Table 23-1

question 72

Multiple Choice

Table 23-1. The data pertain to the nation of Simplia for the year 2006.

-Refer to Table 23-1.Personal income for this economy is

• A)$91.
• B)$81
• C)$80.
• D)$51.

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Definitions:

FICA Taxes

FICA taxes are federal payroll taxes collected to fund Social Security and Medicare, divided into equal parts paid by employers and employees.

Student Loan Interest

The cost incurred from borrowing funds for education, which can often be deducted from taxable income under certain conditions in many tax jurisdictions.

Deduction Limit

The maximum amount that can be subtracted from taxable income for certain expenses, beyond which deductions are no longer permitted or are reduced.

Tax Year

The 12-month period for which tax is calculated, often either the calendar year or a fiscal year established by a business.