Math

Station City has a total assessed valuation of $200,000,000. The budget of the city is $5,000,000. What is the tax rate?

2.5

Property in Wells County is assessed at $240,000,000. The taxes to be raised are $11,640,000. What is the tax rate?

4.9

Tammy Harris, a young mother, is twenty-four years old. She wishes to purchase $10,000 of a ten-year term insurance. What will be her annual premium?

40.20

Samantha Smith purchased a $50,000 policy for $1,050 per year. After ten years, what will be the ratio (percentage) of cash value to premiums paid?

42.4

Mary Hernandez had a policy with a $250 deductible which paid 80% of her covered charges less deductible. She had medical expenses of $18,240.00.

a. the insurance company's payment = $14,392 $18240 - $250 = 17990 x 80% = $14,392 b. the 20% copayment 17990 * 20% = $3598 c. Mary's total cost $250 + $3598 = $3848

Endowment life insurance is the expensive type of life insurance to purchase.

most

James Harmon pays $850.80 per year for his life insurance. If Mr. Harmon were to pay the premiums quarterly, the payments would be $221.21. What percentage more is Mr. Harmon paying for the year using the quarterly rate?

$850.80 for 12 months $76.57 for 1 month 76.57 x 12 = $918.84 918.84 / 850.80 = 1.079 1.079 = 107.9% He is paying 7.9% more at the monthly rate

James Harmon pays $850.80 per year for his life insurance. If he were to pay semiannually, each premium would be $433.91. What percentage more would James paying for the year using the semiannual rate?

1. 433.91 x 2 = 867.82 which is 17.02 more than 850.80. So make the proportion p/100 = part amount / original total p/100 = 17.02 / 850.50 Cross multiply 850.50p = 17.02 • 100 = 1702 so p = 1702 ÷ 850.50 = 2.0 %

Adam Smith is thirty-seven. He is purchasing twenty-year endowment insurance, with a face value of $25,000. What is his annual premium?

1104.75

Carl's property is assessed at $8,500. The property tax rate in his city is 1.35%. What is Carl's property tax?

114.75

Janet lives in Centralville, where the tax rate is 3.2%. Her property is assessed at $42,000. What is her tax?

1344.00

Marie Stevens' health insurance premium is $300.00 a quarter. Her employer covers 50% of this premium. What is Marie's cost?

150.00

Ed Employee has weekly earnings of $544.00, and he claims 2 deductions. How much tax is withheld?

17.56

Choose the correct answers. Jane Dilford gets a student rate of $30.00 a month for health insurance. There is a $250 deductible. She recently received treatment for a covered condition. The bill was $2,550.00 Jane's insurance company provided payment of 80% of the bill less the deductible. What was the company's payment? $ What was Jane's total cost (not including monthly premium)?

1840.00, 710.00

James Harmon pays $850.80 per year for his life insurance. If he were to pay semiannually, each premium would be $433.91. What percentage more would James paying for the year using the semiannual rate?

2.0%

The premium listed in the table for a certain kind of insurance is $5.07. $40,000 worth of this kind of insurance would cost how much?

202.80

Keith Jones purchased a $70,000 policy. At the fifth anniversary what would be the cash value of his policy?

2100

Willie Worker's property is assessed at $117,500. The property tax rate in his city is 1.9%. How much is Willie's property tax?

2232.50

Tim Worker is checking his earnings statement. His weekly earnings are $420.00. If he claims no exemptions, how much tax is withheld?

23.23

Centralton needs to have an income of $2,560,000. The total property is valued for taxation at $80,000,000. What is the tax rate?

3.2

Jim Tree's property is assessed at $105,700. The property tax rate in his city is 3.1%. How much is Willie's property tax?

3276.70

Milt Freedman was born on September 25, 1960. On April 15, 1997, he purchased a $15,000 ten-year term life insurance policy. a. What was his age for insurance purposes? 37 a0 years b. What was the annual premium he paid? $

37, 101.40

Dave is 39 years old and want to buy $15,000 in 10-Year Term. Looking at the chart his Annual Premium will be 7.53 per thousand. To find his other premiums look at the Notes at the bottom of the chart. Semiannual costs 51% of the annual premium. I have to find 51% of 7.53, (7.53*0.51=3.84) Then I take that amount and multiply it by the number of thousands (15) 3.84*15=57.60. So Dave's semiannual premium would be $57.60. For the quarterly I have to find 26% of the annual (7.53*0.26) Then multiply that by 15. For the monthly I take 9% of the annual 7.53 (7.53*0.09) then multiply by 15.

42.34

Fred Johnson's total insurance premium is $1,200. His employer pays 60% of the total premium. How much does Fred pay?

