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Guy is self-employed. In one year, Guy generates a gross income of $ 44 , 500 . When calculating his taxes, Guy is allowed to
Guy is self-employed. In one year, Guy generates a gross income of $ 44 , 500 . When calculating his taxes, Guy is allowed to deduct $ 2 , 500 in expenses from his gross income (the result is his 'operating income'). Guy must then pay 10 % tax on all operating income up to $ 20 , 000 and then 20 % on any operating income over $ 20 , 000 . Calculate the amount of tax that Guy must pay. Round your answer to the nearest dollar
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