Answered: Calculate the assessed value of the…

Business

Finance

Calculate the assessed value of the piece of property: Assessment rate Market value Assessed value 80% $210,000

SWFT Essntl Tax Individ/Bus Entities 2020

23rd Edition

ISBN:9780357391266

Author:Nellen

Publisher:Nellen

Chapter5: Business Deductions

Section: Chapter Questions

Problem 38P

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Concept explainers

Contingent Liabilities and Provisions

A contingent liability can be defined as a liability the occurrence of which is dependent upon the happening of an uncertain future event. It is generally recorded in the books only when the amount of liability can be reasonably estimated and the contingency is likely to occur shortly.

Question

Calculate the assessed value of the piece of property:

Assessment rate	Market value	Assessed value
80%	$210,000

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