Which term describes the figure representing the construction cost for a dwelling derived from a cost manual?

• A. Replacement cost
• B. Market value
• C. Cost
• D. Insurance value

Answer: (C)

When using data from a cost manual, the number you get is the construction cost—the actual expense to build the dwelling. This is the plain “cost” figure, not value or insurance coverage. Replacement cost is related, but it’s a specific concept: the cost to construct a structure that serves the same function, which may differ depending on how it’s defined. Market value reflects what someone would pay in the market, and insurance value is about coverage, not the construction expense. So the term that best fits a figure derived directly from a cost manual is simply the cost.