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Susan and Stan Britton are a married couple who file a joint income tax return, where the tax rates are based on thetax table 3.5.

Susan and Stan Britton are a married couple who file a joint income tax return, where the tax rates are based on thetax table 3.5. Assume that their taxable income this year was $262,000. Round your answers to two decimal places.

  1. What is their federal tax liability?
  2. What is their marginal tax rate?
  3. What is their average tax rate?

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Table 3.5 2015 Individual Tax Rates Single Individuals You Pay This Plus This Percentage Average Tax If Your Taxable Amount on the on the Excess over the Rate at Income Is Base of the Bracket Base (Marginal Rate) Top of Bracket Up to $9,225 0 10.0% 10.0% $9,225-$37.450 922.50 15.0 13.8 $37.450-$90,750 5,156.25 25.0 20.4 590,750-$189,750 18.481.25 28.0 24.3 $189,750-$411.500 46,075.25 33.0 29.0 $411,500-$$413,200 119,401.25 35.0 29.0 Over $413,200 119,996.25 39.6 39.6 Married Couples Filing Joint Returns You Pay This Plus This Percentage Average Tax If Your Taxable Amount on the on the Excess over the Rate at Income Is Base of the Bracket Base (Marginal Rate) Top of Bracket Up to $18,450 0 10.0% 10.0% $18.450-$74,900 1,845.00 15.0 13.8 $74.900-$151,200 10,312.50 25.0 19.4 $151.200-$230,450 29,387.50 28.0 22.4 $230,450-$411,500 51,577.50 33.0 27.1 $411,500-$464,850 111,324.00 35.0 28.0 Over $464.850 129,996.50 39.6 39.6Table 3.5 2015 Individual Tax Rates Single Individuals You Pay This Plus This Percentage Average Tax If Your Taxable Amount on the on the Excess over the Rate at Income Is Base of the Bracket Base (Marginal Rate) Top of Bracket Up to $9,225 0 10.0% 10.0% $9,225-$37.450 922.50 15.0 13.8 $37.450-$90,750 5,156.25 25.0 20.4 590,750-$189,750 18.481.25 28.0 24.3 $189,750-$411.500 46,075.25 33.0 29.0 $411,500-$$413,200 119,401.25 35.0 29.0 Over $413,200 119,996.25 39.6 39.6 Married Couples Filing Joint Returns You Pay This Plus This Percentage Average Tax If Your Taxable Amount on the on the Excess over the Rate at Income Is Base of the Bracket Base (Marginal Rate) Top of Bracket Up to $18,450 0 10.0% 10.0% $18.450-$74,900 1,845.00 15.0 13.8 $74.900-$151,200 10,312.50 25.0 19.4 $151.200-$230,450 29,387.50 28.0 22.4 $230,450-$411,500 51,577.50 33.0 27.1 $411,500-$464,850 111,324.00 35.0 28.0 Over $464.850 129,996.50 39.6 39.6

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