Which of the Following Statements Is True of an Easement

question 26

Multiple Choice

Which of the following statements is true of an easement?

• A) It creates ownership of the land in question.
• B) It exists for the benefit of pharmaceutical corporations.
• C) It occurs when landlocked property is purchased.
• D) It creates a leasehold estate.
• E) It places a particular use of land behind the exclusive legal fence.

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Definitions:

Valuation Rate

The interest rate or discount rate used in determining the present value of future cash flows or in appraising the value of an asset.

Market Value

The current price at which an asset or service can be bought or sold in a competitive marketplace.

Assessed Valuation

The dollar value assigned to a property for purposes of measuring applicable taxes, determined by a public tax assessor.

Taxation

The imposition of compulsory levies on individuals or entities by governments to fund public expenditures.