James and Judy Silvers own a small apartment complex. They received rents of 26,00 . last year. Judy painted and sold landscapes for 11,700 . James received 9,300 in royalties for some magazine articles. Compute their combined gross income.
Q. 2Carolyn Green is a single parent who plans to save for her child's education. She can afford to save 250 every month for 2 years. If Carolyn could earn interest of 12 compounded monthly, compute the total amount that she will accumulate during the 2 years. Use Tables 23-1A and 23-1B or a calculator.
Q. 3Joe and Amy Kivers both worked last year. Joe earned 48,00 . as a mechanic. Amy earned 18,00 . doing typing at home. They inherited 12,000 . Compute their combined gross income.
Q. 4Amit Cheeda has a welding business that primarily services heavy equipment on highway construction projects. Amit plans to replace equipment in 5 years, but he does not want to borrow the money. Therefore, he makes 20 quarterly deposits into a sinking fund that will earn 6 compounded quarterly. How much should Amit deposit each quarter if he wants to have 50,00 . after the 5 years? Use Tables 23-1A and 23-1B or a calculator.
Q. 5Lee Johnston works as a waitress. Last year she earned 28,500 in salary, 9,800 in tips, and 2,500 catering on weekends. Compute her gross income.
Q. 6John Lopez, a manager, will retire in 10 years. John invests 12,00 . every year into a fund that promises to return 8 compounded annually. Compute the total amount that he will have at the end of 10 years. Use Tables 23-1A and 23-1B or a calculator.
Q. 7A home having an annual tax bill of 2,400 was sold at the end of the tenth month of the taxable year. The seller had already paid the entire tax for the year. How much tax was the seller reimbursed on proration of taxes at the time of the sale?
Quick Reply
