following table shows the marginal tax rate under tax systems A and B.Tax System A Marginal Tax RateTax System B Marginal Tax RateIncome Range0- $20,000$20,001 - $40,000$40,001 - $80,000$80,001 - $200,000> $200,0000%20%28%35%35%5%15%30%50%80%der Tax System A, the average tax rate for an income level of $100,000 isA 222%OB. 28%OC. 20.75%.OD. 35%

Average tax rate is the share of income a tax payer pay in taxes. A taxpayer's marginal tax rate is…

Tax System A Marginal Tax Rate Tax Sy Income Range 0- $20,000 $20,001-$40,000 $40,001 - $80,000 $80,001 - $200.000 > $200,000 0% 20% 28% 35% 35% r Tax System A, the average tax rate for an income level of $100,000 is A 222% OB 28% OC. 20.75%. 00 35%

Tax System A Marginal Tax Rate Tax Sy Income Range 0- $20,000 $20,001-$40,000 $40,001 - $80,000 $80,001 - $200.000 > $200,000 0% 20% 28% 35% 35% r Tax System A, the average tax rate for an income level of $100,000 is A 222% OB 28% OC. 20.75%. 00 35%

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

100%

following table shows the marginal tax rate under tax systems A and B.
Tax System A Marginal Tax Rate
Tax System B Marginal Tax Rate
Income Range
0- $20,000
$20,001 - $40,000
$40,001 - $80,000
$80,001 - $200,000
> $200,000
0%
20%
28%
35%
35%
5%
15%
30%
50%
80%
der Tax System A, the average tax rate for an income level of $100,000 is
A 222%
OB. 28%
OC. 20.75%.
OD. 35%

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