Refer to the Information Provided in Table 19 -Related to the Economics in Practice on Page 393: Refer

question 81

Multiple Choice

Refer to the information provided in Table 19.4 below to answer the question(s) that follow.
Table 19.4
$$\begin{array} { | c | c | } \hline \text { Total Income } & \text { Total Taxes } \\\hline \$ 10,000 & \$ 1,000 \\\hline 20,000 & 2,400 \\\hline 30,000 & 4,500 \\\hline 40,000 & 8,000 \\\hline\end{array}$$
-Related to the Economics in Practice on page 393: Refer to Table 19.4. At an income level of $20,000, the average tax rate is

• A) 1.2%.
• B) 8.3%.
• C) 12%.
• D) 24%.

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Definitions:

F-test

A statistical test used to compare two population variances and determine if they are significantly different.

T-test

A statistical analysis method that contrasts the average values of two groups to ascertain if their difference is statistically significant.

Analysis of Variance (ANOVA)

A statistical method used to compare the means of three or more samples to find out if at least one of the sample means is different from the others.

Sum Squares Error (SSE)

A statistical measure used to determine the variance or deviation of observed values from the true values, often used in the context of linear regression analysis.