To find out how much money you would owe in taxes at the end of the year, we need to calculate the amount using the given income and tax rate. Let's break it down step-by-step:
1. Identify the given values:
- Earnings for the year: [tex]$8,425
- Income tax rate: 15%
2. Convert the percentage to a decimal:
- To use the tax rate in calculations, we need to convert the percentage to a decimal.
- 15% as a decimal is 0.15 (because 15% = 15/100 = 0.15).
3. Calculate the tax owed:
- Multiply the earnings by the tax rate in decimal form.
- This is done by:
\[
\text{Tax Owed} = \text{Earnings} \times \text{Tax Rate}
\]
- Substituting the values:
\[
\text{Tax Owed} = 8,425 \times 0.15
\]
4. Result of the calculation:
- By carrying out the multiplication, we get:
\[
\text{Tax Owed} = 1263.75
\]
Therefore, the amount of money you would owe in taxes at the end of the year is $[/tex]1,263.75.
