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For an Arkansas-based corporation that will earn $40,000 in 2018: a. What is the: (i) Federal marginal tax rate; (ii) Arkansas state marginal tax rate

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Answer and Explanation:

The computation of the Federal marginal tax rate and the Arkansas state marginal tax rate is shown below:

For the year 2018

a. The marginal tax rate is 21%

b. And, the state marginal tax rate is 6%

So, the total marginal tax rate is 27%

Hence, the same should be relevant and considered

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