Deck 18: Taxes

Question 1

You buy a blender costing $179.95. The store charges $25 for assembly and $25 for delivery. State taxes are 4.5% and local sales taxes are 2%. What is the total purchase price? (Round your answer to the nearest cent if necessary)

A) $192.88
B) $197.55
C) $241.65
D) $209.45

Answer 1

$241.65

Question 2

The value placed on property based on location, size, cost, replacement value, condition, and income derived from its use is known as the ____________________.

Answer 2

fair market value

Question 3

Georgia bought outdoor furniture for a total purchase price of $2,150.75. State taxes were 5.75%. Find the amount of the sales tax. (Round your answer to the nearest cent if necessary)

A) $123.67
B) $109.91
C) $154.08
D) $116.94

Answer 3

$116.94

Question 4

Alex buys a Blu-ray disc costing $14.29. Use the table below to find the sales tax on this item. $$\begin{array} { l l } \text { Amount of Sale } & \text { Tax } \\\hline 13.70 - 13.89 & .69 \\13.90 - 14.09 & .70 \\14.10 - 14.29 & .71 \\14.30 - 14.49 & .72 \\14.50 - 14.69 & .73 \\14.70 - 14.89 & .74\end{array}$$

A) $0.71
B) $0.72
C) $0.69
D) $0.70

Question 5

Augie buys an energy bar costing $2.23. Use the table below to find the sales tax on this item. $$\begin{array} { | l | l | } \hline \text { Sales Tax Brackets } \\\hline \text { on } 6.5 \% \text { taxable transactions } \\\hline \text { Amount of Sale } & \text { Tax } \\\hline 1.77 - 1.92 & 0.12 \\\hline 1.93 - 2.07 & 0.13 \\\hline 2.08 - 2.23 & 0.14 \\\hline 2.24 - 2.38 & 0.15 \\\hline 2.39 - 2.53 & 0.16 \\\hline 2.54 - 2.69 & 0.17 \\\hline\end{array}$$

A) $0.12
B) $0.15
C) $0.17
D) $0.14

Question 6

A tax imposed on so-called luxury items which is paid in addition to a sales tax is called a(n) ____________________.

Question 7

Land, buildings, and all other permanent improvements situated thereon are called ____________________.

Question 8

Ad valorem tax, sometimes called ____________________, is a tax based upon the assessed value of property.

Question 9

Andrew buys a shirt costing $16.25. Use the table below to find the sales tax on this item. $$\begin{array} { | l | l | } \hline \text { Sales Tax Brackets } \\\hline \text { on } 6 \% \text { taxable transactions } & { } \\\hline \text { Amount of Sale } & \text { Tax } \\\hline 15.42 - 15.58 & 0.93 \\\hline 15.59 - 15.74 & 0.94 \\\hline 15.75 - 15.91 & 0.95 \\\hline 15.92 - 16.08 & 0.96 \\\hline 16.09 - 16.24 & 0.97 \\\hline 16.25 - 16.41 & 0.98 \\\hline\end{array}$$

A) $0.98
B) $0.95
C) $0.93
D) $0.96

Question 10

The value of property for tax purposes is known as the ____________________ value.

Question 11

Emilio buys a sofa for a total purchase price of $1,209.79. State taxes were 4.3%. What is the sales tax amount for his purchase? (Round your answer to the nearest cent if necessary)

A) $58.17
B) $52.02
C) $49.88
D) $58.78

Question 12

Nathaniel buys a pair of jeans costing $45.30. Using the table below to find the sales tax on this item, what is the total purchase price? $$\begin{array} { l l } \text { Amount of Sale } & \text { Tax } \\\hline 44.70 - 44.89 & 2.92 \\44.90 - 45.09 & 2.93 \\45.10 - 45.29 & 2.94 \\45.30 - 45.49 & 2.95\end{array}$$

A) $47.00
B) $48.25
C) $48.02
D) $48.35

Question 13

Jenny buys a dining table costing $695.95. The store charges $45 for delivery. State taxes are 6.5% and local sales taxes are 1.5%. What is the total purchase price? (Round your answer to the nearest cent if necessary)

A) $797.63
B) $796.63
C) $794.63
D) $784.56

Question 14

____________________ are a dollar-for-dollar subtraction from the tax liability.

Question 15

Carol purchased a diamond necklace for a total purchase price of $2,289.66. State taxes were 6.75%. Find the amount of the sales tax. (Round your answer to the nearest cent if necessary) ​

