Name: Tax1 I. II. 11. Fanny's employer has a qualified pension plan. The employer makes all payments into the plan; employees do not contribute to the plan. During the current year, the employer pays $4,000 into the plan on behalf of Fanny. The plan also earns $3,000 during the year on the balance in Fanny's retirement account. Which of the following statements is true? a. Only statement I is correct. b. Only statement II is correct. c. Both statements are correct. d. Neither statement is correct. I. II. Fanny is not taxed on the $4,000 in the current year. Fanny is not taxed on the $3,000 in the current year. 12. Sally is an electrician employed by Bogie Company. Sam is a self-employed electrician. During the current year, Sally's salary is $85,000 and Sam's net self-employment income is $85,000. Which of the following statements about the Social Security and self-employment taxes paid is/are correct? Sam's self-employment tax is greater than the Social Security tax paid on Sally's income. Sam and Sally pay the same amount of tax. a. Only statement I is correct. b. Only statement II is correct c. Both statements are correct d. None of the statements are correct. I. II. III. IV. Class: 13. The mythical country of Januvia imposes a tax based on the number of titanium coins each taxpayer owns at the end of each year per the following schedule: Number of titanium coins 0-200 201 - 500 OSTE > 500 Date: a. Statements II and III are correct. Marvin, a resident of Januvia, owns 300 titanium coins at the end of the current year. Marvin's titanium coins tax is $2,800. Marvin's marginal tax rate is $6. Marvin's average tax rate is $9.33. Marvin's average tax rate is $6. b. Statements I, II, and IV are correct. c. Statements II and IV are correct. d. Statements I, II, and III are correct. e. Only statement II is correct. Tax $500+ $5 per titanium coin $1,000+ $6 per titanium coin $4,000+ $7 per titanium coin

Jame: Class: Date: Caxl C. 11. Fanny's employer has a qualified pension plan. The employer makes all payments into the plan; employees do not contribute to the plan, During the current year, the employer pays $4,000 into the plan on behalf of Fanny. The plan also cams \$3,000 during the year on the balance in Fanny's retirement account. Which of the folfiowing. statements is true? 1. Fanny is not taxed on the $4,000 in the current year. II. Fanny is not taxed on the $3,000 in the current year. a. Only statement I is correct. b. Only statement II is correct. c. Both statements are correct. d. Neither statement is correct. 12. Sally is an eleetrician employed by Bogie Company. Sam is a self-employed electrician. During the current year, Sally's salary is $85,000 and Sam's net self-employment income is $85,000. Which of the following statements about the Social Security and self-employment taxes paid is/are correct? 1. Sam's self-employment tax is greater than the Social Sccurity tax paid on Sally's income. II. Sam and Sally pay the same amount of tax. a. Only statement I is correct. b. Only statement II is correct c. Both statements are correct d. None of the statements are correct. 13. The mythical country of Januvia imposes a tax based on the number of titanium coins each taxpayer owns at the end of each year per the following schedule: Marvin, a resident of Januvia, owns 300 titanium coins at the cnu us ue vamua 2 m. 1. Marvin's titanium coins tax is $2,800. II. Marvin's marginal tax rate is $6. III. Marvin's average tax rate is $9.33. IV. Marvin's average tax rate is $6. a. Statements II and III are correct. b. Statements I, II, and IV are correct. c. Statements II and IV are correct. d. Statements I, II, and III are correct. e. Only statement II is correct. Jame: Class: Date: Caxl C. 11. Fanny's employer has a qualified pension plan. The employer makes all payments into the plan; employees do not contribute to the plan, During the current year, the employer pays $4,000 into the plan on behalf of Fanny. The plan also cams \$3,000 during the year on the balance in Fanny's retirement account. Which of the folfiowing. statements is true? 1. Fanny is not taxed on the $4,000 in the current year. II. Fanny is not taxed on the $3,000 in the current year. a. Only statement I is correct. b. Only statement II is correct. c. Both statements are correct. d. Neither statement is correct. 12. Sally is an eleetrician employed by Bogie Company. Sam is a self-employed electrician. During the current year, Sally's salary is $85,000 and Sam's net self-employment income is $85,000. Which of the following statements about the Social Security and self-employment taxes paid is/are correct? 1. Sam's self-employment tax is greater than the Social Sccurity tax paid on Sally's income. II. Sam and Sally pay the same amount of tax. a. Only statement I is correct. b. Only statement II is correct c. Both statements are correct d. None of the statements are correct. 13. The mythical country of Januvia imposes a tax based on the number of titanium coins each taxpayer owns at the end of each year per the following schedule: Marvin, a resident of Januvia, owns 300 titanium coins at the cnu us ue vamua 2 m. 1. Marvin's titanium coins tax is $2,800. II. Marvin's marginal tax rate is $6. III. Marvin's average tax rate is $9.33. IV. Marvin's average tax rate is $6. a. Statements II and III are correct. b. Statements I, II, and IV are correct. c. Statements II and IV are correct. d. Statements I, II, and III are correct. e. Only statement II is correct