Question
Average corporate tax rates Using the corporate tax rate schedule given here LOADING..., perform the following: a. Calculate the tax liability, after-tax earnings, and average
Average corporate tax rates Using the corporate tax rate schedule given here LOADING..., perform the following: a. Calculate the tax liability, after-tax earnings, and average tax rates for the following levels of corporate earnings before taxes: $ 8 comma 300; $ 81 comma 800; $ 299 comma 000; $ 501 comma 000; $ 1.3 million; $ 9.5 million; and $ 19.8 million. b. Plot the average tax rates (measured on the y axis) against the pretax income levels (measured on the x axis). What generalization can be made concerning the relationship between these variables? a. Find the marginal tax rate for the following levels of corporate earnings before taxes: $ 8 comma 300; $ 81 comma 800; $ 299 comma 000; $ 501 comma 000; $ 1 comma 300 comma 000; $ 9.5 million; and $ 19.8 million. The tax liability for earnings before taxes of $ 8 comma 300 is $ nothing. (Round to the nearest dollar.)
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