A) $183.83
B) $180.98
C) $177.35
D) $154.55

Question 16

____________________, both corporate and personal, comprise the largest source of receipts for our federal government.

Question 17

Eva purchases a bicycle costing $150.95. State taxes are 5.5% and local sales taxes are 2.4%. The store charges $30 for assembly. What is the total purchase price? (Round your answer to the nearest cent if necessary)

A) $192.88
B) $168.25
C) $161.41
D) $155.95

Question 18

Suppose you bought speakers for a total purchase price of $578.36. If state taxes were 5.55%, what was the amount of the sales tax? (Round your answer to the nearest cent if necessary) ​

A) $29.63
B) $30.41
C) $31.57
D) $32.10

Question 19

Randy buys a lawn tractor costing $935.90. The store charges $35 for assembly and $30 for delivery. State taxes are 4% and local sales taxes are 2%. What is the total purchase price? (Round your answer to the nearest cent if necessary)

A) $1,060.95
B) $1,057.05
C) $1,040.94
D) $1,000.90

Question 20

A tax based on the retail selling or rental price of tangible personal property is called a(n) ____________________.

Question 21

The total assessed property value in Frametown is $77,000,500. Budget planners have determined that $5,140,900 will be required to provide all government services next year. What tax rate is required to meet the budgetary demands? (Express your answer as a tax rate per $1,000 and round to the nearest hundredth)

A) $6.62
B) $6.66
C) $66.76
D) $667.60

Question 22

Yolanda owns some property that has an assessed value of $54,628. Find the tax due if the tax rate is 7.33% of the assessed value.(Round your answer to the nearest cent if necessary)

A) $4,811.56
B) $4,004.23
C) $4,826.43
D) $3,826.44

Question 23

The total assessed property value in River City is $106,000,000. Budget planners have determined that $7,663,800 will be required to provide all government services next year. What tax rate is required to meet the budgetary demands? (Express your answer as a percent rounded to the nearest hundredth)

A) 7.20%
B) 7.23%
C) 72.30%
D) 1.38%

Question 24

A trucking company buys 25,275 gallons of gasoline. The federal excise tax is $0.195 per gallon. Find the amount of excise tax due. (Round your answer to the nearest cent if necessary)

A) $4,928.63
B) $4,230.00
C) $4,142.00
D) $4,376.00

Question 25

You buy fishing gear costing $325. State taxes are 4.5% and the federal excise tax on this item is 13.25%. What is the total purchase price? (Round your answer to the nearest cent if necessary)

A) $382.69
B) $337.13
C) $399.25
D) $3,755.00

Question 26

Spiros purchases a Rolex watch costing $10,600. State taxes are 4.5% and the federal excise tax is 11%. What is the total purchase price?

A) $11,752
B) $12,243
C) $11,320
D) $11,128

Question 27

Federal Aviation purchases 16,600 gallons of aviation fuel. The federal excise tax is $0.16 per gallon. Find the amount of the excise tax for this transaction. (Round your answer to the nearest cent if necessary) ​

A) $1,037.50
B) $2,560.00
C) $1,073.50
D) $2,566.00

Question 28

Carl owns property with an assessed value of $72,450. If the tax rate is 6.82% of the assessed value, how much tax does Carl owe? (Round your answer to the nearest cent if necessary)

A) $4,634.89
B) $4,941.09
C) $4,622.10
D) $4,747.00

Question 29

Kahlia has property that has an assessed value of $84,228. What is the tax due if the tax rate is $65.50 per $1,000 of assessed value?(Round your answer to the nearest cent if necessary)

A) $5,107.00
B) $5,119.56
C) $5,337.44
D) $5,516.93

Question 30

The total assessed property value in the Town of Sutton is $84,000,000. Budget planners have determined that $4,988,600 will be required to provide all government services next year. What tax rate is required to meet the budgetary demands? (Express your answer as a tax rate per $1,000 and round to the nearest hundredth)

A) $38.55
B) $66.62
C) $59.39
D) $58.45

Question 31

Ossie owns some property which has an assessed value of $177,800. Find the tax due if the tax rate is $8.28 per $100 of the assessed value. (Round your answer to the nearest cent if necessary)

A) $14,721.84
B) $1,472.12
C) $15,412.55
D) $14,932.78

Question 32

Al purchases a speedboat costing $24,500. State taxes are 5.5% and federal excise tax is 13%. What is the total purchase price? (Round your answer to the nearest cent if necessary)

