Question

United States citizens living in Switzerland must pay taxes on their income to both the United States and to Switzerland. The United States tax is 28% of their taxable income after deducting the tax paid to Switzerland. The tax paid to Switzerland is 42% of their taxable income after deducting the tax paid to the United States. If a United states citizen living in Switzerland has a taxable income of $75,000, how much tax must that citizen pay to each of the two countries? Find these values in as many different ways as you can; try to find ways both using and not using graphing calculators. Explain the methods you use.