Question 1147345
.


<U>1.  The income tax for an income of $80,000</U>



<pre>
Take fixed tax of $300, and add to it 6.5% of excess of $80,000 over $10,000.


The excess is $80,000 - $10,000 = $70,000.


The 6.5% of it is  0.065*70000 = 4550.


So, your answer is  $300 + $4550 = $4850.
</pre>


<U>2.  Determine the amount of income if $7,508.50 was the amount paid in taxes</U>



<pre>
$7,508.50 is greater than $300.


It means that the income exceeds $10,000.


The difference  7,508.50 dollars MINUS 300 dollars = 7,208.50  is 6.5%  od the exceed over $10,000.


Hence, this exceed is  {{{7208.50/0.065}}} = 110900 dollars.


Thus the total income is  $10,000 + $110900 = $120900.
</pre>


Solved.


-------------


Is everything clear to you in my solution ?


If not, then let me know, by referring to the problem's ID number  1147345.