Question

On January 15 a seller paid $960. In annual property for the current calendar year. A buyer is purchasing the home with the closing set for March 1. What will be the sellers credit for the property taxes already paid if the buyer pays for the day of closing? Use a 360 day year & a 30 day month.

Answer 1

The answer is "800"

Explanation:

The total tax = $ 960

Total number of days =300

day =300

Seller credit =?

Formula:

`\bold{\text{Seller credit} = \frac{\text{total tax} * \text{number of days}}{\text{day}}}`

`= (960 * 300)/(360)\\\\= (32 * 300)/(12)\\\\= 8 * 100\\\\=800`