Melodie’s taxable income is $38,000 and she pays income tax of $4,370. If Melodie’s taxable income increases to $40,000, she would pay income taxes of $4,740. What is Melodie’s marginal tax rate? a. 14.66% b. 22.00% c. 18.50% d. 12.00% e. Some other amount

ECON MICRO
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ISBN:9781337000536
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Chapter3: Economic Decision Makers
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Melodie’s taxable income is $38,000 and she pays income tax of $4,370. If Melodie’s taxable income increases to $40,000, she would pay income taxes of $4,740. What is Melodie’s marginal tax rate?

a. 14.66%

b. 22.00%

c. 18.50%

d. 12.00%

e. Some other amount

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