Jurisdiction B levies a flat 7% tax on the first $5 million of annual corporate income. a) Jercey Inc. generated $3.9 million income this year. Compute Jersey's income tax and determine its average and marginal tax rate on total income. b) Leray Inc. generated $9.6 million income this year. Compute Leray's income tax and determine its average and marginal tax rate on total income. c) What type of rate structure does Jurisdiction B use for its corporate income tax? Jurisdiction Z, levies an excise tax on retail purchases of jewelry and watches. The tax equals 3% of the first $1,000 of purchase price plus 1% of the purchase price in excess of $1,000. a. Individual C purchases a watch for $500. Compute C's excise tax and average excise tax rate. b. Individual D purchases a watch for $5,000. Compute D's excise tax and average excise tax rate. c. Is Jurisdiction Z's excise tax vertically equitable? Explain briefly