Effective Tax Rate: How It's Calculated and How It Works
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SOLVED: Fill out the rest of the table.Note that you are calculating the effective tax rates, so you need to use the following formula to calculate the effective rate:the amount the household pays in taxes in that plan ÷ discretionary incomeIn other words, to calculate the effective rate for each plan, make a fraction where the numerator is the amount they pay in taxes in that plan and the denominator is the discretionary income for the group. Do this out on a calculator (numerator divided by de
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