You control all aspects of a layer through the layer's properties. General information and display control for a given terrain dataset can be found on the terrain dataset's Layer Properties dialog box. The terrain dataset Layer Properties dialog box contains the same functionality for a terrain dataset in a map or scene view.
General tab
The General tab on the Layer Properties dialog box allows the terrain dataset layer display Name and Description parameters to be modified. You can also set the Scale Range parameter to specify a range in which to display the Terrain dataset layer.
Source tab
The Source tab allows you to view the extent of your data. You can view and change the source of your data from this tab.
The bounding Extent, Spatial Reference, and Domain, Resolution, and Tolerance information for the terrain dataset layer also displays.
Elevation tab
The Elevation tab allows you to specify what surface the terrain layer will be draped on when viewing in 3D. By default, it's the ground.
Cache tab
The Cache tab allows you to specify when to clear the cache for layers.