Real Estate Math

A NJ property's assessed value is $280,000 at an assessment ratio of 80%. The tax rate is $3.50 per $100 of assessed value. What is the annual property tax?

A$9,800✓ Correct
B$7,840
C$11,200
D$3,500

Explanation

Property Tax = Assessed Value × Tax Rate per $100 = $280,000 × ($3.50 ÷ $100) = $280,000 × 0.035 = $9,800.

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