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A family paid 12 percent of its annual after-tax income on f

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A family paid 12 percent of its annual after-tax income on f [#permalink]  03 Dec 2019, 02:29
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75% (02:53) correct 25% (00:47) wrong based on 4 sessions
A family paid 12 percent of its annual after-tax income on food last year. This amount was equal to 10 percent of its annual before-tax income last year. Which of the following is closest to the percent of the family's annual before-tax income that was paid for taxes last year?

A. 8%

B. 12%

C. 17%

D. 20%

E. 25%

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[Reveal] Spoiler: OA

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Re: A family paid 12 percent of its annual after-tax income on f [#permalink]  03 Dec 2019, 02:39
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Lets assume salary before tax as (s) and salary after tax as (s-t) and amount for food is (f).
f = 0.12(s-t)
f = 0.1(s)
0.1s = 0.12s - 0.12t
0.12t = 0.12s - 0.1s = 0.02s
t = (0.02/0.12) s = (1/6)s = 0.166 s ~ 17% s
Hence we choose option C
Re: A family paid 12 percent of its annual after-tax income on f   [#permalink] 03 Dec 2019, 02:39
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