Real Estate Math
A Michigan property's value is $425,000 and it is assessed at 50% of market value. The tax rate is 45 mills. What is the annual property tax?
A$9,563✓ Correct
B$9,375
C$8,500
D$19,125
Explanation
Assessed value = $425,000 × 50% = $212,500. Annual tax = $212,500 × (45 ÷ 1,000) = $212,500 × 0.045 = $9,562.50.
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