Financial Algebra help!!

Aidan is paying his taxes and realizes that he was in the first tax bracket (10%) last year. Eleven years ago, he bought a common stock for $705. The same stock was sold last year for $947. During the same year, he earned $565 in dividends and $780 in coupons on a corporate bond. What will Aidan pay in taxes for last year’s investments?
$78.00

$84.75

$162.75

$199.05

(Chart is being attached!)

Question

Financial Algebra help!!

Aidan is paying his taxes and realizes that he was in the first tax bracket (10%) last year. Eleven years ago, he bought a common stock for $705. The same stock was sold last year for $947. During the same year, he earned $565 in dividends and $780 in coupons on a corporate bond. What will Aidan pay in taxes for last year’s investments?
 $78.00

 $84.75

 $162.75

 $199.05

(Chart is being attached!)

anonymous · Answer

attachment

anonymous · Answer

@ganeshie8 ?

ganeshie8 · Answer

First tax bracket : you don't have to pay tax on dividends

anonymous · Answer

So, would I just add up all of the costs to get the net worth?

ganeshie8 · Answer

` During the same year, he earned $565 in dividends `

you dont have to pay tax on this

anonymous · Answer

Woops! sorry! I was looking at the next question on my review exam! My bad!

ganeshie8 · Answer

`Eleven years ago, he bought a common stock for $705. The same stock was sold last year for $947.`

since this a long term investment on stocks (11 years), you dont have to pay tax on this either

anonymous · Answer

Okay, so far that makes sense

ganeshie8 · Answer

` $780 in coupons on a corporate bond`

only taxable income is this

ganeshie8 · Answer

since he was in 10% bracket last year, simply take 10% of 780

anonymous · Answer

would that be 78?

ganeshie8 · Answer

yep thats all he needs to pay

anonymous · Answer

Sweet! Thank you so much!

ganeshie8 · Answer

u wlc ^_^

anonymous · Answer

Mind helping me with another one? @ganeshie8