Examine the four different companies in the table, which shows their yearly income and their tax rate. Which type of taxation does this table best represent? Total income Tax rate Company A $50 million 10% Company B $100 million 12% Company C $150 million 15% Company D $200 million 20%

Examine the four different companies in the table, which shows their yearly income and their tax rate. Which type of taxation does this table best represent? Total income Tax rate Company A $50 million 10% Company B $100 million 12% Company C $150 million 15% Company D $200 million 20%

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

Examine the four different companies in the table, which shows their yearly
income and their tax rate. Which type of taxation does this table best
represent?
Total income
Tax rate
Company A
$50 million
10%
Company B
$100 million
12%
Company C
$150 million
15%
Company D
$200 million
20%

OA. Regressive
O B. Progressive
OC. Proportional
O D. Indirect

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