Question

If disposable income is $20 trillion, taxes are $6 trillion, and transfers are $4 trillion, then income is $_____ trillion. Please choose the correct answer from the following choices.a) 14 b) 18 c) 22 d) 30

Answer 1

Answer:

c) $22 trillion.

Step-by-step explanation:

We have been given that disposable income is $20 trillion, taxes are $6 trillion, and transfers are $4 trillion. We are asked to find income in trillions.

$\text{Disposable income}=\text{Income}+\text{Transfers}-\text{Taxes}$

$\ 20=\text{Income}+\ 4-\ 6$, where each amount is in trillions.

$\ 20=\text{Income}-\ 2$

$\ 20+\ 2=\text{Income}-\ 2+\ 2$

$\ 22=\text{Income}$

Therefore, the income is $22 trillion.