Homework 11 Chuck, a single taxpayer, earns $75,000 in taxable income and $10,000 in interest from an investment in City of Heflin bonds. (Use the US tax rate schedule.) Required: Q. How much federal tax will he owe? b. What is his average tax rate? c. What is his effective tax rate? d. What is his current marginal tax rate? Complete this question by entering your answers in the tabs below. Reg A ReqB Reqc RegD What is this average tax rate? (Do not found intermediate calculations. Round total tax to 2 decimal places.) Choose numerator Fatal tax Average Tax Rate Choose denominator Taxable income 15 000 (ReqA RegC) Fergie has the choice between investing in a state of New York bond at 5 percent and a Surething Inc. bond at 8 percent. Assuming that both bonds have the same nontax characteristics and that Fergie has a 30 percent marginal tax rate, what interest rate does the state of New York bond need to offer to make Fergie indifferent between investing in the two bonds? (Do not round intermediate calculations. Round your answer to 1 decimal place.) Skipped Interest rate s Homework 1 Song earns $100.000 taxable income as an interior designer and is ved at an average rate of 20 percent . $20,000 of tax) a. If Congress increases the income tax rate such that Song's average tax rate increases from 20 percent to 25 percent, how much more income tax will she pay assuming that the income effect is descriptive? (Round your intermediate calculations and final answer to 2 decimal places.) Additional income tax b. If the income effect is descriptive, the tax base and the tax collected will increase True O False o Given the following tax structure, Taxpayer Salary Total Tax Mae $10,000 $ 600 Pedro $20,000 ??? points eBook o. What is the minimum tax that Pedro should pay to make the tax structure vertically equitable based on the tax rate paid? Minimum tax e az oo b. This would result in what type of tax rate structure? Tax rate structure Progressive References 2019 Tax Rate Schedules Schedule X-Single Schedule of The taxe SES SO OSIS SES DOCTES S160725S14352 50 plus 345 S160725 5304.100 32.745 50 plus 325 S16000 001 TOS PSETIS SIS BOLNIS SS100 S3 S15 5204.100 551000 Pos 54.100 OTO OOCOISS 5510.300 SE5310 S153.796 50 plus 375 of these SS10100 SI Schedule Y 1 Married Filing Jolly or Qualifying Widower) Schedule Y-2 Married Filing Seperty The tas ir tasabile comes But S0S 1.400 10 ofico 50 OSOS 51.940 plus 12% of S9700 $19.000 57950 50.00 plus 225 of SES S70 SHES SO OSTS S. Si735 Sie 21.450 SI5735 100 5321.450 10 OSETIS 593357355 520000 06.175 SO 0505 TOS $164.709 50 plus 375 5306,175 SELECIS OSCE
