Compute the tax rates for the three taxpayers shown in Table 33.1. Then use the table to answer the indicated question.TaxpayerIncome (Dollars)Taxable Income (Dollars)Taxes Paid (Dollars)Effective Tax Rate(Percent)Nominal Tax Rate(Percent)1$200,000$100,000$6,000________%________%2100,00080,0008,000________%________%360,00048,00012,000________%________%In Table 33.1, the nominal tax rate for taxpayer 2 is
A. 8.0 percent.
B. 12.5 percent.
C. 25.0 percent.
D. 10.0 percent.
Answer: D
You might also like to view...
Which of the following statements is true of the U.S. economy in 2014, as per the records of the BLS?
A) Number of unemployed workers > number of adults out of the workforce > number of employed workers B) Number of employed workers > number of adults out of the workforce > number of unemployed workers C) Number of unemployed workers > number of employed workers > number of adults out of the labor force D) Number of employed workers > number of unemployed workers > number of adults out of the labor force
The Firefox, Safari, and Opera browsers are an example of ________
A) products produced in monopoly industries B) products produced in perfectly competitive industries C) product differentiation D) homogeneous products
Barbara owns a small shop where dresses are made. At the end of a given month, she has 250 dresses. Her expenses for the month are $1,000 for rent, $6,000 for wages, $1,500 for fabric and thread, and $500 for electricity. Her total variable cost for the month is
a. $6000 b. $4,000 c. $32 per dress d. $7,500 e. $8,000
Given the bias in the CPI, if it is used as a cost of living index, incomes that are adjusted to reflect the changes in the CPI will
A) Appear to be smaller than the actual change in the cost of living. B) Appear to be larger than the actual change in the cost of living. C) Increase by more than the actual change in quantities. D) Decrease by more than the actual change in quantities.