Marc, a Single Taxpayer, Earns $60,000 in Taxable Income and $5,000

question 59

Multiple Choice

Marc, a single taxpayer, earns $60,000 in taxable income and $5,000 in interest from an investment in city of Birmingham bonds. Using the U.S. tax rate schedule for 2020, how much federal tax will he owe? (Round your final answer to the nearest whole dollar.) (Use tax rate schedule.)

• A)$13,200
• B)$8,990
• C)$7,548
• D)$6,805
• E)None of the choices are correct

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Definitions:

Finished Goods Inventory

The completed products that are ready for sale but have not yet been sold.

Raw Materials Inventory

The total cost of all the materials that are used in the production of goods, which have not yet been processed.

Direct Labor

The labor costs associated directly with the production of goods or services, such as wages for assembly line workers.

Master Budget

An integrated set of financial plans that outlines an organization's financial and operational goals for a specific period, combining various individual budgets into one comprehensive budget.