Problem 02-08 (Algo) [LO 2-6, 2-7] Jurisdiction B levies a flat 7 percent tax on the first $5 million of annual corporate income. Required: Jersey Incorporated generated $3.3 million income this year. Compute Jerseys income tax and determine its average and marginal tax rate on total income. Leray Incorporated generated $8.6 million income this year. Compute Lerays income tax and determine Lerays average and marginal tax rate on total income. What type of rate structure does Jurisdiction B use for its corporate income tax?