Assume that in year 1 your average tax rate is 20 percent on a taxable income of $20,000. If the marginal tax rate on the next $10,000 of taxable income is 30 percent, what will be the average tax rate if your taxable income rises to $30,000?
A. 7 percent.
B. 30 percent.
C. About 16 percent.
D. About 23 percent.
Answer: D
You might also like to view...
A ________ is a complete plan describing how a player will act
A) strategy B) payoff C) hypothesis D) policy
Suppose you transfer $1,000 from your checking account to your savings account. How does this action affect the M1 and M2 money supplies?
A. M1 and M2 are both unchanged. B. M1 falls by $1,000, and M2 rises by $1,000. C. M1 is unchanged, and M2 rises by $1,000. D. M1 falls by $1,000, and M2 is unchanged.
The domestic demand and supply for sugar are Qd = 40,000 ? 200P and QSD = 10,000 + 300P. The foreign supply is QSF = 20,000 + 100P. What is the total supply of sugar in the domestic market?
A. Q = 15,000 + 200P B. Q = 10,000 + 300P C. Q = 50,000 + 100P D. Q = 30,000 + 400P
You can find the MRP by multiplying marginal physical product by price for
A. both the perfect competitor and the imperfect competitor. B. neither the perfect competitor nor the imperfect competitor. C. only the perfect competitor. D. only the imperfect competitor.