3. Assume you have taxable earnings of $9,325 and your filing status is single. Referring to Figure 9.7, the 10% tax bracket is capped at $9,275, and each dollar made after that is taxed at 15% until you reach the ceiling of the next tax bracket.

Tax Bracket Your Taxable Income within Given Bracket Your Income 10% $0–$9,275 $9,275 15% $9,276–$9,325 50 Total $9,325 You are earning $9,325, so you would pay 10% on the first $9,275 earned and then 15%

on the next $50. The marginal income tax rate would be 15%.

What is your marginal income tax rate, filing as single status, if your taxable income in 2016 is $36,000? (Refer to Figure 9.7.)