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The annual property tax on a house is $1,800, calculated as 15/1000 of the assessed value. What is the assessed value of the house?
A$27,000
B$180,000
C$120,000
D$12,000
Answer & Solution
Correct answer: C. $120,000
1. Let v be the assessed value in dollars. The tax is 15/1000 of v.
2. Translate into an equation: (15/1000)v = 1,800.
3. Multiply both sides by the reciprocal 1000/15: v = 1,800 x 1000/15.
4. Multiply first: 1,800 x 1000 = 1,800,000 dollars.
5. Divide by 15: v = 120,000, so the assessed value is $120,000.
6. Check: 15/1000 of 120,000 dollars is 15 x 120 = 1,800 dollars, matching the tax bill.
7. $27,000 is the trap of multiplying 1,800 by 15/1000 instead of its reciprocal, and $12,000 drops a zero in the division.
_Source: OpenStax Elementary Algebra (CC BY 4.0), Ch 2 "Solving Linear Equations and Inequalities", section 2.2 Solve Equations using the Division and Multiplication Properties of Equality_
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