Using the tax bracket table provided below, calculate the following for an individual with a taxable income of $120,000: Tax Liability: The total amount of taxes owed. Marginal Tax Rate: The tax rate applied to the last dollar of income. Average Tax Rate: The overall percentage of your income that goes to taxes. Tax Brackets Table: Income Range Tax Rate $0 - $10,000 10% $10,001 - $40,000 12% $40,001 - $85,000 22% $85,001 - $160,000 24% $160,001 - $204,000 32% $204,001 - $510,000 35% Over $510,000 37% Instructions: Calculate the tax liability by applying the tax rates to the respective portions of the income. Identify the marginal tax rate for the taxable income. Compute the average tax rate by dividing the tax liability by the taxable income and converting it to a percentage. After calculating, explain the implications of your findings. How do these rates impact your financial planning and decision-making? Example Calculation for $85,000 taxable income (for guidance only, not part of the question): 1.Tax Liability: First $10,000 at 10%: $1,000 Next $30,000 ($40,000 - $10,000) at 12%: $3,600 Next $45,000 ($85,000 - $40,000) at 22%: $9,900 Total Tax Liability: $1,000 $3,600 $9,900 = $14,500 2.Marginal Tax Rate: 22%