This is the amount of additional taxes a firm must pay out for every additional dollar of taxable income it earns.
A) average tax rate
B) marginal tax rate
C) progressive tax system
D) earnings before tax

Question

Quizplus · Accepted Answer

The marginal tax rate is the amount of additional taxes a firm (or individual) must pay out for every additional dollar of taxable income it earns. This rate applies to the last dollar of income earned and can vary as income increases.

This Is the Amount of Additional Taxes a Firm Must