Question

A government annually allocates $5 billion of its total tax revenue to weather related disaster relief, $21 billion to healthcare and $11 billion to education. If the government's quarterly tax revenue is $33 billion, what percentage of its budget is allocated annually to healthcare?

Answer 1

Answer:

15.90%

Explanation:

TO calculate the percentage of its budget is allocated annually to healthcare we need to calculate total tax revenue in a year by multiplying the quarterly tax revenue by 4. and then divide the health care allocation percentage by dividing the amount of health care by total tax revenue in a year.

Quarterly tax revenue = $33 billion

Number of quarters in a year = 4

Yearly tax revenue = $33 billion x 4 = $132 billion

Annual allocation to healthcare = $21 billion

Annual allocation to healthcare = ($21 billion/$132 billion) x 100

Annual allocation to healthcare = 15.90%