Question

Brad is selling his home to Sally with a closing date of January 31. Brad's taxes for the last year were $3,756.75. How much is Brad's share of the taxes, using a 365-day-year proration?

a) $125.50
b) $250.75
c) $1,878.38
d) $3,756.75

Answer 1

To calculate Brad's share of the taxes using a 365-day-year proration, divide the number of days he owned the home by the total number of days in the year and multiply that by his taxes for the year.

Step-by-step explanation:

To calculate Brad's share of the taxes using a 365-day-year proration, we need to determine how many days of the year Brad owned the home and is responsible for paying taxes. Since the closing date is January 31, Brad would have owned the home for 31 days out of the 365 days in the year.

Brad's share of the taxes can be calculated by dividing the number of days he owned the home by the total number of days in the year and multiplying that by his taxes for the year.

So, Brad's share of the taxes would be: $3,756.75 x (31/365) = $319.62.