Certified Residential Appraiser Practice Exam

What is one limitation of the Quantity Survey Method?

1. It is highly accurate

2. It is based on theoretical estimations

3. It is the least expensive method available

4. It requires a detailed analysis of construction costs

The correct answer is: It requires a detailed analysis of construction costs

The Quantity Survey Method is focused on providing a comprehensive and detailed estimation of construction costs, which inherently involves an extensive analysis of various factors including materials, labor, overhead, and other expenses associated with a construction project. This method requires a thorough breakdown of costs, which can be time-consuming and resource-intensive. As a result, while the detailed analysis can lead to a more accurate estimation of total costs, it also represents a limitation in terms of time and effort needed to use this method effectively. This depth of analysis may not be feasible in all situations, especially for smaller projects or when quick estimations are needed, making it less practical compared to methods that require less detailed examination. Other options do not align with the primary characteristics of the Quantity Survey Method. For instance, its accuracy can vary depending on the quality and comprehensiveness of the data used. It is not based solely on theoretical estimations; it involves actual market data for materials and labor. Additionally, it is not the least expensive method; the detailed analysis necessary to apply this method often incurs higher costs compared to more simplified approaches.