Question

Ray owns property that had a value last year of 164000. Ray paid 3280 in property tax to his city last year. Find the property tax rate last year. The city increases its property tax rate by 20% of last year rate. Find this year property tax rate. Ray property value decreased after an assessment this year to 135000. Find Ray property tax this year

Answer 1

property tax rate last year = 2%
property tax rate this year = 2.4%
property tax this year = 3,240

Last year:
3280 / 164000 = 0.02 * 100 % = 2% last year's tax rate

This year:

last year's tax rate increase by 20%

2% * 20% = 0.02 * 0.2 = 0.004 - the 20% increase
0.004 + 0.02 = 0.024 * 100% = 2.4% tax rate this year.

135000 * 2.4% = 3,240 property tax this year.