Real Estate Math

A Colorado property with a market value of $600,000 is assessed at the residential rate of 7.15% of actual value. With a mill levy of 75 mills, what is the annual property tax?

A$2,826
B$3,218✓ Correct
C$4,500
D$6,000

Explanation

Assessed value = $600,000 × 7.15% = $42,900.

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