Last year Sanderson, Inc. had sales of

$3.8 million. The firm's cost of goods sold came to

$2.5 million, its operating expenses excluding depreciation of

$105,000 were

$393,000, and the firm paid

$151,000 in interest on its bank loans. Also, the corporation received

$49,000 in dividend income (from a company in which it owned less than

20 percent of its shares) but paid

$21,000 in the form of dividends to its own common stockholders. Use the corporate tax rates shown in the popup window,

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, to calculate the corporation's tax liability. What are the firm's average and marginal tax rates?

Taxable Income	Marginal Tax Rate
$0$50,000	15%
$50,001$75,000	25%
$75,001$100,000	34%
$100,001$335,000	39%
$335,001$10,000,000	34%
$10,000,001$15,000,000	35%
$15,000,001$18,333,333	38%
Over $18,333,333	35%