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Alja [10]
3 years ago
9

A country is considering two income tax rates. Geoffrey is comparing what his tax bill would be under each plan. Under plan A, h

e pays 5% on the first $10,000. The next $85,000 is taxed at a rate of 10%. Any money earned above $95,000 is taxed at 15%. He made $98,000 last year.
Mathematics
2 answers:
Katyanochek1 [597]3 years ago
7 0

Answer:

The total tax rate for each plan is computed below:

Plan A= [5%(10000)]+[10%(85000)]+[(15%(3000)]

Plan A= $9450

For Plan B, tax is computed at 10% across all earnings

Plan B= 10%x(98000)

Plan B= $9800

Difference = Plan B-Plan A=($9800-$9450)

                   = $350

From the computed tax rate in each plan. Plan B will pay $350 more than Plan A.

Step-by-step explanation: Just took the quiz on Edge, and paid for the verified answer on here

worty [1.4K]3 years ago
5 0
98000*0.15 is how you would find out how much he has to pay for tax, which is 14700. since you didn't post plan b, this is all i can do.
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