Property Valuation

Surplus productivity in Indiana land economics means:

ALand generates more income than needed to cover expenses
BThe residual income attributable to the land after all labor, capital, and management have been compensated✓ Correct
CAgricultural land produces more crops than market demand requires
DCommercial land generates income in excess of zoning requirements

Explanation

Surplus productivity is an economic principle holding that land value is the residual amount left over after the other agents of production (labor, capital, management) have been paid.

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