Question

solve the following problem involving income tax. Show all your work. Priya had $52.50 deducted from their paycheck. If Priya’s income tax rate is 12%, find Priya’s total income before tax

Answer 1

To find Priya's total income before tax, we can use the information provided: the amount deducted from the paycheck and the income tax rate.

We know that the income tax deducted is a percentage of Priya's total income. In this case, the deduction of $52.50 represents 12% of Priya’s total income before tax.

Let \( I \) be Priya's total income before tax. The equation can be set up as follows:

\[
0.12I = 52.50
\]

To find \( I \), we need to divide both sides of the equation by 0.12:

\[
I = \frac{52.50}{0.12}
\]

Now, we will perform the calculation:

\[
I = \frac{52.50}{0.12} = 437.50
\]

Thus, Priya's total income before tax is:

\[
\boxed{437.50}
\]