Use the graph on the right to answer the following question. Alan earns $235,000 per year and is considering a second job that would earn him another $15,000 annually. At what rate will his tax liability (the amount he must pay in taxes) change if he takes the extra job? Express your answer in tax dollars paid per dollar earned. His tax liability will change by about $ per dollar earned. 50%- 40- 30- 20- 10- Marginal tax rate (percentage) 50 100 150 200 250 300 Annual income (in thousands of doll
Use the graph on the right to answer the following question. Alan earns $235,000 per year and is considering a second job that would earn him another $15,000 annually. At what rate will his tax liability (the amount he must pay in taxes) change if he takes the extra job? Express your answer in tax dollars paid per dollar earned. His tax liability will change by about $ per dollar earned. 50%- 40- 30- 20- 10- Marginal tax rate (percentage) 50 100 150 200 250 300 Annual income (in thousands of doll
Chapter1: Federal Income Taxation—an Overview
Section: Chapter Questions
Problem 78TPC: Bonnie is married and has one child. She owns Bonnies Rib Joint, which produces a taxable income of...
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Transcribed Image Text:Use the graph on the right to answer the following question. Alan earns $235,000 per year and is considering a
second job that would earn him another $15,000 annually. At what rate will his tax liability (the amount he must
pay in taxes) change if he takes the extra job? Express your answer in tax dollars paid per dollar earned.
His tax liability will change by about $ per dollar earned.
50%-
40-
30-
20-
10-
Marginal tax rate (percentage)
0
50 100 150 200 250 300
Annual income (in thousands of dollars
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