Solve the Problem. -A Taxpayer's Property Has a Fair Market Value of $85,000

question 75

Multiple Choice

Solve the problem.
-A taxpayer's property has a fair market value of $85,000. The rate of assessment in the area is 35%. The tax rate is $5.35 per $100 of assessed valuation. Find the property tax.

• A)$1,591.63
• B)$4,547.50
• C)$454,750.00
• D)$159,162.50

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Definitions:

Par Value

A nominal or face value assigned to a share of stock or a bond by the issuing company, often unrelated to its market value.

Common Stock

A type of security that represents ownership in a corporation, giving holders voting rights and a share in the company's profits through dividends.

Partnership

A Partnership is a legal form of business operation between two or more individuals who share management and profits.

Capital Accounts

Accounts on a company's balance sheet that represent the cumulative amount of equity invested by shareholders and retained earnings.