Briana, Who Is Single, Has Taxable Income for 2018 of $78,000

question 1413

Multiple Choice

Briana, who is single, has taxable income for 2018 of $78,000, resulting in a total tax of $13,100. Her total economic income is $98,000. Briana's average tax rate and effective tax rate are, respectively,

• A) 13.37% and 16.79%.
• B) 16.79% and 22%.
• C) 16.79% and 13.37%.
• D) 22% and 24%.

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Definitions:

Social Regulation

Laws and regulations aimed at improving health, safety, and well-being in society, often implemented to correct market failures affecting the public interest.

Marginal Benefit

The additional satisfaction or value a consumer gains from consuming one more unit of a good or service.

Marginal Cost

The increase in cost that arises from an additional unit of production.

Sherman Act

A landmark federal statute in the field of United States antitrust law passed in 1890 that prohibits certain business activities that reduce competition in the marketplace.