Marginal and average tax rates: Use the tax rate taken from Exhibit 11.6 to calculate the average tax rate for Lansing, Inc., this year. Lansing's pretax income was $275,000. Exhibit 11.6 U.S. Corporate Tax Rate Schedule in 2007

Taxable Income
More	But Not More
Than	Than		Tax Owed
$0	$50,000		15% of amount beyond $0
$50,000	$75,000	$7,500 +	25% of amount beyond $50,000
$75,000	$100,000	$13,750 +	34% of amount beyond $75,000
$100,000	$335,000	$22,250 +	39% of amount beyond $100,000
$335,000	$10,000,000	$113,900 +	34% of amount beyond $335,000
$10,000,000	$15,000,000	$3,400,000 +	35% of amount beyond $10,000,000
$15,000,000	$18,333,333	$5,150,000 +	38% of amount beyond $15,000,000
$18,333,333	-------		35% on all income