MrOhno Owns and Operates a Part-Time Service Business That Generates

question 58

Essay

Mr.Ohno owns and operates a part-time service business that generates $80,000 annual taxable income.Assume that his federal tax rate on this income is 17%.Because of recent legislation,this rate will increase to 25% next year.
A.Based on a static forecast,how much additional revenue will the federal government collect from Mr.Ohno next year?
B.How much additional revenue will the federal government collect if Mr.Ohno decides to work fewer hours and consequently earns only $50,000 next year?

---

Definitions:

Ad Hominem

A logical fallacy where an argument is rebutted by attacking the character, motive, or other attribute of the person making the argument rather than addressing the substance of the argument itself.

Gambling

Wagering money or something of value on an outcome that is largely determined by chance.

Idiot

Used historically in psychology to describe a person with profound intellectual disability, the term is now considered derogatory and outdated.

Credible Support

Evidence or backing that is trustworthy and reliable, enhancing the validity of a claim or argument.