A) $26,240.00
B) $25,442.50
C) $29,032.50
D) $27,128.50

Question 33

Gregory has some property which has an assessed value of $173,400. The tax rate is $66.80 per $1,000 of assessed value. Find the tax due. (Round your answer to the nearest cent if necessary)

A) $14,738.56
B) $15,528.99
C) $15,223.74
D) $11,583.12

Question 34

Sergei owns some property that has an assessed value of $242,675. Calculate the tax due if the tax rate is 51.50 mills. (Round your answer to the nearest cent if necessary)

A) $12,497.76
B) $11,592.10
C) $1,249.78
D) $11,584.97

Question 35

Budget planners for a certain community have determined that $8,153,600 will be required to provide all government services next year. The total assessed property value in the community is $108,000,000. What tax rate is required to meet the budgetary demands? (Express your answer as a tax rate per $100 and round to the nearest hundredth)

A) $7.50
B) $7.55
C) $8.24
D) $8.15

Question 36

Budget planners for a certain community have determined that $9,235,400 will be required to provide all government services next year. The total assessed property value in the community is $122,500,000. What tax rate is required to meet the budgetary demands? (Express your answer as a tax rate per $100 and round to the nearest hundredth)

A) $7.49
B) $7.54
C) $7.11
D) $7.59

Question 37

You have some property that has an assessed value of $74,000. If the tax rate is $7.79 per $100 of assessed value, calculate the tax due. (Round your answer to the nearest cent if necessary)

A) $5,764.60
B) $5,746.60
C) $9,499.63
D) $9,499.36

Question 38

Will owns some property that has an assessed value of $37,592. Calculate the tax due if the tax rate is 61.10 mills. (Round your answer to the nearest cent if necessary)

A) $2,539.96
B) $2,296.87
C) $2,399.60
D) $2,379.60

Question 39

You have some property that has an assessed value of $87,500. If the tax rate is $8.79 per $100 of assessed value, calculate the tax due. (Round your answer to the nearest cent if necessary)

A) $7,691.25
B) $7,722.60
C) $8,999.63
D) $9,325.36

Question 40

You buy a bow and arrow costing $125. State taxes are 6.5% and the federal excise tax on this item is 13%. What is the total purchase price? (Round your answer to the nearest cent if necessary)

A) $149.38
B) $133.13
C) $141.25
D) $125.00

Question 41

Aliza had a tax liability of $6,218 last year. She was entitled to tax credits of $758 and withholding amounted to $540 per month. Aliza owed other taxes of $626. Calculate the amount of the refund or the amount of additional taxes due (as the case may be).

A) $1,020 Refund
B) $4,920 Due
C) $2,345 Refund
D) $394 Refund

Question 42

Barbie and Jose are married. Last year Barbie earned $32,400 and Jose earned $28,600 in wages. Additional tax information for the year is as follows: Interest earned: $2,800; alimony paid: $5,900; contributions to IRA retirement fund: $2,300; state and local income taxes paid: $6,200; contributions to charity: $2,700. Find the taxable income if they file a joint return.

A) $39,100
B) $37,950
C) $32,000
D) $39,200

Question 43

Sweet 'N Cream Me Corporation had a net income before taxes of $2,058,600. Calculate the net income after taxes. Note: First find the tax liability using the Corporate Tax Rate Schedule, Exhibit 18-6 from your text.

A) $818,476
B) $1,358,676
C) $556,224
D) $763,600

Question 44

Andrea and Shane are married and filing jointly. Their taxable income is $268,594. Find the tax liability using the Tax Rate Schedule, Exhibit 18-4 from your text. (Round your answer to the nearest cent if necessary) ​

A) $88,636.02
B) $77,546.52
C) $73,778.52
D) $64,540.52

Question 45

Seth and Vanessa are married and filing jointly. Their taxable income is $140,526. Use the Tax Rate Schedule, Exhibit 18-4 from your text, to find their tax liability. (Round your answer to the nearest cent if necessary) ​

A) $35,284.08
B) $26,844.00
C) $33,067.28
D) $39,347.28

Question 46

You are the accountant for a corporation whose net income before taxes was $1,915,400. Find the tax liability using the Corporate Tax Rate Schedule, Exhibit 18-6 from your text.

A) $113,900
B) $537,336
C) $651,236
D) $1,580,400

Question 47

Robert had a tax liability of $6,943 last year. In addition, he owed other taxes of $509. He was entitled to tax credits of $642 and withholding amounted to $610 per month. Calculate the amount of the refund or the amount of additional taxes due (as the case may be).

