Question

Say that Malaysia has a workforce of 11,071,016, with an average yearly salary of (equivalent US dollars) $15,196. How much more revenue will the Malaysian government gather if it sets the income tax at 17% than if it sets the income tax at 8%, to the nearest million dollars? a. $21,059 million b. $16,824 million c. $15,141 million d. $13,459 million

Answer 1

c.

$15,141 million

Explanation:

Answer 2

c. $15,141 million

Explanation:

Population = 11,071,016

Average salary = $15,196

Tax rate 1 = 17%

Tax rate 2 = 8%

Revenue from tax :

Tax rate * average salary * population

To obtain the revenue difference :

(11,071,016 × $15196 × 17%) − (8% × $15196 × 11,071,016)

= $15,141,164,322.24