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The total market value of real estate in Altonville has

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The total market value of real estate in Altonville has [#permalink] New post 26 Aug 2007, 17:59
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The total market value of real estate in Altonville has steadily declined over the past four years. This decline has meant that the overall figure on which the city’s property tax is based—the assessed value of that real estate—has also declined. The percentage of assessed value that was paid as property taxes to the city, however, did not change from year to year during this period.

The information above most strongly supports which of the following?

A. The percentage of Altonville’s yearly revenue that comes from money collected in property taxes did not change over the past four years.
B. The percentage of Altonville’s yearly revenue that comes from money collected in property taxes has declined steadily over the past four years.
C. The amount of revenue that Altonville collected from property taxes was lower last year than it was four years ago.
D. During the past four years, Altonville officials increased tax rates on other sources of revenue such as retail sales and business profits.
E. Altonville will soon require property owners to pay a higher percentage of the assessed value of their property as property tax.
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 [#permalink] New post 26 Aug 2007, 18:24
looks like C...
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 [#permalink] New post 26 Aug 2007, 20:44
Between B and C.

For B, we dont know abt the other sources for income for the district. So I'll have to go for C.
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Re: CR [#permalink] New post 26 Aug 2007, 21:19
bkk145 wrote:
The total market value of real estate in Altonville has steadily declined over the past four years. This decline has meant that the overall figure on which the city’s property tax is based—the assessed value of that real estate—has also declined. The percentage of assessed value that was paid as property taxes to the city, however, did not change from year to year during this period.

The information above most strongly supports which of the following?

A. The percentage of Altonville’s yearly revenue that comes from money collected in property taxes did not change over the past four years.
B. The percentage of Altonville’s yearly revenue that comes from money collected in property taxes has declined steadily over the past four years.
C. The amount of revenue that Altonville collected from property taxes was lower last year than it was four years ago.
D. During the past four years, Altonville officials increased tax rates on other sources of revenue such as retail sales and business profits.
E. Altonville will soon require property owners to pay a higher percentage of the assessed value of their property as property tax.


C. its clear and straight C.

since the value is decreased year by year since the last four years and the tax rate is constant, then the tax in succeding year is lower than the same in previous year.
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 [#permalink] New post 27 Aug 2007, 08:56
I'll go with (C).

(B) says that The percentage of Altonville’s yearly revenue has declined.

how can we say this???

lets the the there was a decline in other sources also.......so the percentage may remain same

whereas

(C) says the The amount of revenue that Altonville collected from property taxes has reduced.

This decline has meant that the overall figure on which the city’s property tax is based—the assessed value of that real estate—has also declined

So I go with (C)
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Re: CR [#permalink] New post 27 Aug 2007, 10:04
bkk145 wrote:
The total market value of real estate in Altonville has steadily declined over the past four years. This decline has meant that the overall figure on which the city’s property tax is based—the assessed value of that real estate—has also declined. The percentage of assessed value that was paid as property taxes to the city, however, did not change from year to year during this period.

The information above most strongly supports which of the following?

A. The percentage of Altonville’s yearly revenue that comes from money collected in property taxes did not change over the past four years.
This does not explain the reason why the property tax figure has declined

B. The percentage of Altonville’s yearly revenue that comes from money collected in property taxes has declined steadily over the past four years.
Its clearly stated that the percentage did not change

C. The amount of revenue that Altonville collected from property taxes was lower last year than it was four years ago.
This clearly indicates that though the % is not changed the figure has declined

D. During the past four years, Altonville officials increased tax rates on other sources of revenue such as retail sales and business profits.
Out of scope
E. Altonville will soon require property owners to pay a higher percentage of the assessed value of their property as property tax.
Out of scope

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Re: CR [#permalink] New post 27 Aug 2007, 10:12
The %age of assessed value has not changed, its the value itself, so the actual amount came down.
C.
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 [#permalink] New post 27 Aug 2007, 13:03
OA=C
Great job.
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Re: CR [#permalink] New post 26 Jul 2010, 08:16
Could anybody explain why A is wrong?
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Re: CR [#permalink] New post 27 Jul 2010, 04:43
Not A

A. The percentage of Altonville’s yearly revenue that comes from money collected in property taxes did not change over the past four years.


because

The % could have decreased - if other souces increase in revenue. or revenue from property tax decrease( as in dis case), with other souces remaining constant.

Increase : others souces decrease ( nore than property tax)

Remain same. - Other decrease in similar propotion as property tax.
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Re: CR [#permalink] New post 27 Jul 2010, 06:49
noboru wrote:
Could anybody explain why A is wrong?
thanks


I think I know where you are coming from. I believe A is an example of shell game. Please note that in the passage it is stated that PERCENTAGE OF ASSESSED VALUE PAID AS PROPERTY TAX remained constant over the four years period. This does NOT mean that PERCENTAGE OF PROPERTY TAXES ON OVERALL REVENUE COLLECTED also remained constant. But it's easy to fall in this trap if we don't read carefully.
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Re: CR [#permalink] New post 27 Jul 2010, 10:37
the catch is "The percentage of assessed value that was paid as property taxes"
C it is.
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Re: The total market value of real estate in Altonville has [#permalink] New post 05 Feb 2014, 03:55
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A. The percentage of Altonville’s yearly revenue that comes from money collected in property taxes did not change over the past four years. No new information allowed. The percentage of revenue that comes from property taxes is not mentioned in the stimulus nor something that can be inferred.

B. The percentage of Altonville’s yearly revenue that comes from money collected in property taxes has declined steadily over the past four years. No new information allowed; Could be true. The percentage of revenue from property taxes could have decline or could not have.

C. The amount of revenue that Altonville collected from property taxes was lower last year than it was four years ago. OK - If property values decreased + taxes assessed on property hasn't changed, thus the amount of revenue is lower.

D. During the past four years, Altonville officials increased tax rates on other sources of revenue such as retail sales and business profits. New information; could be true. Shouldn't include new information in the stimulus. For Altonville to pay its bill, other of sources of income were likely needed.

E. Altonville will soon require property owners to pay a higher percentage of the assessed value of their property as property tax. Could be true. Atlonville must find other sources of income; it could be from property taxes or could be from something else.
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Re: The total market value of real estate in Altonville has [#permalink] New post 05 Feb 2014, 08:53
CLEAR "C".......
IF ACTUAL NUMBERS DECLINE........AND THE % TAX REMAINS SAME FOR BOTH THE NUMBERS... ACTUAL TAX COLLECTED WILL REDUCE IN THE NEW SCENARIO.....
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Re: The total market value of real estate in Altonville has [#permalink] New post 13 Feb 2014, 05:28
To choose option C as the best option one has to assume that the total number of properties in Alstonville remained constant in the years referred in the passage.

Is that assumption safe? The passage does not provide any hints on the number of properties. If the number of properties increased drastically there are good chances that even with a decline in the assessed value the total amount of tax collected can increase.
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Re: The total market value of real estate in Altonville has [#permalink] New post 13 Sep 2014, 08:22
The question is an official Question and is part of GMAT Prep Mock 3.

OA is C)
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Re: The total market value of real estate in Altonville has   [#permalink] 13 Sep 2014, 08:22
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