Mark has to pay a state tax of 10% and a federal tax of 25% on the amount he receives from selling his house. What steps would he have to take to find all the taxes he will pay on the house he just sold for $250,000?
Answer: Mark needs to calculate the amount of state tax by multiplying 250,000 by 0.10, and the amount of federal tax by multiplying 250,000 by 0.25. He then can add the two tax amounts.
