2. Chuck, a single taxpayer, earns $76,700 in taxable income and $11,900 in interest from an investment in City of Heflin bonds. (Use the U.S. tax rate schedule.) Required:

a. If Chuck earns an additional $40,000 of taxable income, what is his marginal tax rate on this income?

b. What is his marginal rate if, instead, he had $40,000 of additional deductions?

(For all requirements, do not round intermediate calculations. Round percentage answers to 2 decimal places.)

A. Marginal Tax Rate	%
B. Marginal Tax Rate	%