Question

The murphys’ gross annual family income is $120,500. mr. murphy referred to the graph shown below and calculated that his family will spend $28,920 on taxes this year. what is wrong with mr. murphy’s calculation? a circle graph titled murphy's annual expenses. federal taxes, 24 percent; state/local taxes, 10 percent; housing and household, 27 percent; food, 7 percent; medical care, 5 percent; transportation, 9 percent; recreation, 4 percent; clothing, 5 percent; other, 9 percent. a. he has calculated only federal taxes. b. he has calculated only state taxes. c. he does not need to include federal taxes. d. he does not need to include state taxes.

Answer 1

Mr. Murphy's calculation of the taxes they are to pay this year is wrong because He has calculated only federal taxes.

What are state taxes?

State income tax is a direct tax levied by a state on income earned in or from the state.

There are several taxes that an employed person must pay including:

• Federal income taxes

• Federal social security taxes

• State taxes

Mr. Murphy only calculated the federal taxes and did not include the state ones which are usually higher than the federal tax. Once he includes the state tax, his calculation will be correct.

In conclusion, state taxes need to be paid as well.

To know more about state taxes at;

brainly.com/question/1775528.

Answer 2

Answer:

a. he has calculated only federal taxes

Step-by-step explanation: