A country used to have a tax rate of 20%. They raised it to 30%. In that same time frame, John went from making 1,000,000 a year to 1,500,000 a year. How much more does he pay in taxes now compared to then? Give me reasons, before answering the question
At 20% he paid .2 * 1000000 = $200,000. Now he pays 1500000 * .3 = $450,000. So he pays an extra 450000 - 200000 = $250000. So the final answer is 250000.