Which of the Following Is True of an Ownership of Real

question 45

Multiple Choice

Which of the following is true of an ownership of real property that is fee simple absolute?

• A) It cannot be inherited.
• B) It terminates based on the occurrence or nonoccurrence of a specified event.
• C) It is infinite in duration.
• D) It cannot be transferred at will.

---

Definitions:

Effective Annual Rate

The interest rate on a loan or investment, adjusted for the effect of compounding over a one-year period.

Par

The face value of a bond or other financial instrument, which is the amount to be paid to the holder at maturity.

HPR

Holding Period Return, a measure of the total return received from holding an asset or portfolio of assets over a specified period of time.

Dividend

A portion of a company's earnings distributed to its shareholders, typically in the form of cash payments or additional shares.