For all U.S.corporations except those in the lowest and highest tax brackets,their:

Question

Quizplus · Accepted Answer

For corporations in the middle tax brackets, their marginal tax rate is higher than their average tax rate because the marginal tax rate refers to the tax rate applied to the last dollar of income earned, whereas the average tax rate is the total tax paid divided by total taxable income. As a corporation earns more income and moves into a higher tax bracket, the next dollar earned will be taxed at a higher marginal tax rate, which increases the overall tax burden and makes the average tax rate lower than the marginal tax rate.

For All US