decisions

A

more local control

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65
Q

Which is NOT a reason why statistics is becoming more important for appraisers?
- most appraisals are performed with three to five comparable sales
- comparable sales data are becoming readily available through the internet
- some appraisers perform mass appraisals
- some clients are asking appraisers to participate in AVM’s

A

most appraisals are performed with three to five comparable sales

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66
Q

What technique is used for analyzing the relationship between one dependent (outcome) variable and more than one (explanatory or predictor) variable?
- simple linear regression analysis
- fundamental analysis
- multiple regression analysis
- ordinal variation

A

multiple regression analysis

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67
Q

“A technique for analyzing the relationship between one dependent (outcome) variable and more than one independent (explanatory or predictor) variable” is the definition of
- outcome-based appraisal
- curvilinear regression
- multiple regression
- ordinal variation

A

multiple regression

68
Q

Usually, a mass appraisal model is some form of _______________ analysis.
- multiple regression
- single-property
- curvilinear regression
- automated valuation model

A

multiple regression

69
Q

Who owns the Fed?
- Congress
- No one, it is independent
- The Treasury Department
- The Mortgage Bankers Association

A

No one, it is independent

70
Q

“A sample produced by an unscientific, non-random process”, for example a sample based on an appraiser’s judgment or a convenience sample is a ____________ sample.
- random
- stratified
- nonprobability
- probability

A

nonprobability

71
Q

“A symmetrical, bell-shaped curve that represents the distribution of a population of certain types of measurements or the frequency distribution of all possible means in large samples that may be drawn from an unknown population distribution” is the definition of
- curvilinear curve
- spreadsheet
- concave curve
- normal curve

A

normal curve

72
Q

“A theoretical distribution often approximated in real-world situations. It is symmetrical and bell-shaped” is the definition of
- normal distribution
- stratified sample
- standard deviation
- outlier

A

normal distribution

73
Q

“A quantitative technique used to identify and measure adjustments to the sale prices or rents of comparable properties; to apply this technique, sales or rental data on nearly identical properties is analyzed to isolate and estimate a single characteristic’s effect on value or rent” is the definition of
- mass appraisal
- linear regression model
- paired data analysis
- income model

A

paired data analysis

74
Q

“A number that describes a characteristic of a population” is the definition of
- variant
- parameter
- aggregate
- sample

A

parameter

75
Q

Parameters are used to characterize a __________; statistics are used to measure a ___________.
- population, sample
- sample, population
- statistic, variant
- dependent variable, independent variable

A

population, sample

76
Q

The coefficient of determination is represented by the symbol
- X
- g
- Z
- r2

A

r2

77
Q

“The result of a sample selection process where all members of a population have the same probability of being selected” is the definition of _____________.
- sample
- random sample
- anomaly
- deviation

A

random sample

78
Q

Which of the following can be used in the analysis of dispersion?
- mean
- median
- mode
- range

A

range

79
Q

Mass appraisal is most often associated with _______________ valuation purposes.
- commercial
- intangible property
- real estate tax assessment
- industrial

A

real estate tax assessment

80
Q

“A statistical method that examines the relationship between one or more independent variables and a dependent variable” is the definition of
- mass appraisal
- multiple regression
- regression analysis
- error analysis

A

regression analysis

81
Q

In statistics, what is defined as “a subset of the population selected for analysis”?
- variate
- parameter
- aggregate
- sample

A

sample

82
Q

____________ are known as thrift institutions.
- Fannie Mae and Freddie Mac
- Savings & loans
- Credit unions
- Commercial banks

A

Savings & loans

83
Q

_______________ are either mutual or stockholder owned.
- Savings banks
- Savings & loans
- Credit unions
- Commercial banks

A

Savings banks

84
Q

“A market created by government and private agencies for the purchase and sale of existing mortgages, which provides greater liquidity for mortgages. Fannie Mae, Freddie Mac, and Ginnie Mae are the principal operators…” is the definition of the ___________ mortgage market.
- conventional
- primary
- secondary
- tertiary

A

secondary

85
Q

The symbol ______ stands for “the sum of.”
- x
- n
- Sigma
- y

A

Sigma

86
Q

“An estimate of the variability inherent in a statistical forecast” is the definition of
- standard error of the mean
- aggregate variation
- regression variance
- standard error of forecast

A

standard error of forecast

87
Q

“The standard deviation of a regression coefficient estimate” is the definition of
- error
- standard error
- coefficient determination
- bias

A

standard error

88
Q

Which USPAP STANDARD(s) address mass appraisals?
- STANDARD 4
- STANDARDS 5 and 6
- STANDARD 6
- STANDARDS 6 and 7

A

STANDARDS 5 and 6

89
Q

“A programmed algorithm for systematically building a multiple linear regression model by adding signficant variables, deleting insignificant variables, or both, and then assessing the model resulting from the addition or deletion” is the definition of
- coefficient of determination
- mass appraisal model
- simple regression analysis
- stepwise regression analysis

A

stepwise regression analysis

90
Q

Another name for the student table is the _______ table.
- Z
- T
- A
- X

A

t
T Table is another name for the Student Table (named after the pen name of its inventor).

