The price-related differential _______ one.

The price-related differential _______ one.

• A. Above
• B. Below
• C. Across
• D. Around

Answer: (A)

The price-related differential is a measure used to see how well assessed values track market values across properties. It compares the total market value (often represented by sale prices) to the total assessed value. When this differential is above one, it means market values exceed assessments on average, so the differential is greater than one and indicates under-valuation in the assessment system relative to market prices. If it’s around one, assessments align with market values; if it’s below one, assessments exceed market values on average. So the statement should read that the price-related differential is above one to express that it is greater than one.

The price-related differential is a measure used to see how well assessed values track market values across properties. It compares the total market value (often represented by sale prices) to the total assessed value. When this differential is above one, it means market values exceed assessments on average, so the differential is greater than one and indicates under-valuation in the assessment system relative to market prices. If it’s around one, assessments align with market values; if it’s below one, assessments exceed market values on average. So the statement should read that the price-related differential is above one to express that it is greater than one.