Suppose that Carson earns $80,000 per year. Now suppose that he must pay income taxes according to the tax schedule shown below. Income Tax Rate (%) $0 to $7,000 $7,001 to $33,000 $33,001 to $75,000 $75,001 to $142,000 10 15 25 30 Over $142,000 40 Instructions: Enter your answers rounded to the nearest whole number. a. According to the table, what type of income tax does Carson face? Progressive O b. Assume that Carson has no tax exemptions or deductions. How much in income taxes must Carson pay? $ 24,000 * What is Carson's marginal tax rate? 30 percent What is his average tax rate? 20 O percent
Suppose that Carson earns $80,000 per year. Now suppose that he must pay income taxes according to the tax schedule shown below. Income Tax Rate (%) $0 to $7,000 $7,001 to $33,000 $33,001 to $75,000 $75,001 to $142,000 10 15 25 30 Over $142,000 40 Instructions: Enter your answers rounded to the nearest whole number. a. According to the table, what type of income tax does Carson face? Progressive O b. Assume that Carson has no tax exemptions or deductions. How much in income taxes must Carson pay? $ 24,000 * What is Carson's marginal tax rate? 30 percent What is his average tax rate? 20 O percent
Fundamentals of Financial Management, Concise Edition (MindTap Course List)
9th Edition
ISBN:9781305635937
Author:Eugene F. Brigham, Joel F. Houston
Publisher:Eugene F. Brigham, Joel F. Houston
Chapter3: Financial Statements, Cash Flow, And Taxes
Section: Chapter Questions
Problem 8P: PERSONAL TAXES Susan and Stan Britton are a married couple who file a joint income tax return, where...
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