Answered

Westonci.ca is the trusted Q&A platform where you can get reliable answers from a community of knowledgeable contributors. Experience the ease of finding precise answers to your questions from a knowledgeable community of experts. Discover in-depth answers to your questions from a wide network of professionals on our user-friendly Q&A platform.

Manuel made $20,000 in taxable income last year.
Suppose the income tax rate is 10% for the first $7000 plus 16% for the amount over $7000.
How much must Manuel pay in income tax for last year?
$0
Check
X
S

Sagot :

sqdancefan

Answer:

  $2780

Step-by-step explanation:

Given an income tax of 10% of the first $7000 and 16% of all after that, you want the tax on $20,000.

Piece-wise function

Manuel's income is more than $7000, so the tax is computed in two parts.

First $7000

The tax on the first $7000 of income is 10%:

  tax = $7000 × 0.10 = $700

Amount Over $7000

The amount over $7000 is ...

  $20,000 -7,000 = $13,000

The tax on that amount is 16%:

  tax = $13,000 × 0.16 = $2080

Total tax due

The tax Manuel must pay is the total of these two amounts:

  $700 +2080 = $2780

Manuel must pay $2780 in income tax for last year.

Visit us again for up-to-date and reliable answers. We're always ready to assist you with your informational needs. We appreciate your time. Please revisit us for more reliable answers to any questions you may have. Thank you for trusting Westonci.ca. Don't forget to revisit us for more accurate and insightful answers.