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After paying a 10 percent tax on all income over $3,000, a
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02 May 2012, 21:41
Question Stats:
64% (01:49) correct 36% (01:53) wrong based on 305 sessions
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After paying a 10 percent tax on all income over $3,000, a person had a net income of $12,000. What was the income before taxes? A. $13,300 B. $13,000 C. $12,900 D. $10,000 E. $9,000 Project PS Butler : Question #64 Subscribe to get Daily Email  Click Here  Subscribe via RSS  RSS
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Re: After paying a 10 percent tax on all income over $3,000, a
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03 May 2012, 08:35
giri903 wrote: After paying a 10 percent tax on all income over $3,000, a person had a net income of $12,000. What was the income before taxes?
A. $13,300 B. $13,000 C. $12,900 D. $10,000 E. $9,000
please help me the logic behind solving this...i am applying the below one
12000=3000+(x3000)10% where x is actual income without taxes...
but i dont find any ans over here.... simple way to solve the problem as for first 3000$ there is no tax, so the amount given after deducting 10% tax is 12000$(9000+3000) that means it also incl 3000$ so after deducting that 3000 from 1200 leaves 9000 which is 90% of the taxable income so the equation looks like this for 90% 9000 for 100 % 10000 therefore the total taxable income is 10000$ and income before deducting tax is 10000$+3000$=13000$ Answer option is b Hope it short and clear if satisfied give me +1 kudos.




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Re: After paying a 10 percent tax on all income over $3,000, a
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02 May 2012, 21:47
Let x be the income over 3000 Then (xx/10) + 3000 = 12000 => x = 10000 Therefore income before taxes = 10000 + 3000 = 13000 Option (B)
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Re: After paying a 10 percent tax on all income over $3,000, a
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03 May 2012, 00:43
giri903 wrote: After paying a 10 percent tax on all income over $3,000, a person had a net income of $12,000. What was the income before taxes?
A. $13,300 B. $13,000 C. $12,900 D. $10,000 E. $9,000
please help me the logic behind solving this...i am applying the below one
12000=3000+(x3000)10% where x is actual income without taxes...
but i dont find any ans over here.... Say x is the income before taxes (as you denoted), then equation should be: 3,000+(x3,000)*0.9=12,000 > x=13,000. Answer: B. Hope it's clear.
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Re: After paying a 10 percent tax on all income over $3,000, a
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03 May 2012, 01:07
Thanks a ton...i understood what mistake i have done...



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Re: After paying a 10 percent tax on all income over $3,000, a
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28 Feb 2013, 23:29
3000 + x  10x/100 = 12000 Solving this, we get ans = B (10000)
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Re: After paying a 10 percent tax on all income over $3,000, a
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24 Sep 2014, 22:51
giri903 wrote: After paying a 10 percent tax on all income over $3,000, a person had a net income of $12,000. What was the income before taxes?
A. $13,300 B. $13,000 C. $12,900 D. $10,000 E. $9,000
please help me the logic behind solving this...i am applying the below one
12000=3000+(x3000)10% where x is actual income without taxes...
but i dont find any ans over here.... Using options works wonderfully well too because of the good round numbers. You know that net income was 12000 so gross must be more. Hence (D) and (E) are definitely out. Also, first 3000 is nontaxable so say the gross income is 13,000 (easiest of the options). Taxable income becomes 10000, 10% of which is 1000 (the amount of tax). This gives us net income of 12000, as expected. So answer is 13,000. Answer (B)
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Re: After paying a 10 percent tax on all income over $3,000, a
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18 Aug 2016, 04:30
awesome Question Here is my approach => Let the original income over 3k be x hence total income after deduction => 3k+x[110/100] =12k hence x= 10k so the total orginal income => 3k+10k = 13k SMASH that B
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Re: After paying a 10 percent tax on all income over $3,000, a
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18 Aug 2016, 06:00
Let x be the income above 3,000 usd. 0,9x=12,0003,000 0,9x=9,000 x=10,000 Add the additional 3,000 and we get 13,000. Answer choice: B.
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Re: After paying a 10 percent tax on all income over $3,000, a
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22 Nov 2017, 12:21
giri903 wrote: After paying a 10 percent tax on all income over $3,000, a person had a net income of $12,000. What was the income before taxes?
A. $13,300 B. $13,000 C. $12,900 D. $10,000 E. $9,000 We can let the initial income = n and thus: 12,000 = n  0.1(n  3,000) 12,000 = n  0.1n + 300 11,700 = 0.9n 117,000 = 9n n = 117,000/9 = 13,000 Answer: B
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Re: After paying a 10 percent tax on all income over $3,000, a
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04 Jan 2018, 15:44
Hi All, We're told that AFTER paying a 10% tax on all income OVER $3,000, a person had a net income of $12,000. We're asked for the income BEFORE taxes. This question can be solved by TESTing THE ANSWERS. Since the income after taxes was $12,000, the income BEFORE taxes MUST be greater than $12,000. Among the first 3 answer choices, let's TEST Answer B first... Answer B: $13,000 IF.... total income was $13,000 10% tax was paid on ($13,000$3,000) = (.1)($10,000) = $1,000 Thus, income AFTER tax was $13,000  $1,000 = $12,000 This is an exact match for what we were told, so this MUST be the answer! Final Answer: GMAT assassins aren't born, they're made, Rich
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Re: After paying a 10 percent tax on all income over $3,000, a
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19 Feb 2018, 23:58
**Hi, this is my first ever post~**
Let the total income = X (before tax)
X  3000 = the amount being taxed (x3000) x 10% = tax paid.
X  tax paid = 12,000
Therefore, the formula is as below:
X  [ (x3000) *10%] = 12,000
Here, you can solve X which will equal to 13,000



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Re: After paying a 10 percent tax on all income over $3,000, a
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02 Mar 2019, 14:37
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