Use This Fact Situation to Answer the Related Questions That

question 32

Multiple Choice

Use this fact situation to answer the related questions that follow. Edward and John own residential lots of land in Ontario that are beside each other.The previous owners of the lots wanted to save themselves the cost of surveys and put up a fence on what they thought was the lot line between the two properties.Edward bought his lot in 1961,and from that time on began to landscape a 3 metre wide strip beside the fence;erecting a rock wall 3 metres from the fence;planting trees,shrubs,and flowers;and constructing a small fountain between the wall and the fence.In 1986,John purchased his lot and had a survey done,which disclosed that the fence had been placed 3.3 metres inside his lot,so John proceeded to move the fence back to the lot line and in the process destroyed all of the landscaping that Edward had done.
Assuming that the property was in the land registry system,in this case

• A)Edward acquired ownership of the strip of land by adverse possession.
• B)Edward acquired possessory ownership of the strip of land by adverse possession.
• C)Edward is now the absolute owner of the strip of land.
• D)the strip of land has become part of Edward's land,and Edward can sue John for the damage caused to his landscaping.
• E)all of the above

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Definitions:

Activity-Based Costing

A method of allocating overhead and indirect costs to specific products or projects based on their use of resources.

Activity Rate

The cost driver rate that is used to assign activity costs to products or services based on their consumption of the activity.

Cost Pools

Groups of individual costs combined to allocate costs more efficiently.

Activity-Based Costing

A costing method that assigns costs to products or services based on the activities they require, aiming for more accurate product costing.