480

The assessed value of property in Enterprise County is $186,000,000. The county supervisors feel the county needs $9,525,000 in revenue. What is the tax rate (to 0.1 of a percent)?

5.1

Shirley Smith's total insurance premium is $1,050. His employer pays 50% of the total premium. How much does Shirley pay?

525

Jack King pays a $496.00 premium annually. This represents 40% of the total premium. The rest of the premium is paid by his employer.

60% multiply by 2.5 $1,240.00 multiply by 1.5 $744.00

John Maynord pays a $566.00 annual insurance premium. This represents 40% of the total premium. The rest of the premium is paid by his employer. Calculate: a. the company's percentage 60 a0% b. the total premium $ 1415 a1 c. the company's payment $

60, 1415, 849

Jim Planter purchased a $50,000 whole life policy. He is 25. What is his annual premium?

622.00

Ross Allen has $40,000 of twenty-payment life. If he is forty-six years old, what premiums will he pay?

766.02, 390.52, 135.18

James Harmon pays $850.80 per year for his life insurance. If Mr. Harmon were to pay the premiums monthly, the payments would be $76.57. What percentage more is Mr. Harmon paying for the year using the monthly rate?

8.0

Jim Planter purchased a $50,000 whole life policy. He is 25. What is his annual premium?

Given: Jim Planter - male, 25 y.o. 50,000 whole life policy. Table: per 1,000 face value Age 25 ; Ordinary whole life = 12.44 50,000/1,000 = 50 Divide the total face value by 1,000 50 x 12.44 = 622 multiply the quotient by the rate given in the table that corresponds to the correct criteria. Jim Planter's annual premium is $622.

William Right broke his leg in an accidental fall. He has a deductible of $250 and a coinsurance payment equal to 20% percent of the cost less the deductible. The entire bill for medical services was $750.00.

How much did William pay? 350 How much did the insurance company pay? 400

Use the chart above to determine the premium for 10 year term insurance. $20,000 policy for a 45 year old male.

I'm not sure how you got 36.51. What you needed to do was look at the chart for his age group, 45. Then look at the 10 year term column for his premium for 1,000$. This is $11.16. Since he is buying 20,000$ the premium needs to be multiplied by 20. because there are 20 - 1,000s in 20,000. 11.16*20=$223.30

Complete the table below. Mary Hernandez earned $43,000 in taxable income. She figured her tax from the single taxpayer table above. 1. Find her earned income level. 2. Entered the base amount. = $ 3862.50 a0 3. Found the amount over $ 25750 a1 = $ 5250.00 a2 4. Multiplied line 3 by 28% = $ 1470.00 a3 5. Added Lines 2 and 4 = $ 5332.50 a4

Oh my goodness I am so sorry! I told you the wrong thing yesterday. a2 should be the amount that her earned income is over 25750. So let me walk you through this again correctly. First you look at the earned income, and then look at the chart on the left to find the range that it falls between. So in this case 43000 is between the 25750 and 62450. Which means that the base tax amount of 3862.50 (following the table over). What this means is that anyone making between 25750 and 62450 has to pay 3862.50 in taxes no matter what. But it wouldn't be fair for someone who makes 60,000 to pay the same amount as someone who makes 30,000 even though those are in the same range. So that is where the % and the last 2 columns of the chart come in. If someone makes over 25,750 they have to pay 28% taxes on all their earnings over the 25750 amount. So in this case, since Mary earned over 25,750 she has to pay 28% on the amount over that she earned. 43,000-25,750=17,250. She still owes 28% tax on $17,250. Find 28% = 0.28*17250=4830. She has to pay an additional 4830 in taxes. So her total tax amount is 4830+3862.50=8692.50.

Which of the following are true of ordinary whole-life insurance policies?

Premiums on this type of insurance are paid until death of the insured. Ordinary whole life insurance has some value as an investment.

Use the chart above to determine the premium for 10 year term insurance. $25,000 policy for a 45 year old female.

Since this is for a female, the bottom of the chart sates that females use the age of a male 3 years younger. So you need to look at the chart for a 42 yr old. That premium is 9.08 for $1000. Now multiply by 25 = 9.08*25=227.00

James Harmon pays $850.80 per year for his life insurance. If Mr. Harmon were to pay the premiums quarterly, the payments would be $221.21. What percentage more is Mr. Harmon paying for the year using the quarterly rate?

