Real Estate Math

A South Dakota property has an assessed value of $195,000 and a mill rate of 15 mills. What is the annual property tax?

A$1,950
B$2,925✓ Correct
C$2,500
D$3,900

Explanation

Annual property tax = Assessed Value × Mill Rate ÷ 1,000 = $195,000 × 15 ÷ 1,000 = $195,000 × 0.015 = $2,925.

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