The Peace of Augsburg allowed which of the following?

The Peace of Augsburg, concluded in 1555, was a significant agreement that allowed German princes the authority to determine the religion of their own territories, specifically choosing between Roman Catholicism and Lutheranism. This meant that each prince could establish whether their realm would follow Catholic or Protestant practices. This decision-making power was crucial because it acknowledged the growing divide in religious beliefs during the Reformation and gave local rulers a significant degree of autonomy in religious matters, reflecting the fragmentation of religious unity in Europe at the time.

The other choices do not accurately reflect the implications of the Peace of Augsburg. For instance, it did not establish a broad religious tolerance across Europe; rather, it localized the decision-making process to individual territories under princely control. Furthermore, it did not lead to a Catholic dominance in Protestant areas, as the agreement specifically allowed princes to choose their religion, ensuring that Protestant areas could maintain their beliefs as well. Lastly, instead of establishing a single German church, the Peace of Augsburg recognized the coexistence of multiple religious practices, thus solidifying the division rather than unifying them under one church.