A town has an assessed residential property value of $250000 000. The town council must meet the following expenditures:
Education ………………………….. $3 050 000
General purposes ……….………….. $2 000 000
Recreation ………………..………….. $250 000
Public works ……………...………….. $700 000
Police and fire protection ……...…….. $850 000
(a) Suppose 80% of the expenditures are charged against residential real estate. Calculate the total property taxes that must be raised.
(b) What is the tax rate per $1000?
(c) What is the property tax on a property assessed at $175 000?