So let me just make sure you are understanding how to do it. Quarterly means that he is paying 4 times a year. So 221.21*4 = 884.84 is what he is actually paying every year when he pays quarterly. If he were to pay only one time a year he pays only 850.80. Find the difference between the amounts. 884.84-850.80=34.04. We want to know what percent more than than the annual rate so we find the percentage that 34.04 is of 850.50/ 34.04/850.50=4.0%

Tim Worker estimates his taxable income will be $19,000. He is paid twice a month or 24 times a year. Because Tim has only one source of income, he uses the Tax Tables to estimate how much will be deducted from his pay for withholding.

Some people like to estimate how much they will be paying in taxes so they can have a better idea of how much their paychecks will be. That is kind of this situation. Tim knows that at the end of the year he will have made about 19,000 so he wants to figure out how much will be taken out of each paycheck for taxes. First, start by looking for the range that his total income falls in. You were correct with the 15%. Since he only has to pay 15% on his income, there is not base amount. His tax amount owed will simply be 15% of his 19,000, which is 0.15*19000= 2850. Next he wants to know how much that 2850 will be for each of his paychecks. He gets paid 24 times a year, so a3 is 24. Divide 2850/24=118.75. He will pay approximately 118.75 per paycheck in taxes.

The income tax is a graduated tax. This means there is only one level or rate

The income tax is a graduated tax. This means there is only one level or rate.

Tim Worker had a taxable income of $78,000. He figured his tax from the table above.

a1 would be 62450. But I told you wrong yesterday so a2, 4 and 5 are still wrong. Read my message on #7 hopefully it clears things up. I'm sorry for my slip up yesterday. Even teachers make mistakes sometimes we are human too :)

The government makes tax forms available at:

all but grocery stores

All hospitalization policies have very similar costs and benefits.

false

All insurance policies have a cash or loan value.

false

All states have an income tax.

false

Fire insurance is purchased to protect your property in case someone slips or falls and injures himself.

false

For term life insurance, at the end of the term, insurance ceases and the policy is worth its face value.

false

Homeowners insurance protects a homeowner against injury to other people on his property.

false

If a person purchases a twenty-year endowment insurance policy and pays on it for twenty years, at the end of that time he may collect a value based upon his age.

false

In 1999, there was no limit on the amount of earnings subject to the Social Security tax.

false

Temporary insurance cannot be purchased to cover single events like a church picnic.

false

Term insurance has value as an investment.

false

The federal government generally taxes real property.

false

The income tax is a graduated tax. This means there is only one level or rate.

false

The most usual time period for limited payment life insurance is five or ten years.

false

Whole life insurance does not have a cash value for the insured.

false

You do not need to be concerned if there are limits on what a company will pay for a service of medical or dental procedures.

false

Based on the graph above, where does the largest single component of a worker's pay go?

federal taxes

Homeowners insurance covers loss of a home caused by which of the following:

fire, natural disaster

John Worker had $31,000 in taxable income. What was his tax?

not 1470.00

Ed Employee had $70,000 in taxable income. What was his tax?

not 2340.50

pay 7.65% of their taxable income to Social Security.

not all workers

Malpractice insurance is carried by doctors and lawyers to them from lawsuits.

protect

The least expensive type of life insurance is:

term

Accidents and illness can disrupt income, use up savings, and even put you in debt.

true

At the end of the year, the employee will receive a statement, called a W-2 Form, showing his total earnings and the total federal income tax deducted.

true

Both the employee and the employer contribute to the F.I.C.A. fund and to the Medicare program.

true

Endowment life insurance is insurance with savings built in.

true

For term life insurance, premiums are paid throughout the term.

true

Form 1040EZ is used by individuals who do not claim a lot of deductions.

true

If someone slips on your sidewalk, your liability insurance will often cover his medical expenses.

true

Liability insurance protects a homeowner against injury to other people on his property.

true

Limited payment life insurance covers the insured for life, but he only has to pay on it for a certain number of years.

true

Some group insurance plans cover ordinary doctor visits and dental work.

true

Taxes are what the government levies upon us to obtain the money needed to operate.

true

Temporary insurance can be purchased to cover single events like a church picnic.

true

Term insurance covers the insured for the stated term of the policy.

true

Term insurance provides inexpensive life insurance with no savings feature.

true

The amount of tax withheld generally depends on the level of income and the number of exemptions claimed.

true

The cash value of an insurance policy is a function of the face value of the policy and the length of time the policy is in force.

true

The letters F.I.C.A. stand for the Federal Insurance Compensation Act.

true

The text considers hunting licenses a form of tax.

true

Typically, a worker pays more in federal and state taxes than he does for housing.

true

When a person purchases homeowners insurance on the contents of his home, he is often required to make a careful inventory of the things he owns.

true

Whole-life insurance has a cash value for the insured person if he decides to stop paying premiums and cash the policy in.

true