A property has an assessed value of $150,000 and a tax rate of 22 mills. What is the annual property tax?
Correct Answer
B) $3,300
Step 1: One mill = $1 per $1,000 of assessed value. Step 2: Annual tax = $150,000 × 22 ÷ 1,000 = $3,300.
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Related Topics & Key Terms
Key Terms:
Related Concepts
Annual interest is the total amount of interest charged on a loan or investment over a year.
Area calculation involves determining the square footage or acreage of a property using geometric formulas. Key conversions: 1 acre = 43,560 square feet, 1 mile = 5,280 feet, 1 section = 640 acres.
Daily rate calculation involves determining the cost or income per day by dividing the total amount by the number of days in the period (usually a year or a month). This is a fundamental step in proration.
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