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Problem 1 - 3 5 ( LO 1 - 3 ) ( Algo ) Chuck, a single taxpayer, earns $ 7 8 , 6 0

Problem 1-35(LO 1-3)(Algo)
Chuck, a single taxpayer, earns $78,600 in taxable income and $14,100 in interest from an investment in City of Heflin bonds. (Use the U.S. tax rate schedule.)
Required:
If Chuck earns an additional $40,000 of taxable income, what is his marginal tax rate on this income?
What is his marginal rate if, instead, he had $40,000 of additional deductions?
Note: For all requirements, do not round intermediate calculations. Round percentage answers to 2 decimal places.

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