Use the marginal income tax rates shown here to calculate the average tax rate on an income of $200.000. Taxable Income $0-S8.700 $8.700-$35.350 $35.350-$85.65o $85.650-$178.650 $178.650-$388.350 Over $388.350 Tax rate 10% 15% 25% 28% 33% 35% Average tax rate on $200.000 of income is O 2526 0 30.50% NE O 35%
Use the marginal income tax rates shown here to calculate the average tax rate on an income of $200.000. Taxable Income $0-S8.700 $8.700-$35.350 $35.350-$85.65o $85.650-$178.650 $178.650-$388.350 Over $388.350 Tax rate 10% 15% 25% 28% 33% 35% Average tax rate on $200.000 of income is O 2526 0 30.50% NE O 35%
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Transcribed Image Text:Use the marginal income tax rates shown here to calculate the average tax rate on an
income of $200,000.
Taxable Income
$0-s8.700
$8,700-$35,350
$35,350-$85,650
$85,650-$178,650
$178,650-$388,350
Over $388.350
Тах гate
10%
15%
25%
28%
33%
35%
Average tax rate on $200,000 of income is
O 2526
O 30.50N
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