Real Estate Math
At a Pennsylvania closing, the seller has prepaid taxes of $6,000 for the full year. The closing is on September 1 (day 244 of 365). How much does the buyer owe the seller as a tax proration credit?
A$1,990
B$2,013✓ Correct
C$3,987
D$4,000
Explanation
Seller has paid taxes through December 31. Buyer owns the property for the last 122 days of the year (Sept 1 to Dec 31).
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