MATH

Here are some interesting statistics and demographics about the United States.

The National Debt =               $19,340,000,000,000

Total Federal Expenditures= $3,688,000,000,000

Total Federal Tax Revenue= $3,249,000,000,000

Treasury Bill 1 year rate=      0.64%

US Total Population=              325,000,000

% of pop. which pays taxes =       48%

Using Scientific notation answer the following questions:

1)      Using simple interest and the 1 year T-Bill rate calculate the interest incurred on the debt.

2)      What is amount added to the debt every year without regard to interest?

3)      What is the amount added to the debt every year including interest?

4)      What is the population that pays taxes?

5)      If the debt were divided evenly among the whole population, what would it be?

6)      If the debt were divided evenly among only the tax paying portion of the population what would it be?

7)      If the next president said they would like to pay off the national debt in 20 years (without regard to added interest) what would the Federal spending have to reduce to?

8)      What would be the percentage of the budget cut required? (i.e. what would be the % of the delta between what is being spent now, and what is spent while paying off the debt, assuming no growth in revenue or taxes over 20 years)?