Certified Pennsylvania Evaluator Practice Exam

What does PDR stand for in property assessment terms?

1. Property Distribution Ratio

2. Predetermined Ratio

3. Property Development Rate

4. Public Debt Ratio

The correct answer is: Predetermined Ratio

The term PDR in property assessment refers to Predetermined Ratio. This is a significant concept in property assessments because it represents a ratio established by a government agency, typically for the purpose of standardizing the assessment process across different jurisdictions. The predetermined ratio is used to calculate the assessed value of a property in comparison to its market value. This ratio holds particular importance for ensuring equity in property taxation, as it helps to determine how much of a property's market value will be considered for tax purposes. By utilizing a predetermined ratio, assessors can apply a consistent standard to determine the assessed values, which helps maintain fairness and transparency in the property taxation system. Other terms like Property Distribution Ratio, Property Development Rate, and Public Debt Ratio do not relate specifically to property assessment practices, making them less relevant in the context of this question.