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Number Theory/Mills & Property Taxes

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Expert: Vijilant - 2/1/2010


Question
Hello:

I saw this calculation and I do not know how the mills unit cancel: Tax = Assessed value X (Mills per $1)/$1000

For example, if the assessed value is $200,000 and the tax rate is 20 mills, how do the mills cancel from the calculation? For example, Tax = $200,000 X (20 mills per $1)/$1000

The answer is in dollars not mills.

I know that mills are changed to dollars. Can you demonstrate how this conversion occurs?

I saw this formula or calculation at the following site. Here is the URL:

http://www.college-cram.com/study/businessmath/presentations/877

I thank you for your follow-up reply.

Answer
Hello Kenneth
I think I may have answered this question before.
20 mills per dollar = 20mill/dollar.  Now 1 dollar = 1000 mills, so mill/dollar = 1/1000
So the rate is 20*1/1000.  So for $200,000 the tax is $200,000*20/1000.

Best wishes

vijilant

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Vijilant

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Most questions on number theory, divisibility, primes, Euclidean algorithm, Fermat`s theorem, Wilson`s theorem, factorisation, euclidean algorithm, diophantine equations, Chinese remainder theorem, group theory, congruences, continued fractions.

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Teacher of math for 50 years

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ATL

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Journal of mathematics and its applications

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BSc Hons Liverpool

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State Scholarship 1955

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I taught John Birt, former Director of the BBC in 1961. His homework book was the most perfect I have ever marked. And also the most neat. I could tell he was destined for great things. One of my classmates was the poet Roger McGough, and I have a mention in his autobiography.

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