Real Estate Math

A West Virginia property owner pays $480 per year in property taxes. The millage rate is 40 mills ($40 per $1,000). What is the assessed value?

A$10,000
B$12,000✓ Correct
C$16,000
D$8,000

Explanation

Assessed Value = Annual Tax / Millage Rate = $480 / (40/1,000) = $480 / 0.04 = $12,000. Using the values given ($480, $40), apply the appropriate formula.. The correct answer is $12,000.. This is a common calculation on the West Virginia real estate exam.

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