91
Q

An appraiser is using an AVM in developing an appraisal on a property. Which statement is MOST TRUE regarding this situation?
- The appraiser should be able to describe the AVM’s overall process.
- The appraiser must be able to explain the AVM’s algorithm.
- The appraiser is not responsible for the AVM output or the final value conclusion.
- The appraiser must be able to recite the AVM’s mathematical formulae.

A

The appraiser should be able to describe the AVM’s overall process.

92
Q

Unbundled mortgage models are found in
- FHA loans
- the primary mortgage market
- the secondary mortgage market
- the securities market

A

the secondary mortgage market

93
Q

What is the mode in the following list of rental amounts for two-bedroom apartments? $850, $885, $910, $825, $800, $900, $925
- 871
- 900
- 885
- there is no mode

A

there is no mode

94
Q

Which would NOT be a weakness of AVMs?
- no existing standards
- they ignore marketability
- no data verification
- they cost more

A

they cost more

95
Q

What happened to Fannie Mae and Freddie Mac in 2008?
- they issued new appraisal reporting forms
- they ceased operations
- they purchased less than 15% of U.S. mortgages
- they were taken into government conservatorship

A

they were taken into government conservatorship

96
Q

True or False: Fractiles are intervals that total 100% of the distribution.
- TRUE
- FALSE
-
-

A

TRUE

97
Q

“In statistics, a population or entire body of possible data” is the definition of
- sample
- variate
- world
- universe

A

universe

98
Q

“The process of valuing a ________ of properties as of a given date using ____________ methodology, employing common data, and allowing for _______________ testing” is the definition of mass appraisal.
- sample, statistical, empirical
- universe, unique, common
- population, specific, qualitative
- universe, standard, statistical

A

universe, standard, statistical

99
Q

Which is a guaranteed mortgage?
- VA
- FHA
- Fannie Mae
- Freddie Mac

A

VA

100
Q

A(n) _______________ is “… a characteristic or attribute of an item, service, or individual that can change from observation to observation.”
- variable
- income stream
- range
- interest rate

A

variable

101
Q

When the seller keeps the existing mortgage on behalf of the buyer, plus lends additional money to cover the price paid above the balance of the underlying loan that is called a:
- Land contract
- Wrap-around contract
- Conditional assumption
- Pass-through

A

Wrap-around contract

102
Q

*The symbol for a variate is**
- y
- b
- x
- n

A

X

103
Q

In the compound interest tables, which columns deal with future values?
- 1, 2, 5
- 2, 4, 6
- 1, 2, 3
- 4, 5, 6

A

1, 2, 3

104
Q

In the compound interest tables, which columns deal with present values?
- 1, 2, 5
- 2, 4, 6
- 1, 2, 3
- 4, 5, 6

A

4, 5, 6

105
Q

About ___% of the observations in a normal distribution will fall within one standard deviation on either side of the mean.
- 33
- 68
- 95
- 99

A

68

106
Q

Computer-assisted mass appraisals (CAMAs) were first adopted by ______________ in the _______.
- assessors, 1990s
- appraisers, 1980s
- lenders, 1970s
- assessors, 1970s

A

assessors, 1970s

107
Q

“The application of computer technology and statistical techniques to the solution of appraisal problems; used in assessment administration to derive value indications in the cost and sales comparison approaches and to perform other functions, e.g., assessment ratio analysis” is the definition of
- mass appraisal
- computer-assisted mass appraisal
- stepwise regression analysis
- automated valuation model

A

computer-assisted mass appraisal

108
Q

A ______________ variable is defined as “the variable being estimated (outcome or response variable) in a predictive model such as a multiple linear regression equation.”
- dependent
- independent
- predicting
- supportive

A

dependent

109
Q

A branch of statistics concerned only with characterizing, or describing, a set of numbers; the measures used to characterize a set of data, e.g., average, maximum, coefficient of dispersion” is the definition of ____________ statistics.
- descriptive
- influential
- determinant
- inferential

A

descriptive

110
Q

Analysis of central tendency is part of ____________ statistics.
- linear
- graphical
- descriptive
- inferential

A

descriptive

111
Q

Central tendency is part of ________________ statistics.
- linear
- graphical
- descriptive
- inferential

A

descriptive

112
Q

“The act of investing directly to enhance investment return rather than placing deposits in financial intermediaries such as commercial banks or savings banks” is the definition of
- intermediation
- disintermediation
- rate creep
- inflation spread

