Answer:
$1,575,000
Explanation:
Net operating profit before taxes:
= Sales - operating costs
= $22,500,000 - $18,000,000
= $4,500,000
Net operating profit after taxes:
= Net operating profit before taxes - Taxes
= $4,500,000 - ($4,500,000 × 0.35)
= $4,500,000 - $1,575,000
= $2,925,000
Economic Value Added:
= Net Operating Profit After Taxes - (Operating Capital × Weighted Average Cost of Capital)
= $2,925,000 - (15,000,000 × 9%)
= $2,925,000 - $1,350,000
= $1,575,000
<span>Family A: marginal rate 20%, average rate 10%</span><span>
Family B: marginal rate 40%, average rate 23% </span><span>
The marginal tax rate is the rate paid on the last dollar of income; this would be whatever tax bracket the family is in. The average price is the total tax divided by the total revenue. </span><span>
Family A: </span><span>
</span><span>
total income $40,000: this includes $10,000 at 0%, $20,000 at 10% (tax of $2,000), and $10,000 at 20% (tax of $2,000). The last rate paid is 20% so that is the marginal rate; the total tax paid is $4,000, divide that by $40,000 total income, that is the average rate. </span><span>
Family B: </span><span>
</span><span>
total income $100,000: this includes $10,000 at 0%, $20,000 at 10% (tax of $2,000), $20,000 at 20% (tax of $4,000), $30,000 at 30% (tax of $9,000), and $20,000 at 40% (tax of $8,000). The last rate paid is 40% so that is the marginal rate; the total tax paid is $23,000, divide that by $100,000 total income, that is the average rate.</span>
I would say b or c because I learned that economics is the making and distributing of good and services. If i was answering i would pick c
When using the expenditure approach, we are looking at the total spending of a business that is included in the equation to compute for GDP. For this, I would say government purchases is the answer because government purchases would take up the biggest chunk of a country's revenue for development and imports.
