To calculate the semi-annual taxes on the property, follow these steps:
1. Determine the assessed value of the property:
The assessed value is found by multiplying the market value of the property by the assessment rate.
[tex]\[
\text{Assessed Value} = \text{Market Value} \times \text{Assessment Rate}
\][/tex]
Given:
[tex]\[
\text{Market Value} = \$150,000 \quad \text{and} \quad \text{Assessment Rate} = 35\% = 0.35
\][/tex]
[tex]\[
\text{Assessed Value} = \$150,000 \times 0.35 = \$52,500
\][/tex]
2. Calculate the annual property tax:
The annual property tax is calculated by determining the amount taxed per [tex]$1,000 of assessed value.
\[
\text{Annual Tax} = \left(\frac{\text{Assessed Value}}{1,000}\right) \times \text{Tax Rate per \$[/tex]1,000}
\]
Given:
[tex]\[
\text{Assessed Value} = \$52,500 \quad \text{and} \quad \text{Tax Rate per \$1,000} = \$45
\][/tex]
[tex]\[
\text{Annual Tax} = \left(\frac{52,500}{1,000}\right) \times 45 = 52.5 \times 45 = \$2,362.50
\][/tex]
3. Calculate the semi-annual tax:
Since taxes can be paid semi-annually, divide the annual tax by 2.
[tex]\[
\text{Semi-Annual Tax} = \frac{\text{Annual Tax}}{2}
\][/tex]
Given:
[tex]\[
\text{Annual Tax} = \$2,362.50
\][/tex]
[tex]\[
\text{Semi-Annual Tax} = \frac{2,362.50}{2} = \$1,181.25
\][/tex]
4. Round to the nearest dollar:
[tex]\[
\$1,181.25 \approx \$1,181
\][/tex]
Therefore, the semi-annual tax, rounded to the nearest dollar, is \[tex]$1,181.
The correct answer is:
A. \$[/tex]1,181
