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Quintina decided to increase the deduction percentage of her federal income tax rate from 14% to 16%. Quintina's gross pay per month is [tex]$2,100. Her deductions before the change are listed in the table below.

| Deduction | Dollar Amount |
|--------------------|---------------|
| Federal Income Tax | $[/tex]294 |
| State Income Tax | [tex]$89 |
| Social Security | $[/tex]85 |
| Medicare | [tex]$35 |

What is her new monthly net pay? Round your answer to the nearest dollar.

A. $[/tex]1555
B. [tex]$1591
C. $[/tex]1595
D. $1639


Sagot :

Let's calculate Quintina's new monthly net pay step-by-step by re-evaluating her deductions with the increased federal income tax rate.

### Step-by-Step Solution:

1. Determine the New Federal Income Tax:
- Gross Pay: [tex]$2,100 - New Federal Income Tax Rate: $[/tex]16 \%[tex]$ - Calculation: $[/tex]\text{New Federal Income Tax} = \[tex]$2,100 \times 0.16 = \$[/tex]336[tex]$ 2. Sum the Other Deductions: The deductions excluding the Federal Income Tax are: - State Income Tax: $[/tex]\[tex]$ 89$[/tex]
- Social Security: [tex]$\$[/tex] 85[tex]$ - Medicare: $[/tex]\[tex]$ 35$[/tex]

Total of other deductions: [tex]$89 + 85 + 35 = \$[/tex]209[tex]$ 3. Calculate the Total New Deductions: - New Federal Income Tax: $[/tex]\[tex]$ 336$[/tex]
- Other Deductions: [tex]$\$[/tex] 209[tex]$ - Calculation: $[/tex]\text{Total New Deductions} = 336 + 209 = \[tex]$545$[/tex]

4. Compute the New Net Pay:
- Gross Pay: [tex]$\$[/tex] 2,100[tex]$ - Total New Deductions: $[/tex]\[tex]$ 545$[/tex]
- Calculation: [tex]$\text{New Net Pay} = 2100 - 545 = \$[/tex]1,555[tex]$ ### Final Answer: Quintina's new monthly net pay is rounded to the nearest dollar which gives us: \[ 1555 \quad \text{(Rounded to the nearest dollar)} \] Therefore, the correct answer is: $[/tex]\[tex]$ 1555$[/tex]

So, the correct choice from the given options is:
- [tex]$\$[/tex] 1555$
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