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Marginal and average tax rates Using the tax rate schedule given here perform the following: a. Calculate the tax liability, after-tax eamings, and average tax
Marginal and average tax rates Using the tax rate schedule given here perform the following: a. Calculate the tax liability, after-tax eamings, and average tax rates for the following levels of partnership earnings before taxes: $13,500; $81,100: $303,000, $498,000; $1.2 million $1.7 million and $1.9 million b. Plot the average tax rates (measured on the y axis) against the pretax income levels (measured on the x axis). What generalization can be made concerning the relationship between these variables? a. Find the marginal tax rate for the following levels of corporate earnings before taxes: $13,500; $81,100; $303,000; $498,000; $1,200,000; $1.7 million; and $1.9 million. The tax liability for earnings before taxes of $13,500 is S (Round to the nearest dollar.)
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