The Johnsons had two children, both of them are married and now have their own families, call them Family A and Family B. They both file their U.S. income taxes as married, filing jointly. Information collected for a year for each family is shown below. Neglecting any effect of state taxes, use a spreadsheet and the latest tax rates from the IRS publication 17, Your Federal Income Tax (www.irs.gov), to determine the following for each family: Show your calculations.

a. Percentage of TI paid in federal taxes.

b. Percentage of total income (salaries, dividends, and other) paid in federal taxes.

Exemptions are $4000 per individual (adult or child). Deductions for Family A are standard and itemized for B.

Family A B 65 8 Salaries, $1000 Dividends, $1000 Other income Exemptions Deductions, $1000 ona 290 58 14 3 25