A) $510 Due
B) $510 Refund
C) $377 Due
D) $377 Refund

Question 48

Logan and Marlo are married and filing jointly. Their taxable income is $74,223. Use the Tax Table, Exhibit 18-3 from your text, to find their tax liability.

A) $14,413.76
B) $9,668.76
C) $12,969.32
D) $10,256.88

Question 49

Isabella is filing as the head of a household. Her taxable income is $68,014. Use the Tax Table, Exhibit 18-3 from your text to find the tax liability.

A) $12,393.08
B) $12,863.09
C) $13,206.64
D) $9,296.72

Question 50

Robin is single. Her taxable income is $74,811. Find the tax liability using the Tax Table, Exhibit 18-3 from your text.

A) $10,419.22
B) $13,119.44
C) $12,397.92
D) $14,575.64

Question 51

Budget planners for Richmond have determined that $7,381,200 will be required to provide all government services next year. The total assessed property value in the community is $116,500,500. What tax rate is required to meet the budgetary demands? (Express your answer in mills and round to the nearest tenth)

A) 15.78 mills
B) 1.58 mills
C) 6.36 mills
D) 63.36 mills

Question 52

Amy and Derek are married and filing jointly. Their taxable income is $34,447. Use the Tax Table, Exhibit 18-3 from your text to find the tax liability.

A) $4,321.13
B) $4,516.18
C) $4,895.64
D) $4,710.12

Question 53

Karen is single. Last year she earned $36,300 in wages. Additional tax information for the year is as follows: interest earned: $125; capital gains from sale of stock: $1,650; penalty on early withdrawal of savings: $300; contributions to Keogh retirement fund: $1,900; real estate taxes paid: $3,000; mortgage interest paid: $3,100. Find the taxable income for the year.

A) $26,075
B) $35,275
C) $29,175
D) $37,475

Question 54

Texas Manufacturing had a net income before taxes of $2,934,400. Find the tax liability using the Corporate Tax Rate Schedule, Exhibit 18-6 from your text.

A) $609,796
B) $997,696
C) $635,000
D) $144,704

Question 55

Sam and Jen had a tax liability of $5,115 last year. They were entitled to tax credits of $112 and withholding amounted to $110 per month. Sam and Jen owed other taxes of $688. Calculate the amount of the refund or the amount of additional taxes due (as the case may be).

A) $4,205 Due
B) $4,371 Refund
C) $4,567 Due
D) $4,371 Due

Question 56

Kristal is single. Last year she earned $37,800 in wages. Additional tax information for the year is as follows: Interest earned: $128; capital gains from sale of stock: $1,850; alimony paid: $6,400; contributions to IRA retirement fund: $2,700; real estate taxes paid: $1,600; mortgage interest paid: $5,300. Find the taxable income for the year.

A) $18,678
B) $24,712
C) $22,628
D) $19,251

Question 57

Dave and Alana are married. Last year Alana earned $31,300 and Dave earned $25,100 in wages. Additional tax information for the year is as follows: interest earned: $2,600; penalty on early withdrawal of savings: $200; contributions to IRA retirement fund: $2,500; real estate taxes paid: $2,500; mortgage interest paid: $6,800. Find the taxable income if they file a joint return.

A) $56,400
B) $59,000
C) $32,300
D) $26,000

Question 58

Kerri is single. Last year she earned $48,800 in wages. Additional tax information for the year is as follows: interest earned: $229; capital gains from sale of stock: $2,650; penalty on early withdrawal of savings: $400; contributions to Keogh retirement fund: $1,500; real estate taxes paid: $4,500; mortgage interest paid: $4,200. Find the taxable income for the year.

A) $38,179
B) $44,150
C) $37,795
D) $39,912

Question 59

Lenny and Laura had a tax liability of $6,131 last year. In addition, they owed other taxes of $464. They were entitled to tax credits of $445 and withholding amounted to $440 per month. Calculate the amount of the refund or the amount of additional taxes due (as the case may be).

A) $870 Due
B) $870 Refund
C) $851 Due
D) $1,760 Due

Question 60

Lucinda is married and filing a separate return. Her taxable income is $73,111. Find her tax liability by using the Tax Table, Exhibit 18-3 from your text.

A) $10,061.05
B) $12,023.92
C) $10,656.99
D) $12,694.12

Question 61

KARVA Corporation had a net income before taxes of $11,440,300. First find the tax liability using the Corporate Tax Rate Schedule, Exhibit 18-6 from your text, then calculate the net income after taxes.

