Question
Jane Miller has a house assessed at $45,000 (45 percent of its sale value). Her tax rate is $4.20 per $100 AV. Tom Gale has
Jane Miller has a house assessed at $45,000 (45 percent of its sale value). Her tax rate is $4.20 per $100 AV. Tom Gale has a house assessed at $55,000 (50 percent of its sale value). His tax rate is 35.25 mills. Who pays the greater tax? How much greater?. If both houses were taxed on full market (sale) value with a true tax rate of 23.3 mills, who would pay the greater tax?How much greater?
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Step: 1
To determine who pays the greater tax we need to calculate the tax liability for both Jane Miller an...
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Foundations of Financial Management
Authors: Stanley Block, Geoffrey Hirt, Bartley Danielsen, Doug Short, Michael Perretta
10th Canadian edition
1259261018, 1259261015, 978-1259024979
