Use the Following Formula to Answer the Indicated Question: Welfare

Multiple Choice

Use the following formula to answer the indicated question: Welfare benefit = Maximum benefit - 0.7 [Wages - (Work expenses + Child care costs) ] Suppose Miller works 2,000 hours per year at a wage of $8 per hour,has child care expenses of $3,000 per year,and has work expenses of $2,000.If the state maximum welfare benefit is $10,000 per year,based on the welfare formula given,Miller's welfare benefit will be

A) Zero because his income has exceeded the limit.
B) $2,300.
C) $10,000.
D) $14,400.