Question

Mary pays income tax according to the graduated schedule shown below. A 3-column table with 6 rows. Column 1 is labeled If taxable income is over with entries 0 dollars, 7,825 dollars, 31,850 dollars, 77,100 dollars, 160,850 dollars, 349,700 dollars. Column 2 is labeled but not over with entries 7,825 dollars, 31,850 dollars, 77,100 dollars, 160,850 dollars, 349,700 dollars, no limit. Column 3 is labeled the tax is with entries 10 percent of the amount of 0 dollars, 782 dollars and 50 cents plus 15 percent of the amount of 7,825 dollars, 4,386 dollars and 25 cents plus 25 percent of the amount of 31,850 dollars, 15,698 dollars and 75 cents plus 28 percent of the amount over 77,100 dollars, 39,148 dollars and 75 cents plus 33 percent of the amount of 160,850 dollars, 101,469 dollars and 25 cents plus 35 percent of the amount over 349,700 dollars. If Mary’s taxable income is $68,562, how much income tax does she owe, rounded to the nearest dollar?

Answer 1

Answer:

$13564

Step-by-step explanation:

$\left|\begin{array}{c|c|c} If taxable&& \\ income&&\\ is over& but not over& the tax is\\---&---&---\\ 0 &7,825 & 10\% of the amount over 0\\7,825 &31,850 & 782.50 plus 15\% of the amount over 7,825 \end{array}\right|$$\left|\begin{array}{c|c|c}31,850 &77,100 & 4,386.25 plus 25\% of the amount over 31,850 \\77,100 &160,850 & 15,698.75 plus 28\% of the amount over 77,100\end{array}\right|$

$\left|\begin{array}{c|c|c}160,850 &349,700 & 39,148.75 plus 33\% of the amount over 160,850 \\349,700 & no limit& 101,469.25 plus 35\% of the amount over 349,700\end{array}\right|$

Mary’s taxable income= $68,562

From the table, If taxable income is over $31,850 but not over $77,100

The tax = $4386.25 + 25% of the amount over 31,850

Amount over $31,850=$68,562-$31,850

=$36,712

Therefore:

Mary's tax = $4386.25 + (25% of $36,712)

=$4386.25 +9,178

=$13564.25

=$13564 (to the nearest dollar)

Answer 2

Answer:

This question is pretty hard but A is your answer.