The state of Indiana charges a retail sales tax of 7%. Consider the following in
ID: 2640439 • Letter: T
Question
The state of Indiana charges a retail sales tax of 7%. Consider the following information for three households:
Household
Income
Consumption
Tax Liability
Marginal Tax Rate
Average Tax Rate
1
150,000
45,000
2
80,000
40,000
3
30,000
21,000
Calculate tax liability for each household. (3 points)
What is the average tax rate for each household? (3 points)
What is the marginal tax rate for each household? (1 point)
Is the sales tax progressive, regressive or proportional? Explain?
i.Be sure to define each of these terms. Response should be limited to
Household
Income
Consumption
Tax Liability
Marginal Tax Rate
Average Tax Rate
1
150,000
45,000
2
80,000
40,000
3
30,000
21,000
Explanation / Answer
Kindly Give the information properly. I am not able to read the table, the number given comes under which column. kindly check it and get back. thanks
Related Questions
drjack9650@gmail.com
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.