A) $1,440,300
B) $3,904,105
C) $5,744,405
D) $7,536,195

Question 62

Nancy Logan purchased a diamond bracelet for $12,600 at Craig Jewelers. The state sales tax is 7% and the federal excise tax on this type of jewelry is 10%. What is the total purchase price of the bracelet? (Round your answer to the nearest cent if necessary)

Question 63

Suppose you bought a digital camera for a total purchase price of $276.99. If state taxes were 6.2%, what was the amount of the sales tax?

A) $22.19
B) $16.17
C) $6.20
D) $3.12

Question 64

Pet Palace had a net income before taxes of $1,615,200. First find the tax liability using the Corporate Tax Rate Schedule, Exhibit 18-6 from your text, then calculate the net income after taxes.

A) $1,002,022
B) $1,508,330
C) $1,066,032
D) $1,255,899

Question 65

Reynaldo purchases a scooter costing $112.95. State taxes are 6% and local sales taxes are 2.6%. The store charges $25 for assembly. What is the total purchase price? (Round your answer to the nearest cent if necessary)

A) $162.88
B) $164.55
C) $147.66
D) $122.67

Question 66

David Cloud purchased a lawn mower for a total purchase price of $318.75. The state has a sales tax. What was the selling price of the lawn mower?

Question 67

You buy a breakfast roll costing $3.45. If the state tax rate is 5.25%, what is the tax? (Round your answer to the nearest cent if necessary)

Question 68

Kelly Greene bought a new dining set for a total purchase price of $3,954.75. The state has a 6.15% sales tax. What was the amount of sales tax? (Round your answer to the nearest cent if necessary)

Question 69

You buy fishing equipment costing $278. State taxes are 5.5% and the federal excise tax on this item is 12.45%. What is the total purchase price? (Round your answer to the nearest cent if necessary)

A) $295.95
B) $342.19
C) $327.90
D) $3,755.00

Question 70

E J owns some property that has an assessed value of $432,920. Calculate the tax due if the tax rate is 32.25 mills.

A) $3,225.00
B) $13,961.67
C) $1,223.88
D) $12,774.67

Question 71

Anne and her husband purchase a two-week all inclusive vacation costing $14,500. State taxes are 4.5% and the federal excise tax is 14%. What is the total purchase price of their vacation? (Round your answer to the nearest cent if necessary)

Question 72

Kris purchases a lawn mower costing $123.95. State taxes are 5.5% and local sales taxes are 1.5%. The store charges $15 for assembly and $20 for delivery. What is the total purchase price? (Round your answer to the nearest cent if necessary)

Question 73

Sherrie purchases a sports car costing $72,500. State taxes are 4.5% and federal excise tax is 14%. What is the total purchase price?

A) $74,000.00
B) $93,415.50
C) $72,518.50
D) $85,912.50

Question 74

John Swift purchased a truck for $23,800. The dealer prep charges are $318 and the sales tax rate is .

A)What is the amount of sales tax?
B)What is the total purchase price of the truck?

Question 75

Caterina is single. Her taxable income is $59,541. Find the tax liability using the Tax Table, Exhibit 18-3 from your text.

A) $8,094.49
B) $9,038.52
C) $11,081.12
D) $11,056.29

Question 76

The state excise tax on gasoline is 24.1 cents per gallon. If Kirkpatricks Van Lines used a total of 23,824 gallons of fuel last month, how much excise tax was paid? (Round your answer to the nearest cent if necessary)

Question 77

Jen's Boutique had total sales for the day of $1,464.75 including sales tax. The tax rate was .

A)What was the amount of Jen's actual sales revenue for the day?
B)What is the amount of sales tax that must be sent to the state Department of Revenue?

Question 78

Jamie and Wayne are married and filing jointly. Their taxable income is $189,346. Use the Tax Rate Schedule, Exhibit 18-4 from your text, to find their tax liability.

A) $136,329.12
B) $64,753.38
C) $40,263.88
D) $53,016.88

Question 79

You are the accountant for a corporation whose net income before taxes was $13,741,400. Find the tax liability using the Corporate Tax Rate Schedule, Exhibit 18-6 from your text.

A) $4,672,076
B) $4,709,490
C) $5,388,219
D) $6,941,677

Question 80

Budget planners for a certain community have determined that $3,415,200 will be required to provide all government services next year. The total assessed property value in the community is $24,700,000. What tax rate is required to meet the budgetary demands? (Express your answer as a tax rate per $100 and round to the nearest hundredth)

A) $13.83
B) $34.15
C) $24.70
D) $72.32