If a deed indicates a purchase price of "$10 and other good and valuable consideration," what might the actual selling price be if the conveyance tax totals $192.50?

When a deed states a purchase price of "$10 and other good and valuable consideration," it generally suggests that the actual selling price is higher than the nominal amount stated. In real estate transactions, especially for the purpose of calculating conveyance taxes, the conveyance tax is typically based on the total selling price of the property.

In South Dakota, the conveyance tax is assessed at a specific rate for each $500 of value. To deduce the actual selling price from the conveyance tax of $192.50, we can set up the calculation:

1. First, determine the number of $500 increments that the conveyance tax represents. Since the conveyance tax is $192.50, we can find the equivalent selling price by multiplying by the appropriate factor.

2. The conveyance tax rate in South Dakota is $0.50 per $500 of the property’s selling price.

3. To find the selling price corresponding to the conveyance tax, we first need to calculate how many increments of $500 fit into the total conveyance tax. This can be calculated as follows:

• $192.50 divided by $0.50 yields 385. This means there are 385 increments of $500.

4. Now