Tiêu đề 1.CASE STUDIES APPEARED IN THE IBBI REVISED MODEL QUESTION PAPER (2) ✅

CASE STUDIES APPEARED IN THE IBBI REVISED MODEL QUESTION PAPER An owner purchased a piece of land admeasuring about 350 m2 and constructed a bungalow of ground and one upper floor for his personal use some 30 years back. The bungalow is of first-class construction having a future economic life of 40 years and has got the total built-up area of 300 m2. The owner now desires to sale the same and has received an offer of Rs.55 lakhs with vacant possession or in the alternative he has been offered a gross yearly rent of Rs.2,00,000 for the bungalow and the plot together. There is good demand for such property in the locality. Value of land in the locality for similar plots = Rs.8000 per sq.m.(m2) Present replacement cost of such a bungalow = Rs.15,000 per sq.m.. (m2) Total outgoings = 15 per cent of the gross rent Annual sinking fund for redemption of Re. 1 at 5 per cent in 70 years = 0.0017 Amount of Re. 1 per annum in 30 years at 5 per cent = Rs.66.439 Year’s purchase at 3% in perpetuity = 33.33 93. What is the amount of depreciation of the bungalow? a. 42.86 per cent b. 11.29 per cent c. 15.30 per cent d. Nil Ans. (b) 94. What will be the depreciated replacement cost of the bungalow? a. Rs.39,91,950 b. Rs.38,11,500 c. Rs.35,12,250 d. Rs.45,00,000 Ans. (a) 95. What will be the insurable value for reinternment policy? a. Rs.39,91,950 b. Rs.45,00,000 c. Rs.65,00,000 d. Rs.38,11,500
1 Ans. (b) 96. What will be the market value of the property by income approach? a. Rs.66,66,000 b. Rs.56,66,000 c. Rs.55,00,000 d. Rs.50,00,000 Ans (b) Solution: Data Given: Extent of plot = 350 m2 Built-up area = 300 m2 Age of the building = 30 years Future economic life = 40 years Gross yearly rent = Rs. 2,00,000 Outgoings = Rs. 15% of gross rent Land rate = Rs. 8,000/ m2 Replacement rate of building = Rs. 15,000/ m2 Years purchase = 33.33 a) Depreciation of the bungalow Useful life span = 70 years Age of the building = 30 years From the data given, it appears that depreciation is to be calculated by sinking fund method. Annual Sinking fund = 0.0017 So, in 30 years it will amount to 0.0017 x 66.439 = 0.1129 or 11.29% ANS: “b”. b) Depreciated replacement cost
Depreciation percentage = 11.29% Replacement cost = Rs. 45,00,000 2 Depreciation value = 0.1129 x 45,00,000 = Rs. 5,08,050 Depreciated replacement value = 45,00,000 - 5,08,050 = Rs. 39,91,950 ANS: is “a”. c) Insurable value for reinstatement policy Plinth area = 300 m2 Replacement cost = Rs. 15,000/m2 Replacement value for the = Rs. 45,00,000/- purpose of insurance ANS: is “b”. d) Market value by income approach Gross rent = Rs. 2,00,000 Outgoings 15% = Rs. 30,000 Net income = Rs. 1,70,000 Years purchase = 33.33 Capitalised value = 1,70,000 x 33.33 = Rs. 56,66,100 say, Rs. 56,66,000 ANS: is “b”.