So first step is to find out how much the woman's salary is in 1989. We can do this by multiplying 0.15 (15% in decimal form) and $2,800 together, then adding that product by $2,800.
[tex] 2800*0.15= \$ 420\\ 2800+420= \$ 3220 [/tex]
The woman makes $3,220 in 1989.
To find how much tax she pays in 1989, just multiply 0.125 (12.5% in decimal form) and 3220 together:
[tex] 3220*0.125= \$ 402.50 [/tex]
In short, the woman paid $402.50 in tax in 1989.