Assume that Peter is a single parent who is in poverty. He receives food stamps and Medicaid. For every $100 that he earns, Peter loses $35 in food stamps and $20 in Medicaid benefits. Also, Peter's income is taxed at a rate of 10%. Then, Peter's total tax rate is
A) 45 percent
B) 55 percent
C) 65 percent
D) 70 percent
Correct Answer:
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