Real Estate Math

An Alaska property has a market value of $480,000 and is assessed at 85% of market value. The mill rate is 12 mills. What is the annual tax?

A$4,896✓ Correct
B$5,808
C$6,048
D$7,200

Explanation

Assessed value = $480,000 × 85% = $408,000. Tax = $408,000 × 12 ÷ 1,000 = $408 × 12 = $4,896.

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