A sales associate has an annual income of $37,800. The income tax the sales associate has to pay is 12%.

What is the amount of income tax that the sales associate has to pay?
A.$4,536
B.$7,560
C.$5,860
D.$5,670

To find the amount of income tax the sales associate has to pay, we can use the formula:

\[
\text{Income Tax} = \text{Annual Income} \times \text{Tax Rate}
\]

Given:
- Annual income = $37,800
- Tax rate = 12% = 0.12

Now, calculate the income tax:

\[
\text{Income Tax} = 37,800 \times 0.12 = 4,536
\]

Thus, the amount of income tax is **$4,536**, which corresponds to option **A**.

Would you like any additional details or have any questions?

Here are 5 related questions to expand your understanding:
1. How would the tax amount change if the tax rate were 15%?
2. What would the annual income need to be for the tax amount to be $6,000?
3. How much would the associate have left after paying the 12% income tax?
4. What would the income tax be if the sales associate's annual income increased by 10%?
5. How does the percentage of income tax compare if the income is reduced by $5,000?

**Tip:** Always convert percentage values to decimals before multiplying when calculating taxes or similar percentages.

A sales associate has an annual income of $37,800. The income tax the sales associate has to pay is 12%. What is the amount of income tax that the sales associate has to pay? A.$4,536 B.$7,560 C.$5,860 D.$5,670

Find out how to calculate the income tax for an annual income of $37,800 with a 12% tax rate. This step-by-step solution covers percentage calculations, including multiplication of income by the tax rate. Suitable for students in Grades 6-8.

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