Personal Finance (MindTap Course List)
13th Edition
ISBN: 9781337099752
Author: E. Thomas Garman, Raymond Forgue
Publisher: Cengage Learning
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Chapter 4, Problem 5DTM
Use Tax Rate Schedule. Carson Wentz, of Philadelphia, determined the following tax information: salary, $144,000; interest earned, $2,000; qualified retirement plan contribution, $6,000; personal exemption, $4,050; itemized deductions, $10,000. Filing single, calculate Carson’s taxable income and tax liability. (Hint: Use Table 4 2.)
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Determine the tax liability, marginal tax rate, and average tax rate in each of the following
cases. Use the tax tables to determine tax liability. Required: Married taxpayers, taxable
income of $97, 463. Married taxpayers, taxable income of $66,829. Note: For all
requirements, round "Average tax rate" to 2 decimal places.
Use the following information and the flow chart from the module to calculate: Adjusted gross income (
AGI) Taxable income Show your work for each calculation to receive full credit. An individual has the
following information for the current tax year. Assume they do not itemize and they file as head of
household. Income from wages, $80,000 Interest earned on savings, $150 IRA contribution, $5,000
Checking account interest earned, $75 Standard deduction for Head of Household: $20,800 Child and
Dependent Care Tax credit, $3,000 Filing status: Head of Household
You determined the following tax information
for yourself:
Gross Salary: $160,000
Interest Earned: $2,000
IRA Contribution: $5,000
Standard Deduction: $12,400
Filing Single, calculate your taxable income
and tax liability.
Taxable Income:
Tax Liability:
Chapter 4 Solutions
Personal Finance (MindTap Course List)
Ch. 4.1 - Prob. 1CCCh. 4.1 - Prob. 2CCCh. 4.1 - Explain why some taxpayers have an effective...Ch. 4.2 - Prob. 1CCCh. 4.2 - Prob. 2CCCh. 4.2 - Prob. 3CCCh. 4.2 - Prob. 4CCCh. 4.2 - Prob. 5CCCh. 4.2 - Prob. 6CCCh. 4.2 - Prob. 7CC
Ch. 4.3 - Distinguish between two major types of...Ch. 4.3 - Prob. 2CCCh. 4.3 - Prob. 3CCCh. 4.3 - Prob. 4CCCh. 4 - Calculate Tax Liability. What would be the tax...Ch. 4 - Prob. 2DTMCh. 4 - Determine Tax Liability. Find the tax Liabilities...Ch. 4 - Use Tax Rate Schedule. Jared Goff, of Los Angeles,...Ch. 4 - Use Tax Rate Schedule. Carson Wentz, of...Ch. 4 - Review Figure 4-1 on page 117 and comment on the...Ch. 4 - The Johnsons Calculate Their Income Taxes Several...Ch. 4 - Prob. 2FPCCh. 4 - Prob. 3FPCCh. 4 - Prob. 4FPCCh. 4 - Taxable Versus Tax-Exempt Bonds Paxton Lynch,...Ch. 4 - Prob. 6FPCCh. 4 - Prob. 3BYOPFM
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