Calculate the assessed value of the land.

Question

Inch Company was expanding its production facilities and purchased large quantities of land in Hamilton for $7,000,000. The municipality assessed the value of the industrial land at 22% less than its purchase price.

Answer 1

If the assessment value is less by 22% , then the value is 100%-22%= 78%

The assessed value of Hamilton's purchased Land is 7,000,000X.78= 5,460,000

Answer 2

Hi Christel,

 

There's no question above, but if the question is, "What is the assessed value of the land?", then you need to subtract 22% of $7,000,000 from $7,000,000.

 

Dan