Use the following tax table to answer this question: Taxable Income $0-$50,000 50,001-75,000 75,001-100,000 100,001-335,000 335,001-100,000 Tax Rate 15% 25 34 39 34 The Holiday Inn earned $177, 284 in taxable income for the year. How much tax does the company owe on this income? a. $46, 311.02 b. $52, 390.76 c. $48, 490.76 d. $59,998.81

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter2: The Domestic And International Financial Marketplace
Section2.A: Taxes
Problem 3P
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100%
Use the following tax table to answer this question:
Taxable Income
$0-$50,000
50,001-75,000
75,001-100,000
100,001-335,000
335,001-100,000
Tax Rate
15%
25
34
39
34
The Holiday Inn earned $177, 284 in taxable income for the year. How
much tax does the company owe on this income?
a. $46, 311.02
b. $52, 390.76
c. $48, 490.76
d. $59,998.81
Transcribed Image Text:Use the following tax table to answer this question: Taxable Income $0-$50,000 50,001-75,000 75,001-100,000 100,001-335,000 335,001-100,000 Tax Rate 15% 25 34 39 34 The Holiday Inn earned $177, 284 in taxable income for the year. How much tax does the company owe on this income? a. $46, 311.02 b. $52, 390.76 c. $48, 490.76 d. $59,998.81
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