Question

The taxes on a house assessed at $71,000 are $1775 a year. If the assessment is raised to $114,000 and the tax rate did not change, how much would thetaxes be now?

Answer 1

Solution:

Given:

$\begin{gathered} \text{House assessed at \ 71,000} \\ \text{Tax paid in a year = \ 1775} \end{gathered}$

The tax rate paid for the year is;

$\begin{gathered} r=\frac{1775}{71000}\times100 \\ r=2.5\text{ \%} \end{gathered}$

If the assessment is now raised to $114,000 and the tax rate did not change, then the tax paid on the house will be;

$\begin{gathered} \text{Tax}=2.5\text{ \% of \ 114,000} \\ \text{Tax}=\frac{2.5}{100}\times114000 \\ \text{Tax}=\text{ \ 2,850} \end{gathered}$

Therefore, the tax paid on the house with an assessment of $114,000 is $2,850