What does a mill rate of .01168 indicate when applied to a property value?

A mill rate is a way to express property tax rates. It represents the amount of tax payable per $1,000 of assessed value of the property. In this case, a mill rate of .01168 means that for every $1,000 of assessed property value, the tax would amount to $11.68.

To apply this to a property value of $100,000, you first determine how many thousands are in that value. For a property valued at $100,000, there are 100 units of $1,000. Therefore, you would calculate the tax as follows:

100 (thousands) x $11.68 (tax per thousand) = $1,168.

This means that, for a $100,000 property, the total tax would indeed be $1,168.

This calculation supports the notion that the correct answer reflects the mill rate's function in determining property tax based on assessed value. The other options would lead to misunderstandings about how the mill rate applies to property values, such as misinterpreting the rate as a percentage without the proper context of the mill rate's application.