A property's market value is $400,000. Assessment rate is 25% with 22.75 mills and $30,000 property tax deduction. Find annual property taxes.
Correct Answer
B) $1,592.50
Assessed Value = ($400,000 - $30,000) × 0.25 = $92,500. Tax = $92,500 × 0.02275 - wait, let me recalculate: Assessed = $400,000 × 0.25 = $100,000. Taxable = $100,000 - $30,000 = $70,000. Tax = $70,000 × 0.02275 = $1,592.50
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