A county raises its mill rate from 25 mills to 28 mills. A property assessed at $350,000 will see its annual tax increase by how much?
Correct Answer
D) $1,050
Step 1: Mill increase = 28 − 25 = 3 mills. Step 2: Tax increase = $350,000 × 3 ÷ 1,000 = $1,050.
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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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