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Ms. Benoit is a self-employed architect who earns $205,000 annual taxable income. For the past several years, her tax rate on this income has been 35 percent. Because of recent tax law changes, Ms. Benoit's tax rate for next year will decrease to 25 percent. Required: a. Based on a static forecast, how much less revenue will the government collect from Ms. Benoit next year? b. How much less tax revenue will the government collect from Ms. Benoit next year if Ms. Benoit responds to the rate decrease by working more hours and earning $280,000 taxable income? c. How much less tax revenue will the government collect from Ms. Benoit next year if Ms. Benoit responds to the rate decrease by working fewer hours and earning only $180,000 taxable income? Complete this question by entering your answers in the tabs below. Required A Required B Required C Based on a static forecast, how much less revenue will the government collect from Ms. Benoit next year? Decrease in revenue Required A Required B >

Ms. Benoit is a self-employed architect who earns $205,000 annual taxable income. For the past several years, her tax rate on this income has been 35 percent. Because of recent tax law changes, Ms. Benoit's tax rate for next year will decrease to 25 percent. Required: a. Based on a static forecast, how much less revenue will the government collect from Ms. Benoit next year? b. How much less tax revenue will the government collect from Ms. Benoit next year if Ms. Benoit responds to the rate decrease by working more hours and earning $280,000 taxable income? c. How much less tax revenue will the government collect from Ms. Benoit next year if Ms. Benoit responds to the rate decrease by working fewer hours and earning only $180,000 taxable income? Complete this question by entering your answers in the tabs below. Required A Required B Required C Based on a static forecast, how much less revenue will the government collect from Ms. Benoit next year? Decrease in revenue Required A Required B >

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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Ms. Benoit is a self-employed architect who earns $205,000 annual taxable income. For the past several years, her tax rate on this income has been 35 percent. Because of recent tax law changes, Ms. Benoit's tax rate for next year will decrease to 25 percent. Required: a. Based on a static forecast, how much less revenue will the government collect from Ms. Benoit next year? b. How much less tax revenue will the government collect from Ms. Benoit next year if Ms. Benoit responds to the rate decrease by working more hours and earning $280,000 taxable income? c. How much less tax revenue will the government collect from Ms. Benoit next year if Ms. Benoit responds to the rate decrease by working fewer hours and earning only $180,000 taxable income? Complete this question by entering your answers in the tabs below. Required A Required B Required C How much less revenue will the government collect from Ms. Benoit next year if she responds to the rate decrease by working more hours and earning $280,000 taxable income? Decrease in revenue < Required A Required C Ms. Benoit is a self-employed architect who earns $205,000 annual taxable income. For the past several years, her tax rate on this income has been 35 percent. Because of recent tax law changes, Ms. Benoit's tax rate for next year will decrease to 25 percent. Required: a. Based on a static forecast, how much less revenue will the government collect from Ms. Benoit next year? b. How much less tax revenue will the government collect from Ms. Benoit next year if Ms. Benoit responds to the rate decrease by working more hours and earning $280,000 taxable income? c. How much less tax revenue will the government collect from Ms. Benoit next year if Ms. Benoit responds to the rate decrease by working fewer hours and earning only $180,000 taxable income? Complete this question by entering your answers in the tabs below. Required A Required B Required C How much less revenue will the government collect from Ms. Benoit next year if she responds to the rate decrease by working fewer hours and earning only $180,000 taxable income? Decrease in revenue < Required B Required C >
Transcribed Image Text:Ms. Benoit is a self-employed architect who earns $205,000 annual taxable income. For the past several years, her tax rate on this income has been 35 percent. Because of recent tax law changes, Ms. Benoit's tax rate for next year will decrease to 25 percent. Required: a. Based on a static forecast, how much less revenue will the government collect from Ms. Benoit next year? b. How much less tax revenue will the government collect from Ms. Benoit next year if Ms. Benoit responds to the rate decrease by working more hours and earning $280,000 taxable income? c. How much less tax revenue will the government collect from Ms. Benoit next year if Ms. Benoit responds to the rate decrease by working fewer hours and earning only $180,000 taxable income? Complete this question by entering your answers in the tabs below. Required A Required B Required C How much less revenue will the government collect from Ms. Benoit next year if she responds to the rate decrease by working more hours and earning $280,000 taxable income? Decrease in revenue < Required A Required C Ms. Benoit is a self-employed architect who earns $205,000 annual taxable income. For the past several years, her tax rate on this income has been 35 percent. Because of recent tax law changes, Ms. Benoit's tax rate for next year will decrease to 25 percent. Required: a. Based on a static forecast, how much less revenue will the government collect from Ms. Benoit next year? b. How much less tax revenue will the government collect from Ms. Benoit next year if Ms. Benoit responds to the rate decrease by working more hours and earning $280,000 taxable income? c. How much less tax revenue will the government collect from Ms. Benoit next year if Ms. Benoit responds to the rate decrease by working fewer hours and earning only $180,000 taxable income? Complete this question by entering your answers in the tabs below. Required A Required B Required C How much less revenue will the government collect from Ms. Benoit next year if she responds to the rate decrease by working fewer hours and earning only $180,000 taxable income? Decrease in revenue < Required B Required C >
bok int rences IW Ms. Benoit is a self-employed architect who earns $205,000 annual taxable income. For the past several years, her tax rate on this income has been 35 percent. Because of recent tax law changes, Ms. Benoit's tax rate for next year will decrease to 25 percent. Required: a. Based on a static forecast, how much less revenue will the government collect from Ms. Benoit next year? b. How much less tax revenue will the government collect from Ms. Benoit next year if Ms. Benoit responds to the rate decrease by working more hours and earning $280,000 taxable income? c. How much less tax revenue will the government collect from Ms. Benoit next year if Ms. Benoit responds to the rate decrease by working fewer hours and earning only $180,000 taxable income? Complete this question by entering your answers in the tabs below. Required C Based on a static forecast, how much less revenue will the government collect from Ms. Benoit next year? Decrease in revenue Required A Required B Required A < Prev Required B > 16 of 22 Next >
Transcribed Image Text:bok int rences IW Ms. Benoit is a self-employed architect who earns $205,000 annual taxable income. For the past several years, her tax rate on this income has been 35 percent. Because of recent tax law changes, Ms. Benoit's tax rate for next year will decrease to 25 percent. Required: a. Based on a static forecast, how much less revenue will the government collect from Ms. Benoit next year? b. How much less tax revenue will the government collect from Ms. Benoit next year if Ms. Benoit responds to the rate decrease by working more hours and earning $280,000 taxable income? c. How much less tax revenue will the government collect from Ms. Benoit next year if Ms. Benoit responds to the rate decrease by working fewer hours and earning only $180,000 taxable income? Complete this question by entering your answers in the tabs below. Required C Based on a static forecast, how much less revenue will the government collect from Ms. Benoit next year? Decrease in revenue Required A Required B Required A < Prev Required B > 16 of 22 Next >
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