In a hypothetical economy, Shen earns $38,000, Valerie earns $76,000, and Antonio earns $114,000 in annual income. The following table shows the annual taxable income and tax liability for these three single individuals. For example, Shen, who earns $38,000, owes $12,540 in taxes. Use the tax liability figures provided to complete the following table by computing the average tax rate for Shen, Valerie, and Antonio with an annual income of $ 38,000, $76,000, and $114,000, respectively. Taxable Income Taxable by Liabilit x Date (Dollar allard rc
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- Suppose you are a typical person in the U.S. economy.You pay 4 percent of your income in a state incometax and 15.3 percent of your labor earnings in federalpayroll taxes (employer and employee sharescombined). You also pay federal income taxes as inTable 2 (p. 228). How much tax of each type do youpay if you earn $30,000 a year? Taking all taxes intoaccount, what are your average and marginal tax rates?What happens to your tax bill and to your average andmarginal tax rates if your income rises to $60,000?Suppose that a nation decides to introduce a new income tax system with the tax brackets shown in the table. Income range $0-$20,000 $20,001-S39,000 $39,001-$70,000 $70,001+ Tax rate 0% 31% AD% 50% Use the table to calculate the average tax rate and marginal tax rate for each of the families. Where applicable, round your answer to the nearest whole number Byrne family Income = $25,000 Average tax rate % Marginal tax rate Smith family Income -$48,000 Average tax rate % Marginal tax rate Washington family Income = $62,000 Average tax rate % Marginal tax rate: Lee family Income = $123,000 Average tax rate % Marginal tax rate:In a hypothetical economy, Clancy earns $37,000, Eileen earns $74,000, and Hubert earns $111,000 in annual income. The following table shows the annual taxable income and tax liability for these three single individuals. For example, Clancy, who earns $37,000, owes $9,250 in taxes. Use the tax liability figures provided to complete the following table by computing the average tax rate for Clancy, Eileen, and Hubert with an annual income of $37,000, $74,000, and $111,000, respectively. Taxable Income Tax Liability Average Tax Rate Taxable Income (Dollars) (Dollars) (Percent) Clancy 37,000 9,250 Eileen 74,000 11,100 Hubert 111,000 11,100 The income tax system for this country is
- Thelma's current income is $100,000 and she currently pays $30,000 in income tax.w Any income she earns above $100,000 is taxed at 40 percent. Which following correctly calculates her tax burden? the her average tax rate is 30 percent her marginal tax rate is 40 percent her average tax rate is 40 percent her marginal tax rate is 30 percent.Consider the following hypothetical income tax brackets for a married couple. Assume for simplicity there are no exemptions or deductions. Income $0-S20,000 Tax Rate 5% 30 $20,000-$50,000 $50,000-$100,000 Over $100,000 35 60 Suppose the couple's income is $60,000. What is the couple's marginal tax rate? The couple's marginal tax rate is O percent. (Enter your response as an integer.) What is their average tax rate? The couple's average tax rate is percent. (Enter your response as a real number rounded to one decimal place.)← → X VD C Calculate the income tax for a single person who has $81,396 of taxable income using the table below which shows the tax brackets for 2016 for single workers. TODE EQ Taxable Income $0 to $9,375 $9,376 to $37,550 $37,551 to $90,850 $90,851 to $189,500 $189,501 to $411,650 $411,651 to $414,500 $414,501 or more Answer to the nearest penny. Tax Rate 12% of amount over $0 $945 plus 16% of the amount over $9,375 $5,278 plus 26% of the amount over $37,550 $18,526 plus 29% of the amount over $90,850 $46,592 plus 34% of the amount over $189,500 $119,622 plus 36% of the amount over $411,650 $120,135 plus 40.2% of the amount over $414,500 hp
- Suppose the government implemented a negative income tax and used the following formula to compute a family's tax liability: Taxes owed = (1/4 of income) - $12,000 %3D A family earning $48,000 before taxes would have how much after-tax income? Select one: a. $48,000 b. $12,000 C. $0 d. $32,000Suppose that Darnell is preparing to file his taxes. He is single and currently lives in San Diego. Darnell earned $60,000 in taxable income in 2022. He reviews the following table, which shows the IRS tax rates for a single taxpayer in 2022. On Annual Taxable Income... Up to $10,275 From $10,275 to $41,775 From $41,775 to $89,075 From $89,075 to $170,050 From $170,050 to $215,950 From $215,950 to $539,900 Over $539,900 The Tax Rate Is... (Percent) 10.0 Darnell calculates that he owes 12.0 22.0 24.0 32.0 35.0 37.0 Based on the IRS table, Darnell calculates that his marginal tax rate is in income taxes for 2022. Darnell then calculates that his average tax rate is when his annual taxable income is $60,000. based on the annual income level and the amount of taxes he owes for 2022.The government implements a negative Income tax plan with a guaranteed minimum income of $5,000 and a phase-out rate for payments of 50%. Complete the following table by calculating the negative tax and total after-tax income for each family income given. (Note: Suppose that any income above $10,800 would pay a positive tax.) Family Income Negative Tax (Dollars) (Dollars) 0 2,800 4,800 6,800 8,800 10,800 Total After-Tax Income (Dollars)
- Table 12-3 The following table presents the total tax liability for an unmarried taxpayer under four different tax schedules for the income levels shown. Income (Dollars) S 50,000 20,000 10,000 30,000 100,000 30,000 200,000 80,000 40,000 Refer to Table 12-3. For an individual with $200,000 in taxable income, which tax schedule has the lowest average tax rate? Oa. Tax Schedule D O b. Tax Schedule B O c. Tax Schedule C O d. Tax Schedule A с % JE JE 5 6 JUL G Ін B Tax Schedule A Tax Schedule B Tax Schedule C Tax Schedule D 17,500 15,000 25,000 30,000 30,000 60,000 & 7 IN FB U Amount of Tax Due (Dollars) * 8 Ĉ UL JO K ( 9 O *- ) O F11 P + F12 11 : M JUJU Question 30 of 50 PrtSc [ Insert LOConsider an economy in which individuals choose between work time and leisure time. They spend all of their wages from work hours on consumption goods. Suppose that the government introduces an ad valorem tax of 45 percent imposed on all consumption goods and on leisure time. In the case of consumption, the tax applies to the expenditure amount. In the case of leisure time, the tax applies to the value of leisure time assessed at the individual's hourly wage from labour. What income tax rate is equivalent to this tax on consumption and leisure? [NOTE: If necessary, please round your answer to the nearest percent. Enter the whole number corresponding to the percentage rate. Do not enter the percent sign. For example, if your answer is 12 percent, you should enter 12 in the answer space, not 0.12.]Abraham. Income level $10,000 $50,000 $100,000 Refer to the table above. Abraham faces a a) progressive Ob) proportional Oc) regressive $5,000 $10,000 $15,000 Taxes Paid Brenda $1,000 $5,000 $10,000 tax system. Caitlyn $1,000 $10,000 $30,000