Your Earnings Last Year Were $120 000,which Is the 40

question 14

Multiple Choice

Your earnings last year were $120 000,which is the 40 percent marginal tax bracket and 30 percent average tax bracket,in your province.How much would your taxes be reduced if you made the full RRSP contribution for this year (and had no additional RRSP room) ?

• A)$6480
• B)$8640
• C)$21 600
• D)$12 960