Real Estate Math

A Wisconsin property is purchased for $160,000 and depreciates at $3,000/year for tax purposes. After 5 years, what is the tax basis?

A$130,000

B$135,000

C$143,000

D$145,000✓ Correct

Explanation

Tax basis = Purchase price - Accumulated depreciation = $160,000 - (5 × $3,000) = $160,000 - $15,000 = $145,000.

Related Wisconsin Real Estate Math Questions

A Wisconsin apartment building has 8 units renting at $900/month each. Vacancy is 8%. Annual operating expenses are $28,000. What is the NOI?
A Wisconsin buyer's offer is $355,000 with $10,000 earnest money. The seller accepts. If the buyer defaults, the seller retains the $10,000 per the liquidated damages clause. What percentage of the sale price does the forfeited earnest money represent?
A Wisconsin salesperson earned $18,000 in commissions. The broker kept 40% and the salesperson kept 60%. What was the total commission paid by the client?
A Wisconsin home appraised at $310,000. The comparable sold for $325,000 but has a 2-car garage worth $8,000 that the subject lacks. After adjustment, the comparable indicates a value of:
A Wisconsin broker receives a total commission of $22,500. The listing agent receives 35%, the listing broker retains 15%, and the buyer's agent's broker receives the remaining 50%. The buyer's agent earns 55% of their broker's share. How much does the buyer's agent earn?
A Wisconsin home originally purchased for $200,000 is assessed at 80% of market value. The mill rate is 25 mills. What is the annual property tax?
A Wisconsin property owner paid $245,000 for their home 8 years ago. The home is now worth $330,000. What is the total percentage appreciation over 8 years?
A Wisconsin property sold for $550,000 with a 5% commission. The listing broker and buyer's broker split it 50/50. Each agent within the listing office earns 65% of the office share. How much does the listing agent earn?

Practice More Wisconsin Real Estate Questions

1,500+ questions covering all exam topics. Start free — no signup required.

Take the Free Wisconsin Quiz →