Question

Hank has $18,500 withheld on his federal income taxes. What are his wages if there is a 24% tax, 32% tax, and 19% tax?

a) For 24% tax: $24,375; For 32% tax: $27,205.88; For 19% tax: $22,340.91
b) For 24% tax: $27,205.88; For 32% tax: $22,340.91; For 19% tax: $24,375
c) For 24% tax: $22,340.91; For 32% tax: $24,375; For 19% tax: $27,205.88
d) For 24% tax: $25,000; For 32% tax: $30,000; For 19% tax: $20,000

Answer 1

Hank's wages for different tax rates are as follows: 24% tax rate: $24,375, 32% tax rate: $27,205.88, 19% tax rate: $22,340.91.

Step-by-step explanation:

To find Hank's wages for each tax rate, we can set up an equation using the formula: wages = withheld amount / (1 - tax rate).

For the 24% tax rate:
Wages = $18,500 / (1 - 0.24) = $24,375

For the 32% tax rate:
Wages = $18,500 / (1 - 0.32) = $27,205.88

For the 19% tax rate:
Wages = $18,500 / (1 - 0.19) = $22,340.91