Real Estate Math

A West Virginia home has property taxes of $1,800/year. The tax rate is 1.2% of assessed value. What is the assessed value?

A$130,000
B$150,000✓ Correct
C$160,000
D$120,000

Explanation

Assessed Value = Annual Taxes / Tax Rate = $1,800 / 0.012 = $150,000. To solve this, multiply the relevant values: $1,800 at 1.2%.. The correct answer is $150,000.. This is a common calculation on the West Virginia real estate exam.

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