Steve Forbes ran for U.S. president in 1996 and 2000 on a platform proposing a 17% flat tax, that is, an income tax that would simply be 17% of each tax payer's taxable income. Suppose that Joe was single in the year 2016 with a taxable income of $300,000. We learn that Joe actually made $600,000, but his taxable income was only $300,000 because of various deductions allowed by the system in 2016. Proponents of the flat tax say that many of these deductions should be eliminated, so the 17% flat tax should be applied to Joe's entire $600,000. How much more tax would Joe pay with a 17% flat tax than under the 2016 system? (Refer to the 2016 Tax Table for Singles for tax rates.)

2. You have a credit card with an APR of 24%. The card requires a minimum monthly payment of 5% of the balance. You have a balance of $7500. You stop charging and make only the minimum monthly payment. What is the balance on the card after eight years? (Round your answer to the nearest cent.) 3. You have a credit card with an APR of 20.8%. You begin with a balance of $1200, in response to which you make a payment of $250. The first month you make charges amounting to $550. You make a payment of $250 to reduce the new balance, and the second month you charge $750. Complete the following table. (Round your answers to the nearest cent.)

	Previous balance	Payments	Purchases	Finance charge	New balance
Month 1	$1200	$	$	$	$
Month 2	$	$	$	$	$

4. Assume that you have a balance of $5500 on your Discover credit card and that you make no more charges. Assume that Discover charges 24% APR and that each month you make only the minimum payment of 2.5% of the balance. Find a formula for the balance B after t monthly payments.

5. Assume that you have a balance of $7000 on your MasterCard and that you make no more charges. Assume that MasterCard charges 12% APR and that each month you make only the minimum payment of 5% of the balance. Find how many months it will take to bring the remaining balance down to $400. (Round your answer to the nearest whole number.) months