Adrianna works as a purchasing manager at a trading firm and earns a salary of $60,000. She has deductions of $3,000 and tax credits of $5,000, and she pays an annual tax of $6,000. What is her annual disposable income?
Adrianna's salary $60,000
She has deductions of $3,000
Tax credits of $5,000
Annual tax of $6,000
What is her annual disposable income?
To solve, subtract all the deductions or money leaving her salary and add the credits she receives yearly.
$60,000 - $3,000 = $67,000
$57,000 + $5,000 = $62,000
$62,000 - $6,000 = $56,000
Adrianna's annual disposable income is $56,000.