Exhibit 2-1
The tax schedule for corporate income is shown in the table below:

-Refer to Exhibit 2-1.Big Diesel Incorporated reports taxable income of $200,000 in 2011.What was the average tax rate they paid for the year?

Question

Exhibit 2-1
The tax schedule for corporate income is shown in the table below:
 
-Refer to Exhibit 2-1.Big Diesel Incorporated reports taxable income of $200,000 in 2011.What was the average tax rate they paid for the year?

Quizplus · Accepted Answer

Taxes Paid=50000*.15+25000*.25+25000*.34+100000*.39=61250
61250/200000=.3063

Exhibit 2-1 the Tax Schedule for Corporate Income Is Shown in the in the Table