Question

Helen Ming receives a travel allowance of $220 each week from her company for time away from home. If this allowance is taxable and she has a 15 percent income tax rate, what amount will she have to pay in taxes for this employee benefit?

Answer 1

$33

Explanation:

As Helen Ming receives a travel allowance of $220 and has a 15% income tax rate, to calculate the amount she has to pay in taxes for this benefit, we have to calculate the 15% of $220:

220*(15/100)= 220*0,15= 33

The amount she will have to pay is $33.

Answer 2

$33

Explanation:

The travel allowance that Helen Ming receives is $220

The income tax rate is
`15\%`

The amount she has to pay is calculated by multiplying the tax rate by the travel allowance.

`=(15)/(100)*220`

We simplify to obtain

`=(15)/(10)*22=33`

Therefore Helen Ming has to pay $33 form her benefit.