Question

Zed's gross income is $21,375. His medical expenses for the yearamounted to $924.80. If he can deduct only the amount over 7 1/2% ofhis gross income for medical expenses, how much can he deduct formedical expenses?a. $1,603.13b. $0c. $678.33d. $63.49

Answer 1

For this case we have the initial amount: 21375$

The medical expenses per year are: $ 924.80

The % of deduction is 7.5%

We can find the percentage from the gross income:

21375* 0.075= 1603.125

924.80 -1603.125 = negative

So then the answer would be:

b. 0$