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Cross receives a monthly paycheck from a bakery plant of $3,500.30. She is married and is entitled to 3 withholding allowances. How much is her taxable income? Use the percentage method tables in Exhibits 9-1 and 9-2 from your text.

User AlexITC
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1 Answer

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Ross's taxable income is $3,079.16. Option C is the correct answer.

Here's the breakdown of the calculation:

Monthly paycheck: $3,500.30

Withholding allowances (3 allowances x $205.00/allowance): $615.00

Taxable income: $3,500.30 - $615.00 = $2,885.30

Federal income tax (12% bracket): $2,885.30 x 0.12 = $346.24

Total income tax: $346.24

Therefore, Ross's taxable income is $3,079.16. Option C is the correct answer.

Complete question:

Cross receives a monthly paycheck from a bakery plant of $3,500.30. She is married and is entitled to 3 withholding allowances. How much is her taxable income? Use the percentage method tables in Exhibits 9-1 and 9-2 from your text

in Business

A) $2,512.70

B) $3,044.06

C) $3,079.16

D) $3,289.73

User Phynfo
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8.0k points