Real Estate Math

A South Dakota property owner's annual property tax is $3,960. The property's assessed value is $180,000. What is the mill rate?

A18 mills
B22 mills✓ Correct
C24 mills
D16 mills

Explanation

Mill rate = Annual Tax ÷ Assessed Value × 1,000 = $3,960 ÷ $180,000 × 1,000 = 0.022 × 1,000 = 22 mills.

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