Translate News Privacy Agreement Online Tutoning- Mi... Course Announce... Homework and Test... D2L Brightspace Lo... Chapter 3 Homework Assignment * Saved Help S: 3 Problem 3-40 (LO 3-2, LO 3-3) (Algo) 71 pints Manny, a calendar-year taxpayer, uses the cash method of accounting for his sole proprietorship. In late December he performed $25,000 of legal services for a client. Manny typically requires his clients to pay his bills immediately upon receipt. Assume Manny's marginal tax rate is 37 percent this year and next year, and that he can earn an after tax rate of return of 8 percent on his investments. a. What is the after-tax income if Manny sends his client the bill in December? eBook Hint Print After-tax income ferences b. What is the after-tax income if Manny sends his client the bill in January? Use Exhibit 3.1. (Round your answer to the nearest whole dollar amount.) After-tax income