Answer:
Tax multiplier = 3
Explanation:
Given:
Current MPC = 0.75
Find:
Tax multiplier
Computation:
Tax multiplier = MPC / [1 - MPC]
Tax multiplier = 0.75 / [1 - 0.75]
Tax multiplier = 0.75 / 0.25
Tax multiplier = 3
Answer:
1. Work questions out of order.
2.Tailor your strategy to each section of the ACT.
3.Build the right ACT prep plan for you
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