QUESTION 16

1. Corporation XYZ ended the year with a profit of $127,500.

   Based on the following Federal Tax rate structure,

   Taxable Income Over	Not Over	Tax Rate
   $0	$50,000	15%
   $50,000	$75,000	25%
   $75,000	$100,000	34%
   $100,000	No Limit	39%

   What is the marginal tax rate for the above corporation?

   		25%
   		34%
   		39%
   		15%