Question
income total spending
$10,000 $10,000
20,000 18,000
50,000 35,000
100,000 60,000
If a sales tax of ten percent is levied on all purchases, calculate
A. amoust of sales tax paid at each income level and
B. the fraction f income paid in taxes at each income level
Let X be pre-tax spending. For a total spending of 10000 = 1.1*X. Solve for X. X=9090.90 Meaning sales tax must be 909.1. Repeat for all other total spending levels.
$10,000 $10,000
20,000 18,000
50,000 35,000
100,000 60,000
If a sales tax of ten percent is levied on all purchases, calculate
A. amoust of sales tax paid at each income level and
B. the fraction f income paid in taxes at each income level
Let X be pre-tax spending. For a total spending of 10000 = 1.1*X. Solve for X. X=9090.90 Meaning sales tax must be 909.1. Repeat for all other total spending levels.