If 26% of your monthly pay is withheld for federal income taxes and another 5% is withheld for Social Security, state income tax, and other miscellaneous items, leaving you with $994.50 a month in take-home pay, then the amount you earned before the deductions were removed from your check is given by the equation . Solve this equation to find your gross income to the nearest dollar.
A) $1,513 per month
B) $1,026 per month
C) $1,441 per month
D) $1,259 per month
E) $1,303 per month

Question

If 26% of your monthly pay is withheld for federal income taxes and another 5% is withheld for Social Security, state income tax, and other miscellaneous items, leaving you with $994.50 a month in take-home pay, then the amount you earned before the deductions were removed from your check is given by the equation  . Solve this equation to find your gross income to the nearest dollar.
A) $1,513 per month 
B) $1,026 per month 
C) $1,441 per month 
D) $1,259 per month 
E) $1,303 per month

Quizplus · Accepted Answer

Let's start by defining some variables:
- Gross Income = x
- Monthly pay withheld for federal income taxes = 0.26x
- Monthly pay withheld for Social Security, state income tax, and other miscellaneous items = 0.05x
- Take-home pay = 994.50

Using the given information, we can set up the following equation:

x - 0.26x - 0.05x = 994.50

Simplifying this equation, we get:

0.69x = 994.50

Dividing both sides by 0.69, we get:

x = 1441.30

Rounding to the nearest dollar, we get:

x ≈ $1,441 per month

Therefore, the best choice is C.

If 26% of Your Monthly Pay Is Withheld for Federal