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3. Examine the tax schedule for the years 1914 and 2009 The schedule in 1914 applied to all taxpayers. The schedule for 2009 is for a single taxpayer, Marginal Tax Rate is the rate of tax a taxpayer pays at his/her income level! Marginal Tax Rate 1.0% 2.0% 3.0% 4.0% 5.0% 6.0% 7.0% Over 1914 Tax Brackets SO $20,000 $50,000 $75,000 $100,000 $250,000 $500,000 But not over $20,000 $50,000 $75,000 $100,000 $250,000 $500,000 Marginal Tax Rate 10.0% 15.0% 25.0% 28.0% 33.0% 35.0% Over 2009 Tax Brackets But not over $0 $8,375 $34,000 $82,400 $171,850 $373,650 $8,375 $34,000 $82,400 $171,850 $373,650 a. What was the marginal tax rate for a taxpayer with a taxable income of $25,000 in 1914? b. What was the marginal tax rate for a taxpayer with a taxable income of $25,000 in 2009? c. Based on the marginal tax rate, find the difference in tax between a single taxpayer 1914 making $25,000 and a single taxpayer in 2009 making the same amount.

3. Examine the tax schedule for the years 1914 and 2009 The schedule in 1914 applied to all taxpayers. The schedule for 2009 is for a single taxpayer, Marginal Tax Rate is the rate of tax a taxpayer pays at his/her income level! Marginal Tax Rate 1.0% 2.0% 3.0% 4.0% 5.0% 6.0% 7.0% Over 1914 Tax Brackets SO $20,000 $50,000 $75,000 $100,000 $250,000 $500,000 But not over $20,000 $50,000 $75,000 $100,000 $250,000 $500,000 Marginal Tax Rate 10.0% 15.0% 25.0% 28.0% 33.0% 35.0% Over 2009 Tax Brackets But not over $0 $8,375 $34,000 $82,400 $171,850 $373,650 $8,375 $34,000 $82,400 $171,850 $373,650 a. What was the marginal tax rate for a taxpayer with a taxable income of $25,000 in 1914? b. What was the marginal tax rate for a taxpayer with a taxable income of $25,000 in 2009? c. Based on the marginal tax rate, find the difference in tax between a single taxpayer 1914 making $25,000 and a single taxpayer in 2009 making the same amount.

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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This is for financial mathhh please helpp
r f 3. Examine the tax schedule for the years 1914 and 2009. The schedule in 1914 applied to all taxpayers. The schedule for 2009 is for a single taxpayer, Marginal Tax Rate is the rate of tax a taxpayer pays at his/her income level. Marginal Tax Rate 1.0% 2.0% 3.0% 4.0% 5.0% 6.0% 7.0% Over 1914 Tax Brackets SO $20,000 $50,000 $75,000 $100,000 $250,000 $500,000 But not over $20,000 $50,000 $75,000 $100,000 $250,000 $500,000 Marginal Tax Rate 10.0% 15.0% 25.0% 28.0% 33.0% 35.0% Over 2009 Tax Brackets But not over $8,375 $34,000 $82,400 $171,850 $373,650 $0 $8,375 $34,000 $82,400 $171,850 $373,650 a. What was the marginal tax rate for a taxpayer with a taxable income of $25,000 in 1914? b. What was the marginal tax rate for a taxpayer with a taxable income of $25,000 in 2009? c. Based on the marginal tax rate, find the difference in tax between a single taxpayer in 1914 making $25,000 and a single taxpayer in 2009 making the same amount.
Transcribed Image Text:r f 3. Examine the tax schedule for the years 1914 and 2009. The schedule in 1914 applied to all taxpayers. The schedule for 2009 is for a single taxpayer, Marginal Tax Rate is the rate of tax a taxpayer pays at his/her income level. Marginal Tax Rate 1.0% 2.0% 3.0% 4.0% 5.0% 6.0% 7.0% Over 1914 Tax Brackets SO $20,000 $50,000 $75,000 $100,000 $250,000 $500,000 But not over $20,000 $50,000 $75,000 $100,000 $250,000 $500,000 Marginal Tax Rate 10.0% 15.0% 25.0% 28.0% 33.0% 35.0% Over 2009 Tax Brackets But not over $8,375 $34,000 $82,400 $171,850 $373,650 $0 $8,375 $34,000 $82,400 $171,850 $373,650 a. What was the marginal tax rate for a taxpayer with a taxable income of $25,000 in 1914? b. What was the marginal tax rate for a taxpayer with a taxable income of $25,000 in 2009? c. Based on the marginal tax rate, find the difference in tax between a single taxpayer in 1914 making $25,000 and a single taxpayer in 2009 making the same amount.
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