Question: 47
(Choose 1 answer)
Chartworth Associates' financial statements indicated that the company has EBITDA of $3,145,903. It had
depreciation of $633,000, and its interest rate on debt of $1.25 million was 7.5 percent. The company is likely to
owe $822,512 in taxes. What are the marginal and average tax rates for this company?
Taxable Income
Tax Rate
15%
$0 to $50,000
25
50.001-75,000
34
75,001 - 100,000
39
100,001 335,000
34
335,001 10,000,000
35
10,000,001 - 15,000,000
38
35
15,000,001 18,333,333
More than $18,333,333
A. 34%, 35%
B. 35%, 34%
C. 34%, 34%
D. none of these answers are correct
