Adjusted Gross Income = Gross income - adjustments
Adj. Gr. Inc. = $83,000 - $3,000
= $80,000
Taxable income = Adj. Gross Income - (exemptions + deductions)
deduction will be the standard deduction in chart above ($5450) or you can obtain a higher deduction by itemizing
His other deductions are 29000 + 4454 + 3000 = $36,454 which is definitely larger than $5450 so we will use this number for our
deductions
Taxable income = $80,000 - (3500 + 36,454)
= $40, 046
This puts him in the 25% tax rate.
Now he will have up to $8025 taxed at 10% --- anything above that but below $32,550 is taxed at 15% --- anything above $32,550 is
taxed at 25%
So, we have
(0.10 * 8025) + (0.15 * (32,550 - 8,025)) + (0.25 * (40,046 - 32,550)) =
802.50 + 3678.75 + 1874 =
$6,355.25
Income tax = tax computation - tax credits
= $6355.25 - $0
= $6355.25
percent increase =
amount of increase
_______________
Increased by 140 - 50 = 90
90 / 50 = 1.8
1.8 = 180%
original amount
I = Prt
I = (6000)(0.08)(6/12)
= 6000*0.08*(1/2)
= 240
4300 = 4000 (1 + r(1))
4300 = 4000 (1 + r)
distribute
4300 = 4000 + 4000r
subtract 4000 from both sides
300 = 4000r
divide both sides by 4000
(300/4000) = r
0.075 = r
A = P(1 + rt)
I = Prt
loan's discount = deducted interest
I = (8000)(0.06)(3/12)
= 120
8000 - 120 = 7880
I = prt
120 = (7880) * r * (3/12)
120 = 1970r
(120/1970) = r
0.060913 . . . = r
6.1% = r
I = Prt
I = 2000 (0.07) (3/12)
= 35
future value = principal + interest
2000 + 35 = 2035
8625.30 - 7500 = 1125.30
a.
b.
a.
b.
5% down payment
d.
e.