Real Estate Math

A Vermont property owner's annual property tax bill is $4,800. The assessment ratio is 90%, and the actual fair market value is $300,000. What is the tax rate per $1,000 of assessed value?

A$16.00
B$17.78✓ Correct
C$18.50
D$20.00

Explanation

Assessed value = $300,000 x 90% = $270,000. Tax Rate = ($4,800 / $270,000) x $1,000 = $17.

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