Robert owns a home in Scottsdale, Arizona, with a Limited Property Value (LPV) of $440,000. Residential property in Arizona is assessed at 10% of LPV (Assessment Ratio Class 3). If the combined primary property tax rate is 7.2% (i.e., $7.20 per $100 of assessed value), what is Robert's annual primary property tax?
Correct Answer
A) $3,168
Arizona residential property (Class 3) is assessed at 10% of LPV. Assessed Value = $440,000 × 10% = $44,000. Tax = $44,000 × 7.2% = $3,168.
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