With Proposition 13, if you bought your house 11 years ago : GMAT Critical Reasoning (CR)
Find all School-related info fast with the new School-Specific MBA Forum

 It is currently 02 Dec 2016, 10:50

### GMAT Club Daily Prep

#### Thank you for using the timer - this advanced tool can estimate your performance and suggest more practice questions. We have subscribed you to Daily Prep Questions via email.

Customized
for You

we will pick new questions that match your level based on your Timer History

Track

every week, we’ll send you an estimated GMAT score based on your performance

Practice
Pays

we will pick new questions that match your level based on your Timer History

# Events & Promotions

###### Events & Promotions in June
Open Detailed Calendar

# With Proposition 13, if you bought your house 11 years ago

Author Message
TAGS:

### Hide Tags

SVP
Joined: 14 Dec 2004
Posts: 1702
Followers: 3

Kudos [?]: 133 [0], given: 0

With Proposition 13, if you bought your house 11 years ago [#permalink]

### Show Tags

28 Nov 2005, 06:44
00:00

Difficulty:

(N/A)

Question Stats:

0% (00:00) correct 0% (00:00) wrong based on 0 sessions

### HideShow timer Statistics

With Proposition 13, if you bought your house 11 years ago for $75,000, your property tax would be approximately$914 a year (1 percent of
$75,000 increased by 2 percent each year for 11 years); and if your neighbor bought an identical house next door to you for$200,000 this
year, his tax would be $2,000 (1 percent of$200,000). Without
Proposition 13, both you and your neighbor would pay $6,000 a year in property taxes (3 percent of$200,000).

Which of the following is the conclusion for which the author most likely is
arguing in the passage above?

(A) Proposition 13 is unconstitutional because it imposes an unequal tax on properties of equal value.
(B) If Proposition 13 is repealed, every homeowner is likely to experience a substantial increase in property taxes.
(C) By preventing inflation from driving up property values, Proposition 13 has saved homeowners thousands of dollars in property taxes.
(D) If Proposition 13 is not repealed, identical properties will continue to be taxed at different rates.
(E) Proposition 13 has benefited some homeowners more than others

If you have any questions
New!
Manager
Joined: 18 Oct 2005
Posts: 79
Location: Hong Kong
Followers: 1

Kudos [?]: 2 [0], given: 0

### Show Tags

28 Nov 2005, 07:05
this is a tough one..
A and C are out of scope.

I choose B.
D and E are evidence only, they dont match the conclusion.

what's the OA? PM me if you prefer to wait for more answers...
SVP
Joined: 28 May 2005
Posts: 1723
Location: Dhaka
Followers: 7

Kudos [?]: 320 [0], given: 0

### Show Tags

28 Nov 2005, 11:12
I think it is B.
_________________

hey ya......

Manager
Joined: 05 Nov 2005
Posts: 232
Location: Germany
Followers: 2

Kudos [?]: 64 [0], given: 0

### Show Tags

28 Nov 2005, 12:39
I also vote for B.

E is very general and D is wrong. I think the catch in this problem is that many might initially think that 1% + 2% = 3 %. However it is not 2 percentage points but rather an increase of 2 %.

I am pretty sure it is B.
SVP
Joined: 14 Dec 2004
Posts: 1702
Followers: 3

Kudos [?]: 133 [0], given: 0

### Show Tags

28 Nov 2005, 20:58
The OA is 'B'
Similar topics Replies Last post
Similar
Topics:
With Proposition 13, if you bought your house 11 years ago 15 07 Dec 2009, 01:03
With Proposition 13, if you bought your house 11 years ago 11 03 Nov 2008, 21:36
With Proposition 13, if you bought your house 11 years ago 3 21 Jun 2008, 10:30
With Proposition 13, if you bought your house 11 years ago 1 08 Jan 2008, 10:16
4 With Proposition 13, if you bought your house 11 years ago 4 14 Mar 2007, 21:10
Display posts from previous: Sort by