Table 155 Table 155 Shows the Income Tax Brackets and Tax Rates for \text

question 5

Essay

Table 15.5
$\begin{array}{|c|c|}\hline \text { Income Tax Bracket } & \text { Tax Rate } \\\hline \text { on the first } \$ 6,000 \text { of taxable income } & 10 \% \\\hline \text { on the next } \$ 14,000 \text { of taxable income } & 15 \% \\\hline \text { on the next } \$ 24,500 \text { of taxable income } & 25 \% \\\hline \text { on the next } \$ 30,500 \text { of taxable income } & 30 \% \\\hline\end{array}$
Table 15.5 shows the income tax brackets and tax rates for single taxpayers in Bauxhall.
-Refer to Table 15.5.A tax exemption is granted for the first $10,000 earned per year.Suppose you earn $75,000.
a.What is the amount of taxes you will pay?
b.What is your average tax rate?
c.What is your marginal tax rate?

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Definitions:

Days

The basic unit of time, equal to 24 hours, used to measure duration from one midnight to the next.

Interest Earned

The amount of money made on an investment over a certain period of time due to interest.

Account

A record or arrangement by which an individual or organization keeps track of their financial transactions and balances with a financial institution.

Days

Units of time that represent a 24-hour period, used to measure durations and intervals.