Question

Andrew’s gross pay is $58,000. He takes a single exemption of $2,000. His state income tax rate is 3.8%. How much will he pay in state income tax?

Answer 1

58,000 - 2,000 = 56,000

0.038(56,000) = $ 2128 <==

Answer 2

Answer: $2,128

Explanation:

Given: Andrew’s gross pay = $58,000

The single exemption made by Andrew= $2,000

Therefore, Andrew’s taxable income =
`\$58,000-\$2,000=\$c`

The state income tax rate = 3.8% =0.038

Now, the amount he will pay as state income tax =
`0.038*56,000=\$2,128`

Therefore, the amount he will pay as state income tax =$2,128