Jurisdiction M Imposes an Individual Income Tax Based on the Following

Multiple Choice

Jurisdiction M imposes an individual income tax based on the following schedule. $$\begin{array} { | c | c | } \hline \text { Rate } & \text { Income bracket } \\\hline 5 \% & \$ - 0 - \text { to } \$ 50,000 \\\hline + 8 \% & \$ 50,001 \text { to } \$ 200,000 \\\hline + 12 \% & \$ 200,001 \text { ard above } \\\hline\end{array}$$ Which of the following statements is true?

A) The schedule provides no information as to whether Jurisdiction M's tax is horizontally equitable.
B) Jurisdiction M's tax is vertically equitable.
C) Jurisdiction M's tax is vertically equitable only for individuals with $50,000 or less taxable income.
D) Both A. and B. are true.