Marginal versus Average Tax Rates (Refer to Table 2.7) Corporation Growth has $88,000 in taxable income, and Corporation Income has $8,800,000 in taxable income. TABLE 2.7 Corporate tax rates in percentages in 2015 (current as of September 30, 2014) Federal (%) Alberta (%) Combined (%) 15 25 Basic corporations 3 14 All small corporations with a taxable income less than $500,000 1. What is the tax bill for each? 2 Suppose both firms have identfied a new project that will increase taxable income by $10,000. How much additional taxes will each firm pay? 3. Is this amount the same or different? OO !!! 1 B 1 HIL