Real Estate Math

A property's assessed value is $375,000. The tax rate is $1.20 per $100 of assessed value. What are the annual property taxes?

A$3,750
B$4,500✓ Correct
C$4,050
D$4,800

Explanation

Annual taxes = ($375,000 ÷ 100) × $1.20 = 3,750 × $1.20 = $4,500. Using the values given ($375,000, $1.20), apply the appropriate formula.. The correct answer is $4,500.. This is a common calculation on the Nevada real estate exam.

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