Solve the Problem $15 \%$ Marginal Rate Affects Income Starting At $\$ 8925$

question 166

Multiple Choice

Solve the problem. Refer to the table if necessary. 2013 Marginal Tax Rates, Standard Deductlons, and Exemptlons**


- Each higher marginal rate begins where the prior one leaves off. For example, for a single person, the $15 \%$ marginal rate affects income starting at $\$ 8925$ , which is where the $10 \%$ rate leaves off, and continuing up to \$36,250.
" This table ignores the effects of (i) exemption and deduction phase-outs that apply to high-income taxpayers and (ii) the alternative minimum tax (AMT) that affects many middle- and high-income taxpayers.
-Ken is head of household with a dependent child and a taxable income of $91,691. He also is entitled to a $1000 tax credit. Calculate the amount of tax owed.

• A)$17,063
• B)$16,425
• C)$17,425
• D)$21,923

---

Definitions:

Cerumen Impaction

A condition where earwax has accumulated in the ear canal to a point where it causes symptoms such as hearing loss or discomfort.

Otitis Media

An infection or inflammation of the middle ear, which is a common condition especially in children.

External Auditory

Pertaining to the outer section of the ear canal leading to the eardrum.

Taste Buds

Small sensory organs on the tongue that are responsible for perceiving taste, including sweet, sour, bitter, salty, and umami flavors.