What we find (2)

Here's the same thing again, but this time with FS2004. The important thing to notice is that each edge of the polygons which make up the displayed terrain are 8x~4.8m in length (using the terrain texture 'pixel' size as a yardstick again).  The vertices are the points where the edges of the polygons meet, and in determining the maximum vertex level displayed, we only count along the rectangular edges of the triangles, not along the diagonal.

The screenshot above also illustrates another reason (previously unmentioned) why it is normally so difficult to see the edges of the triangles - the edges of the texture 'pixels' do not align with the edges of the triangles, but intentionally wrap over the edge. When combined with filtering, this serves to further hide the hard edge of the triangle to create the illusion of a more rounded terrain surface.  

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