Consider the Following Scenario When Answering the Following Questions

question 91

Multiple Choice

Consider the following scenario when answering the following questions:
Jones owns a factory that is dumping toxic waste into a river where Smith owns a resort.At present,Jones is not filtering the water that he dumps into the river.There is a filter he could install that would remove a significant amount of the toxic elements from the water before it is dumped in the river.Jones and Smith have each assessed the situation and come up with the following data:

-If property rights over the river are assigned to Smith,then

• A) Smith will force Jones to close the factory.
• B) Smith will pay Jones up to $75 per day to install the filter.
• C) Smith will pay Jones up to $125 to install the filter.
• D) Jones will install a filter and pay Smith at least $75 per day.
• E) Jones will install a filter.

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Definitions:

Trademark

A symbol, word, or phrase legally registered or established by use as representing a company or product.

Removing Building

The process of demolishing or dismantling a building structure from a property, often involving considerations for recycling and waste management.

Land

Land is a type of real estate referring to the solid part of the earth's surface that can be owned, bought, or sold, and is used for various purposes including farming, building, or as an investment.

Land Improvements

Enhancements to land that increase its value or usefulness, such as landscaping, fencing, and paving, which are usually depreciable over time.