1. Stewart Myers recently graduated from college and started working as a management consultant. Stewart has a $50,000 student loan balance and he paid $1,200 interest in 2014. Stewart Owns several savings accounts and received a total interest income of $500 in 2014. He contributed 2 percent of his $79,500 salary to his IRA account in 2014. As he completes his tax return for 2014, use the information above and below to help him answer the following questions.

Stewarts itemized deduction for 2014: $3,570

Standard deduction for 2014: $6,200

Personal exemption for 2014: $3,950

Tax brackets for 2014:

Taxable income range Tax rate

Up to $9,075 10 percent

More than $9,075 but under $36,900 15 percent

More than $36,900 but under $89,350 25 percent

a) What is Stewarts gross income for 2014?

b) What is Stewarts adjusted gross income for 2014?

c) What is Stewarts taxable income for 2014?

d) What is Stewarts total tax liability for 2014?

e) What is Stewarts marginal tax rate for his current level of taxable income?

f) Stewarts average tax rate for 2014 is closest to which of the following?

How would you calculate this using a BA II plus calculator?