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Country X taxes each of its citizens an amount equal to 12

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Country X taxes each of its citizens an amount equal to 12  [#permalink]

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New post Updated on: 15 Mar 2012, 00:59
1
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A
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Difficulty:

  15% (low)

Question Stats:

88% (02:22) correct 12% (02:48) wrong based on 142 sessions

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Country X taxes each of its citizens an amount equal to 12 percent of the fi…rst $40,000 of income, plus 20 percent of all income in excess of $40,000. If a citizen of Country X is taxed a total of $8,000, what is her income?

A. $40,000
B. $56,000
C. $64,000
D. $66,667
E. $80,000

Guys - this is how I am trying to solve this algebraically, but its not giving me right answer. Any idea why?

Let the total income = x

Taxes = 0.12 (40000) + 0.2(x-40000) = 8000

Solve for x.

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Originally posted by enigma123 on 15 Mar 2012, 00:03.
Last edited by Bunuel on 15 Mar 2012, 00:59, edited 1 time in total.
Edited the question.
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Re: Country X  [#permalink]

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New post 15 Mar 2012, 00:58
enigma123 wrote:
Country X taxes each of its citizens an amount equal to 12 percent of the fi…rst $40,000 of income, plus 20 percent of all income in excess of $40,000. If a citizen of Country X is taxed a total of $8,000, what is her income?

(A) $40,000
(B) $56,000
(C) $64,000
(D) $66,667
(E) $80,000

Guys - this is how I am trying to solve this algebraically, but its not giving me right answer. Any idea why?

Let the total income = x

Taxes = 0.12 (40000) + 0.2(x-40000) = 8000

Solve for x.


Equation is correct, so math must be a problem.

0.12*40,000+0.2*(x-40,000)=8,000 --> 4,800+0.2x-8,000=8,000 --> 0.2x=11,200 --> x=56,000.

Answer: B.

Hope it helps.
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Re: Country X taxes each of its citizens an amount equal to 12  [#permalink]

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New post 03 May 2012, 10:39
2
enigma123 wrote:
Country X taxes each of its citizens an amount equal to 12 percent of the fi…rst $40,000 of income, plus 20 percent of all income in excess of $40,000. If a citizen of Country X is taxed a total of $8,000, what is her income?

A. $40,000
B. $56,000
C. $64,000
D. $66,667
E. $80,000

Guys - this is how I am trying to solve this algebraically, but its not giving me right answer. Any idea why?

Let the total income = x

Taxes = 0.12 (40000) + 0.2(x-40000) = 8000

Solve for x.




Guys a simple way to crack problems like this

so for first 40000$ the tax rate is 12% so 40000*12/100=4800 so the total tax payable is 8000 so if we deduct 4800 from 8000 we get 3200 which is 20% of the remaining so with this we can set the equation like this

20% 3200
100% x

By cross multiplication we get .2x=3200*1 =>x=3200/.2 => 32000/2(multiplying numerator and denominator with 10 to get rid .2 in denominator ) so we get 16000$ so total income before tax was 40000$+16000$=56000$


Ans option is B

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Re: Country X  [#permalink]

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New post 20 Nov 2013, 04:21
Bunuel wrote:
enigma123 wrote:
Country X taxes each of its citizens an amount equal to 12 percent of the fi…rst $40,000 of income, plus 20 percent of all income in excess of $40,000. If a citizen of Country X is taxed a total of $8,000, what is her income?

(A) $40,000
(B) $56,000
(C) $64,000
(D) $66,667
(E) $80,000

Guys - this is how I am trying to solve this algebraically, but its not giving me right answer. Any idea why?

Let the total income = x

Taxes = 0.12 (40000) + 0.2(x-40000) = 8000

Solve for x.



Equation is correct, so math must be a problem.

0.12*40,000+0.2*(x-40,000)=8,000 --> 4,800+0.2x-8,000=8,000 --> 0.2x=11,200 --> x=56,000.

Answer: B.

Hope it helps.


I Bunuel, I usually solve like this:

0.12 * 40,000 + 0.2 * x

x is the income above 40,000

0.12 * 40,000 = 4800 ==> 8000 - 4800 = 3200

so 0.2x=3200, x = 16,000

thus total income = 40,000+16,000=56,000

Could there be trouble in other problems? Or can I use my approach as well? I see that if I do it like you I get the total income right away, but for me it's easier to do it the other way (it's just clearer to me).

Thanks!
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Re: Country X  [#permalink]

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New post 20 Nov 2013, 04:23
unceldolan wrote:
Bunuel wrote:
enigma123 wrote:
Country X taxes each of its citizens an amount equal to 12 percent of the fi…rst $40,000 of income, plus 20 percent of all income in excess of $40,000. If a citizen of Country X is taxed a total of $8,000, what is her income?

(A) $40,000
(B) $56,000
(C) $64,000
(D) $66,667
(E) $80,000

Guys - this is how I am trying to solve this algebraically, but its not giving me right answer. Any idea why?

Let the total income = x

Taxes = 0.12 (40000) + 0.2(x-40000) = 8000

Solve for x.



Equation is correct, so math must be a problem.

0.12*40,000+0.2*(x-40,000)=8,000 --> 4,800+0.2x-8,000=8,000 --> 0.2x=11,200 --> x=56,000.

Answer: B.

Hope it helps.


I Bunuel, I usually solve like this:

0.12 * 40,000 + 0.2 * x

x is the income above 40,000

0.12 * 40,000 = 4800 ==> 8000 - 4800 = 3200

so 0.2x=3200, x = 16,000

thus total income = 40,000+16,000=56,000

Could there be trouble in other problems? Or can I use my approach as well? I see that if I do it like you I get the total income right away, but for me it's easier to do it the other way (it's just clearer to me).

Thanks!


I see nothing wrong with your approach.
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Re: Country X taxes each of its citizens an amount equal to 12  [#permalink]

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New post 28 Dec 2013, 10:28
enigma123 wrote:
Country X taxes each of its citizens an amount equal to 12 percent of the fi…rst $40,000 of income, plus 20 percent of all income in excess of $40,000. If a citizen of Country X is taxed a total of $8,000, what is her income?

A. $40,000
B. $56,000
C. $64,000
D. $66,667
E. $80,000

Guys - this is how I am trying to solve this algebraically, but its not giving me right answer. Any idea why?

Let the total income = x

Taxes = 0.12 (40000) + 0.2(x-40000) = 8000

Solve for x.



40000/100 = 400 --> 400*12 = 4800


8000 - 4800 = 3200 ---> (20/100)x = 3200 ---> x = 16000.. 16000 is the excess salary over 40000.. So 40000 + 160000 = 56000
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Re: Country X taxes each of its citizens an amount equal to 12  [#permalink]

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New post 08 Jul 2016, 04:15
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Re: Country X taxes each of its citizens an amount equal to 12   [#permalink] 08 Jul 2016, 04:15

Country X taxes each of its citizens an amount equal to 12

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