Real Estate Math
A property is assessed at $280,000. The mill levy is 80 mills. What are the annual property taxes?
A$2,240
B$22,400✓ Correct
C$2,800
D$5,600
Explanation
Property taxes = Assessed value × Mill levy ÷ 1,000 = $280,000 × 80 ÷ 1,000 = $280,000 × 0.08 = $22,400.080. $280,000 × 0.080 = $22,400 is answer B. Actually 80 mills = 80/1000 = 0.08 and $280,000 × 0.08 = $22,400 is the correct calculation. Correct: 1 ($22,400).
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