Jorge and Anita, married taxpayers, earn $150,000 in taxable income and $40,000 in interest from an investment in City of Heflin bonds. Using the U.S. tax rate schedule for married filing jointly

1. How much federal tax will they owe?

A. $$24,717

B. $25.717

C. $35,717

D. $54,519

E. $150,000

2. What is their average tax rate? (Closest answer )

A. 15.48%

B. 16.50%

C. 16.44%

D. 16.41%

E. 13.00%

3. What is their effective tax rate? (Closest answer )

A. 15.48%

B. 16.50%

C. 16.44%

D. 13.41%

E. 13.00%

2019 Tax Brackets for Single/Married Filing Jointly Tax Rate Taxable income (Single) Taxable income (Married Filing Jointly) 10% Up to $9,700 Up to $19,400 12% $9,701 to $39,475 $19,401 to $78,950 22% $39,476 to $84,200 $78,951 to $168,400 24% $84,201 to $160,725 $168,401 to $321,450 32% $160,726 to $204,100 $321,451 to $408,200 35% $204,101 to $510,300 $408,201 to $612,350 37% Over $510,300 Over $612,350