Real Estate Math

A property's assessed value is $200,000 with a homestead exemption of $10,000. The net taxable value is $190,000 and the mill rate is 40 mills. What are the annual taxes?

A$7,200
B$7,600✓ Correct
C$8,000
D$8,400

Explanation

Net taxable value = $200,000 − $10,000 = $190,000. Taxes = $190,000 × 0.

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