Real Estate Math

An Idaho property owner pays property taxes of $4,380 annually. If the tax rate is 1.2% of assessed value, what is the assessed value?

A$315,000
B$340,000
C$360,000
D$365,000✓ Correct

Explanation

Assessed value = Tax ÷ Tax Rate = $4,380 ÷ 0.012 = $365,000. To solve this, multiply the relevant values: $4,380 at 1.2%.. The correct answer is $365,000.. This is a common calculation on the Idaho real estate exam.

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