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The United States employs a progressive tax system, under which dollars you earn in higher tax brackets are taxed at a different (and higher) rate
The United States employs a progressive tax system, under which dollars you earn in higher tax brackets are taxed at a different (and higher) rate than the dollars earned in lower tax brackets. Assume you live and work in a country with a similar tax structure, which was broken down for 2021 for a single individual as follows: Tax Bracket $1 - $10,000 $10,001 - $40,000 $40,001 - 00 Marginal Rate Tax 10% 20% 50% Determining Taxable Income Use the table above to answer the following questions: 1. What is the marginal tax rate on the last dollar earned by Lisa, a worker with $15,000 in income in 2021? . % 2. How much money in taxes would Lisa, who earned $15,000, owe in total for 2021? $ 3. What is the average income tax rate paid by Lisa, with $15,000 in income in 2021? % 4. What is the marginal tax rate on the last dollar earned by Hugh, a worker with $50,000 in income in 2021?. % 5. How much money in taxes would Hugh, who earned $50,000, owe in total for 2021? $. 6. What is the average income tax rate paid by Hugh, with $50,000 in income in 2021? %
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