The assessed annual value of a house within the administrative domain of a certain urban council is Rs. 60 000.The quarterly rate payable on this property is Rs. 2400. Calculate the rate percentage, charged by the urbancouncil.
Question
The assessed annual value of a house within the administrative domain of a certain urban council is Rs. 60 000.The quarterly rate payable on this property is Rs. 2400. Calculate the rate percentage, charged by the urbancouncil.
Solution
To calculate the rate percentage charged by the urban council, follow these steps:
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First, understand that the quarterly rate is Rs. 2400. This means the annual rate would be 4 times this amount, as there are 4 quarters in a year. So, the annual rate is Rs. 2400 * 4 = Rs. 9600.
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The rate percentage can be calculated by dividing the annual rate by the assessed annual value of the house, and then multiplying by 100 to get the percentage.
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So, the rate percentage is (Rs. 9600 / Rs. 60000) * 100 = 16%.
Therefore, the rate percentage charged by the urban council is 16%.
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