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Problem 25 Intro A company has taxable income of $6,000,000. The corporate tax rates are as follows: Taxable income ($) Tax rate 0- 50,000 15%
Problem 25
Intro
A company has taxable income of $6,000,000. The corporate tax rates are as follows:
Taxable income ($) | Tax rate | |
0- | 50,000 | 15% |
50,001- | 75,000 | 25% |
75,001- | 100,000 | 34% |
100,001- | 335,000 | 39% |
335,001- | 10,000,000 | 34% |
10,000,001- | 15,000,000 | 35% |
15,000,001- | 18,333,333 | 38% |
18,333,334+ | 35% |
Attempt 2/10 for 8 pts.
Part 1
What is the total tax bill for the company, i.e., how much does the company have to pay in taxes (in $)?
Part 2
What is the company's average tax rate?
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