Post Utme Unn 2022 Economics Question 31

The government of a country has decided to implement a new tax policy to reduce income inequality. The policy involves a progressive tax system where the tax rate increases as the income level increases. However, the tax rate is not uniform across all income levels. Instead, it is divided into three brackets: 10% for income levels up to ₦500,000, 20% for income levels between ₦500,001 and ₦1,000,000, and 30% for income levels above ₦1,000,000. If a person has an income of ₦1,200,000, how much tax will they pay under this policy?