Question

Income tax in a certain state is calculated as follows on the first 1000 at 2%,3% on next 2000,4% on the next 3000 and 5% there after.Find the tax to be paid by an individual who earns an income 2500 per mont, a.his income tax. b.his percentage tax?​

Answer 1

Answer:

This person must pay an income tax of $ 65, which represents 2.6% of his monthly income.

Explanation:

Given that income tax in a certain state is calculated as follows: on the first $ 1000 at 2%, 3% on next 2000, 4% on the next 3000 and 5% there after, to find the tax to be paid by an individual who earns an income of $ 2500 per month, and his percentage tax, the following calculations must be performed:

2500 - 1000 = 1500

1000 x 0.02 = 20

1500 x 0.03 = 45

20 + 45 = 65

2500 = 100

65 = X

65 x 100/2500 = X

2.6 = X

Thus, per month, this person must pay an income tax of $ 65, which represents 2.6% of his monthly income.