The table below describes three tax systems (A, B, and C) for three income levels.Tax system ATax system BTax system CIncomeAmount of Tax Percent of Income Amount of Tax Percent of Income Amount of Tax Percent of Income20,000 $50,000100,000 S$.3,0005,00015%15%15%30,00015,00010,000a. Fill in the blanks in the table and, for each tax system, explain whether it isprogressive, regressive or proportional.b. Which of these three tax systems can be considered as equitable?

(a) Tax System A:i) Percentage of income= 2,00020,000×100=10%ii) Percentage of…

The table below describes three tax systems (A, B, and C) for three income levels. Tax system A Tax system B Tax system C Income Amount of Tax Percent of Income Amount of Tax Percet of Income Amount of Tax Percent of Income 20,000 $ 50,000 100,000 S 30,000 2,000 24 3,000 5,000 15% 15% 15% $ 15,000 10,000 a. Fill in the blanks in the table and, for each tax system, explain whether it is progressive, regressive or proportional. b. Which of these three tax systems can be considered as equitable?

The table below describes three tax systems (A, B, and C) for three income levels. Tax system A Tax system B Tax system C Income Amount of Tax Percent of Income Amount of Tax Percet of Income Amount of Tax Percent of Income 20,000 $ 50,000 100,000 S 30,000 2,000 24 3,000 5,000 15% 15% 15% $ 15,000 10,000 a. Fill in the blanks in the table and, for each tax system, explain whether it is progressive, regressive or proportional. b. Which of these three tax systems can be considered as equitable?

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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