Percents: Ballparking Percents
The income tax in Country X is 8% of any income up to $5,000. For incomes over $5,000, an 8% tax is imposed on the first $5,000, and a 10% tax is imposed on the remaining portion of the total income. If Perry paid $950 in income tax last month, then what was his income?
Incorrect.
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This answer choice is too large, so __POE__ it.
Incorrect.
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This answer choice is too large, so __POE__ it.
Incorrect.
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Incorrect.
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__Plug In__ B: If Perry's income is $11,000, then he will pay
>__First $5,000__: $$\$400$$
>__Next $5,500__: $$10\% \text{ of } \$6{,}000 = \$600$$
So his total tax will equal $1,000, not $950.
Correct.
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__Plugging In__ A works: if Perry's income was $10,500, he would pay
>__First $5,000__: $$\$400$$
>__Next $5,500__: $$10\% \text{ of } \$5{,}500 = \$550$$
That sums up to the required $950.
$10,500
$11,000
$13,000
$13,500
$14,000