New York state income tax is based on taxable income which i

New York state income tax is based on taxable income which is part of a person\'s total income. The tax owed to the state is calculated using taxable income (not total income). In 2005, for a single person with a taxable income between $20,000 and $100,000, the tax owed was $973 plus 6.85% of the taxable income over $20,000. Answer the following questions, and DO NOT include any commas in your final answers.

(a) Compute the tax owed by a person whose taxable income is $80,000. tax = $ (round to nearest dollar)

(b) Consider a lawyer whose taxable income is 80% of her total income, $x, where x is between $60,000 and $120,000. Write a formula for T(x), the amount of taxable income (not the tax owed, yet). T(x)=

c) Write a formula for L(x), the amount owed by the lawyer in part (b). L(x)= (d) Use L(x) to evaluate the tax liability (amount owed) for x=100,000 and compare your results to part (a). L(100000)= $ (round to nearest dollar)

Solution

a. He owes: $973 + 6.85/100 x $48,000 = $4261
b. 80/100 times x = T

c. $973 + 6.85/100 x T = L

d. So total income is $85000. so she would owe $973. + 6.85/100 x $85000. = ............