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# According to a tax rate formula for a certain year, the amount of tax

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Math Expert
Joined: 02 Sep 2009
Posts: 61283
According to a tax rate formula for a certain year, the amount of tax  [#permalink]

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12 Dec 2019, 02:34
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Difficulty:

25% (medium)

Question Stats:

92% (01:51) correct 8% (02:04) wrong based on 24 sessions

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According to a tax rate formula for a certain year, the amount of tax owed by an individual whose annual income was between \$31,850 and \$77,100 was equal to a base tax of \$4,386 plus 24 percent of the annual income that exceeded \$31,850. According to this formula, what was the amount of tax owed by an individual whose annual income that year was \$42,000?

A. 6800
B. 6444
C. 6822
D. 8662
E. 8861

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Joined: 04 Sep 2015
Posts: 675
Location: India
WE: Information Technology (Computer Software)
Re: According to a tax rate formula for a certain year, the amount of tax  [#permalink]

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12 Dec 2019, 04:53
IMO C

According to a tax rate formula for a certain year, the amount of tax owed by an individual whose annual income was between \$31,850 and \$77,100 was equal to a base tax of \$4,386 plus 24 percent of the annual income that exceeded \$31,850. According to this formula, what was the amount of tax owed by an individual whose annual income that year was \$42,000?

A. 6800
B. 6444
C. 6822
D. 8662
E. 8861

Sol:any amount greater than 31850=>(42000-31850)*24/100=2436

Base tax+variable tax=4386+2436=6822.
Re: According to a tax rate formula for a certain year, the amount of tax   [#permalink] 12 Dec 2019, 04:53
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