Real Estate Math

A property is assessed at $150,000 and the assessment ratio is 80% of market value. What is the estimated market value?

A$120,000
B$157,500
C$187,500✓ Correct
D$200,000

Explanation

If assessed value = 80% of market value, then Market Value = Assessed Value ÷ 0.80 = $150,000 ÷ 0.80 = $187,500.

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