Mr. and Mrs. Evans want to buy a house. One house they are ...

[Mollykgkg]

Mr. and Mrs. Evans want to buy a house. One house they are considering is assessed for 116,000 and has a property tax rate of 41.2 mill per dollar. A second house is assessed for 125,000 and has a property tax rate of 3.50 per 100. What is the difference in the property tax amounts?

Question 2

A school district has placed a tax levy on the ballot requesting 6.7 mills because a previous 4.9 mill levy is due to expire. The assessment rate in the district is 60, and the total market value of property in the district is 768,000,000. How much additional funding will the new levy generate for the school district?

[wilsonbho]

Answer to Question 1

The taxes on the 2nd house are 404.20 less than the taxes on the 1st house;
The first house has taxes of 116,000  0.0412 = 4,779.20;
The second house has taxes of 125,000  100 = 1,250; 1,250  3.50 = 4,375.00;
4,779.20 - 4,375.00 = 404.20

Answer to Question 2

829,440;
Find the assessed value: 0.6(768,000,000 ) = 460,800,000
Convert the old levy and the new levy to dollars: 4.9  1,000 = 0.0049; 6.7  1,000 = 0.0067;
Multiply the assessed value by the tax rate in dollars:
460,800,000  0.0049 = 2,257,920; 460,800,000  0.0067 = 3,087,360;
Find the difference between the amounts for the additional funding amount:
3,087,360 - 2,257,920 = 829,440

[Mollykgkg]

YES! Correct, THANKS for helping me on my review

[bbburns21]

Excellent