Harun Earned $50,000 in Salary and Paid $10,000 in Federal

Multiple Choice

Harun earned $50,000 in salary and paid $10,000 in federal taxes.If he receives $2,000 in interest payments from municipal bonds,

A) his marginal tax rate will be about 19.2 percent.
B) his average tax rate will fall.
C) his marginal tax rate will remain constant.
D) his marginal tax rate will be 20 percent.