If the government follows an income tax system in which personal income up to and including
$25,000 is not taxed, income of $25,001 to $50,000 is taxed at 10%, and income over
$50,000 is taxed at 25%, a family earning income equal to $60,000 will pay a marginal tax rate of ________ and an average tax rate of _.
A.12.5%; 25%
B.10%; 15%
C.25%; 8.3%
D.25%; 25%
Correct Answer:
Verified
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C.degressive.
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B)
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