Question 7.T-Y-S.D: If a company’s total effective income tax rate is 40% and it...

Engineering Economy [EXP-45247]

If a company’s total effective income tax rate is $40 \%$ and its state income tax rate is $20 \%$ , what is the company’s federal income tax rate? (7.7)

(a) $20 \%$ (b) $25 \%$ (c) $35 \%$ (d) $40 \%$ (e) $52 \%$

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