A

disintermediation

113
Q

You could purchase an AVM from all of the following EXCEPT
- Fannie Mae
- Freddie Mac
- Dataquick
- Electronic Appraiser

A

Fannie Mae

114
Q

Which federal agency was formed to insure bank deposits?
- FHA
- CFPB
- FNMA
- FDIC

A

FDIC

115
Q

___________ loans are assumable without the permission of the lender.
- All
- All conventional
- Only FHA
- FHA and VA

A

FHA and VA

116
Q

All of the following are secondary market participants EXCEPT
- FHA
- Fannie Mae
- Ginnie Mae
- Freddie Mac

A

FHA

117
Q

Which is an insured loan?
- VA
- FHA
- Fannie Mae
- Freddie Mac

A

FHA

118
Q

A _____________ model calculates value based on physical characteristics.
- repeat sales
- tax assessment
- hedonic
- privately calibrated

A

hedonic

119
Q

_________ liens are liens placed on a property after a previous lien has been made and recorded.
- Tax
- Ordinary
- Primary
- Junior

A

Junior

120
Q

A _____________ is one in which the independent variable’s marginal contribution to the value of the dependent variable is constant over the entire range of the data.
- truncated adjustment
- linear model
- income model
- mass appraisal

A

linear model

121
Q

A(n) __________________ is a model where an independent variable’s marginal contribution to the value of a dependent variable is constant over the entire range of the data.
- model
- linear model
- income model
- AVM

A

linear model

122
Q

The ________ is most affected by extreme values.
- mode
- mean
- median
- median and the mean

A

mean

123
Q

The prime measure of central tendency is the
- mode
- median
- mean
- range

A

mean

124
Q

Which is MOST similar to a common average?
- mean
- median
- mode
- statistic

A

mean

125
Q

The _______ describes the central position in an array.
- mode
- median
- mean
- quartile

A

median

126
Q

Measures of dispersion would include all of the following EXCEPT
- mode
- standard deviation
- range
- average deviation

A

mode

127
Q

_____________ is defined as “The efforts by a central bank, such as the Federal Reserve in the United States, to influence the level of economic activity in the country by regulating the availability of money and the rate of interest.”
- Monetary policy
- Money
- Fiscal soundness
- Disintermediation

A

Monetary policy

128
Q

“The interaction of buyers and sellers who trade short-term money instruments” is the definition of the ________ market.
- stock
- money
- capital
- bond

A

money

129
Q

Compounding and discounting are ___________.
- opposites
- equal
- complementary
- calculations that appraisers do not perform

A

opposites

130
Q

“In statistics, the result of a sample selection process where all members of a population or population stratum have the same probability of being selected” is the definition of
- bias
- graphic analysis
- random sample
- systematic sample

A

random sample

131
Q

“The result of a sample selection process where all members of a population or population stratum have the same probability of being selected” is the definition of
- sample
- random sample
- anomaly
- deviation

A

random sample

132
Q

“The difference between the highest and lowest values in a set of numbers” defines
- variance
- total variance
- range
- average deviation

A

range

133
Q

Mass appraisal is most often associated with ______________ valuation purposes.
- commercial
- residential
- real estate tax assessment
- industrial

A

real estate tax assessment

134
Q

“A statistical method that examines the relationship between one or more independent variables and a dependent variable” is the definition of
- automated valuation model
- standard error of the mean
- regression analysis
- error analysis

A

regression analysis

135
Q

R2 measures how well the _____________ fits the _______.
- regression line, cost new
- regression coefficient, mean
- regression line, data
- dispersion, variance

A

regression line, data

136
Q

“The standard deviation of a regression coefficient estimate” is the definition of
- range
- standard error
- coefficient of determination
- average deviation

A

standard error

137
Q

“In statistics, a population or entire body of data” is the definition of
- dependent
- variant
- world
- universe

A

universe

138
Q

Which is a guaranteed loan?
- VA
- FHA
- Fannie Mae
- Freddie Mac

A

VA

139
Q

The symbol for a variant is
- y
- S
- x
- n

A

x

140
Q

A property has a first mortgage of $130,000, a second mortgage of $30,000, and a third mortgage of $15,000. It is foreclosed and sold for $165,000. The holder of the third mortgage gets $________ and the holder of the second mortgage receives $ _________.
- 0, $15,000
- $15,000, $15,000
- $5,000, $30,000
- 0, $25,000

A

$5,000, $30,000

141
Q

A property has a first mortgage of $180,000, a second mortgage of $40,000, and a third mortgage of $25,000. It is foreclosed and sold for $220,000. The holder of the third mortgage gets $________ and the holder of the second mortgage receives $ _________.
- 0, $25,000
- $20,000, $20,000
- $40,000, $25,000
- 0, $40,000

