Real Estate Math

A buyer's annual property tax bill is $6,600. Closing occurs on September 30. Using a 360-day year, how much does the seller owe the buyer as a prorated tax credit (taxes paid in arrears)?

A$4,950✓ Correct
B$5,115
C$5,500
D$1,650

Explanation

Daily tax rate: $6,600 ÷ 360 = $18.33/day.

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