gmat prep question

[yvonne12]

before being simplified, the instructions for computing income tax in country R were to add 2 percetn of one's annual income to the average of 100 units of country's R's currency and 1 percent of one's annual income. Which of the following represents the simplified formula for computing the income tax, in country's R's currency, for a person in that country whose annual income is I?

sorry I forgot to right down the answers and exited the GMAT without saving.

could anyone work this problem?

[jayhawk2001]

2%I + (100 + 1%I)/2
= 2I/100 + 50 + I/200
= 50 + I/40

[Cybermusings]

Jay...could you clarify this....I am slightly confused about the equation

[jayhawk2001]

Jay...could you clarify this....I am slightly confused about the equation

Here's the question in all its glory ...

before being simplified, the instructions for computing income tax in country R were to add 2 percetn of one's annual income to the average of 100 units of country's R's currency and 1 percent of one's annual income. Which of the following represents the simplified formula for computing the income tax, in country's R's currency, for a person in that country whose annual income is I?

The second part is average of 100 units of R's currency and 1% income,
which boils down to (100 + 1%I)/2

The first part is 2% of I

Hence total = 2%I + (100 + 1%I)/2
= 2I/100 + 100/2 + I/200
= 50 + 5I/200
= 50 + I/40