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Source-reviewed study unitAbout 7 minutes

Move through the valuation hierarchy

Ability objective

Choose the next lawful appraisement method when transaction value cannot be determined or used.

Answer first

Core rule

The statutory sequence is transaction value, identical merchandise, similar merchandise, deductive value, computed value, then a reasonably adjusted fallback. The importer may request that computed value be considered before deductive value.

Authority and lookup route

Locate the rule before returning to the facts. Links point to government or official publications.

19 U.S.C. 1401a(a)

U.S. Code → Title 19 → §1401a(a) → methods (A) through (F)

Current legal baseline; confirm the edition designated for the exam sitting

19 CFR 152.101; 152.104–152.107

19 CFR → Part 152 → Subpart E → basis and methods after transaction value

Current legal baseline; confirm the edition designated for the exam sitting

Reference lookup task

Find the default sequence and the single importer election that can reverse two adjacent methods.

Route: Start at §152.101 for the sequence, then confirm the statutory election in 19 U.S.C. 1401a(a)(2).

Worked example

Transaction value and the values of identical and similar merchandise are unavailable. The importer makes no election. Which method is considered next?

  1. 1Confirm that the first three methods are unavailable.
  2. 2Check whether the importer elected to reverse deductive and computed value.
  3. 3Because there is no election, keep the default statutory order.
  4. 4Select deductive value before computed value.

Conclusion: Deductive value is considered next.

Common traps

  • Skipping directly from failed transaction value to fallback value.
  • Assuming computed value always precedes deductive value.
  • Treating the importer election as automatic.