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Author Question: Refer to Scenario 19.2 below to answer the question(s) that follow. SCENARIO 19.2: An individual ... (Read 28 times)

mmm

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Question 1

Refer to Scenario 19.2 below to answer the question(s) that follow.



SCENARIO 19.2: An individual earning $40,000 pays $3,200 in taxes. The marginal tax rate on any income earned above $40,000 is 20%.





Refer to Scenario 19.2. When this person earns $60,000, her average tax rate is


◦ 12%.
◦ 14%.
◦ 20%.
◦ indeterminate from this information.

Question 2

Refer to Scenario 19.2 below to answer the question(s) that follow.



SCENARIO 19.2: An individual earning $40,000 pays $3,200 in taxes. The marginal tax rate on any income earned above $40,000 is 20%.





Refer to Scenario 19.2. Suppose this person earns $60,000 and gives a tax deductible donation of $1,000 to charity. The donation will reduce her tax payment by


◦ $80.
◦ $120.
◦ $200.
◦ $1,000.


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Marked as best answer by mmm on Apr 19, 2019

rleezy04

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