Thinking Mathematically (6th Edition)

Published by Pearson
ISBN 10: 0321867327
ISBN 13: 978-0-32186-732-2

Chapter 8 - Personal Finance - Chapter 8 Test - Page 572: 3

Answer

See below

Work Step by Step

(a) The calculation of gross income is mentioned below- \[\begin{align} & \text{Gross income}=\text{Wages}+\text{Earned interest} \\ & =\$46,500+\$790\\&=\$47,290\end{align}\] Hence, the amount of gross income is\[\$47,290\]. (b) The calculation of adjusted gross income is mentioned below- \[\begin{align} & \text{Adjusted gross income}=\text{Gross income}-\text{Adjustments} \\ & =\$47,290-\$1,100\\&=\$46,190\end{align}\] Hence, the amount of adjusted gross income is\[\$46,190\].
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