lionheart187 wrote:

Before being simplified, the instructions for computing income tax in Country R were to add 2 percent of ones's annual income to the average (arithmetic mean) of 100 units of Country R's currency and 1 percent of one's annual income. Which of the following represents the simplified formula for computing the income tax, in Country R's currency, for a person in that country whose annual income is I?

A) 50 + I/200

B) 50 + 3I/300

C) 50 + I/40

D) 100 + I/50

E) 100 + 3I/100

Add

2% of Annual Income

TO

Average OF[100 units of currency AND 1% of annual Income]

Annual Income=x (using x for clarity because I looks like 1)

2% of Annual Income = 2x/100

1% of Annual Income = 1x/100= x/100

Average of [100 units of currency AND 1% of annual Income] = (100+(x/100))/2=((100)^2+x)/200

\(Tax=\frac{2x}{100}+\frac{100^2+x}{200}\)

\(Tax=\frac{4x+100^2+x}{200}\)

\(Tax=\frac{5x+100^2}{200}\)

\(Tax=\frac{5x}{200}+\frac{100^2}{200}\)

\(Tax=\frac{x}{40}+\frac{100*100}{200}\)

\(Tax=50+\frac{x}{40}\)

Ans: "C"

_________________

~fluke

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