A

0, $40,000

142
Q

A standard IQ test has a mean of _____ and a standard deviation of _____.
- 100, 1
- 10, 100
- 100, 20
- 100, 10

A

100, 10

143
Q

“Computer software that queries property and market data, analyzes comparable property and market information to assign a value or range of value to a particular property” is the definition of
- mass appraisal model
- stepwise regression model
- standard appraisal software
- automated valuation model

A

automated valuation model

144
Q

“The number of values in a calculation of a statistic that are free to vary” is the definition of
- average deviation
- average absolute deviation
- degrees of freedom
- standard error

A

degrees of freedom

145
Q

Price is the __________ variable.
- dependent
- independent
- either dependent or independent
- given

A

dependent

146
Q

“Conversion of benefits received in the future to present value” is the definition of
- discounting
- compounding
- securitization
- cash flow

A

discounting
* (What is the present worth of something to be received in the future? This has to factor in risk and opportunity cost)*

147
Q

An AVM by itself
- is always an appraisal
- can be an appraisal
- is not an appraisal
- could be an appraisal, depending on the scope of work

A

is not an appraisal

148
Q

_________________ is defined as “the Federal Reserve’s efforts to influence the level of economic activity by regulating the availability of money and the rate of interest.”
- Monetary policy
- Market manipulation
- Housing policy
- Disintermediation

A

Monetary policy

149
Q

“A document or a clause in a document in which the borrower accepts responsibility for the repayment of a debt” is the definition of
- due on sale clause
- mortgage note
- collateral
- deed of trust

A

mortgage note

150
Q

Compounding and discounting are ___________.
- opposites
- equal
- complementary
- not related

A

opposites

151
Q

“A categorical variable indicating rank order, such as small, medium, and large” is the definition of ___________ variable.
- dependent
- ordinal
- independent
- nominal

A

ordinal
(That defines an ordinal variable. It involves ranking.)

152
Q

R-squared (r2) measures how well the _________ fits the _________.
- regression line, cost new
- regression coefficient, mean
- regression line, data
- dispersion, variance

A

regression line, data

153
Q

“In statistics, a subset of a population selected for analysis” is the definition of
- variate
- parameter
- aggregate
- sample

A

sample

154
Q

A decile divides the data into ___ equal parts.
- 2
- 4
- 5
- 10

A

10

155
Q

A large sample consists of ______ or more observations.
- 10
- 18
- 20
- 30

A

30

156
Q

All the charts and graphs in the course were prepared using
- D Plot
- Microsoft Word
- Microsoft Access
- Microsoft Excel

A

Microsoft Excel

157
Q

Which of these is NOT a reason statistics is becoming more important today?
- Most appraisals are performed with three to five comparable sales
- Comparable sales data are becoming readily available through the Internet
- Some appraisers perform mass appraisals
- Some clients are asking appraisers to participate in AVMs

A

Most appraisals are performed with three to five comparable sales

158
Q

“A branch of statistics concerned only with characterizing, or describing, a set of numbers; the measures used to characterize a set of data, e.g., average, maximum, coefficient of dispersion” is the definition of ____________ statistics.
- descriptive
- influential
- intuitive
- inferential

A

descriptive

159
Q

An opinion can be all of the following EXCEPT
- a belief
- a view
- a guarantee
- a judgment

A

a guarantee

160
Q

The gold and blue keys on an HP 12c are ________ keys.
- statisical
- financial
- shift
- programming

A

shift

161
Q

“The body of principles and methods concerned with extracting useful information from numerical data” is the definition of
- inferential statistics
- descriptive statistics
- statistics
- graphical analysis

A

statistics

162
Q

“The process of drawing conclusions about population characteristics through analysis of sample data” defines ___________ statistics.
- descriptive
- influential
- intuitive
- inferential

A

inferential

163
Q

A ___________ variable is defined as “The variable being estimated (outcome or response variable) in a predictive model such as a multiple linear regression equation”
- dependent
- independent
- predicting
- supportive

A

dependent

164
Q

“A chart or visual representation of data relying on references to two axes, which may be either numerical or categorical in scale” is the definition of
- chart
- bar chart
- graph
- arrangement

A

graph

165
Q

“In statistics, items of information used to draw conclusions about, or to describe, a population” is the definition of
- datum
- data
- statistics
- sample

A

data

166
Q

A(n) _______________ is defined as “a characteristic or attribute of an item, service, or individual that can change from observation to observation.”
- variable
- income stream
- range
- interest rate

A

variable

167
Q

A large sample is ______ or more.
- 5
- 10
- 20
- 30

A

30

V_General Appraiser (12 decks)

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