Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Excel Online Structured Activity: Personal taxes Mary Jarvis is a single individual who is working on filing her tax return for the previous year. She

image text in transcribed
image text in transcribed
Excel Online Structured Activity: Personal taxes Mary Jarvis is a single individual who is working on filing her tax return for the previous year. She has assembled the following relevant information: She received $94,000 in salary. She received $17,000 of dividend Income. She received $4,800 of interest income on Home Depot bonds. She received $21,000 from the sale of Disney stock that was purchased 2 years prior to the sale at a cost of $5,200. She received $12,000 from the sale of Google stock that was purchased 6 months prior to the sale at a cost of $6,300. Mary receives one exemption ($4,000), and she has allowable itemized deductions of $7,500. These amounts will be deducted from her gross income to determine her taxable income Assume that her tax rates are based on Table 3.5. The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the questions below. X Open spreadsheet a. What is Mary's federal tax liability? Round your answer to the nearest cent. Do not round intermediate calculations. b. What is her marginal tax rate? Round your answer to 1 decimal place. c. What is her average tax rate? Round your answer to 2 decimal places. Table 3.5 2015 Individual Tax Rates Single Individuals Plus This Percentage on the Excess over the Base ( Marcinal Rate) 10.0% 15.0 ir Your Taxable Income Is Up to 59,225 $9,225-537,450 $37,450-590,750 $90,750-$189,750 $189,750-S411,500 $411,500-S$413,200 Over $413,200 You Pay This Amount on the Base of the Bracket S 0 922.50 5,156.25 18,481.25 46,075.25 119,401.25 119,996.25 25.0 28.0 Average Tax Rate at Top of Bracket 10.0% 13.8 20.4 24.3 29.0 29.0 39.6 33.0 35.0 39.6 Married Couples Filing Joint Returns You Pay This Amount on the Base of the Bracket If Your Taxable Income Is Up to $18,450 S18,450-574,900 574,900-5151,200 SI51,200-S230,450 $230,450-5411,500 S411,500-6464,850 Over S464,850 1,845.00 10,312.50 29,387.50 51,577.50 111,324.00 129,996.50 Plus This Percentage on the Excess over the Base (Marcinal Rate) 10.0% 15.0 25.0 28.0 33.0 35.0 39.6 Average Tax Rate at Top of Bracket 10.0% 13.8 19.4 22.4 27.1 28.0 39.6

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Contemporary Issues In Social Science

Authors: Simon Grima, Ercan Özen, Hakan Boz

1st Edition

1800439318, 9781800439313

More Books

Students also viewed these Accounting questions

Question

Discuss supply chain risk, resilience, and how risk can be managed.

Answered: 1 week ago

Question

=+24. Friday the 13th, accidents. The researchers in Exercise

Answered: 1 week ago

Question

Review the determinants of direct financial compensation.

Answered: 1 week ago