Real Estate Math

An Iowa property owner receives a tax bill for $5,460. The mill rate is 28. What is the assessed value?

A$185,000
B$195,000✓ Correct
C$200,000
D$210,000

Explanation

Assessed value = Tax ÷ (Mill rate ÷ 1,000) = $5,460 ÷ 0.028 = $195,000.

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