Jimmy's Average Tax Liability is $26.96%. See the computation below.
What is the justification for the above result?
Average Tax Liability = Total Tax Liability/Taxable Income.
= $41,495.50/$189,000
=21.96%
See the attached image.
What is the marginal tax rate?
Marginal tax rate refers to the additional tax paid on the additional income.
Hence, Timmy's Marginal Tax rate on additional Income is 32%
See the attached image for more information.
Learn more about tax computation:
https://brainly.com/question/24060890
#SPJ1