Tax Rates: Latesha a single taxpayer, had the following income and deductions for the year 2022:

INCOME: Salary $100,000

Business Income $25,000

Interest Income from taxable bonds $10,000

Interest income from tax-exempt bonds $5,000

TOTAL INCOME: $140,000

DEDUCTIONS:

Business income $9,500

Itemized deductions $25,000

TOTAL DEDUCTIONS: $29,500

a. Compute Latesha's taxable income and federal tax liability for the year 2022 (round to dollars and ignore the qualified business deduction and self-employment taxes for this problem)

b. Compute Latesha's marginal, average and effective tax rates.

c. For tax planning purposes, which of the three rates in part b is the most important.