Real Estate Math
A New Mexico property worth $480,000 is assessed at 1/3 of value. The total assessed value of the taxing district is $800 million and the district needs $12 million in tax revenue. What is the tax rate in mills?
A12 mills
B15 mills✓ Correct
C18 mills
D20 mills
Explanation
Tax rate = Total Revenue Needed / Total Assessed Value = $12,000,000 / $800,000,000 = 0.015 = 15 mills (15 per $1,000).
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