Use an Equation to Solve the Problem

question 18

Multiple Choice

Use an equation to solve the problem. The average price of homes in one neighborhood decreased 8% since last year, a drop of $5,400. What was the average price of a home last year?

• A)$64,500
• B)$69,500
• C)$68,500
• D)$67,500
• E)$71,500

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Definitions:

Federal Taxes

Federal taxes are financial charges imposed by the national government on income, business profits, sales, and other forms of economic activity.

State Taxes

State taxes are financial charges imposed by individual states on income, property, sales, and other activities, varying widely between different states.

Local Taxes

Taxes imposed by local governments, such as cities or counties, which can include property taxes, sales taxes, and income taxes.

W-2

The form that an employer must send to an employee and the IRS at the end of the year, which reports the employee's annual wages and taxes withheld.