Marc, a single taxpayer, earns $60,000 in taxable income and $5,000 in interest from an investment in city of Birmingham bonds.Using the U.S.tax rate schedule for 2019, what is his average tax rate (rounded)? (Round your final answer to the nearest whole percent.)(Use tax rate schedule.)
A)15.10 percent
B)12.73 percent
C)11.35 percent
D)22.00 percent
E)None of the choices are correct

Question

Quizplus · Accepted Answer

Marc's taxable income is $60,000, and he is in the 12% tax bracket. His tax liability is $7,200 (12% x $60,000). His average tax rate is $7,200 / $65,000 = 11.08%, which rounds to 11%.

Marc, a Single Taxpayer, Earns $60,000 in Taxable Income and $5,000