Refer to the cases in the preceding problem. In each case, identify the corporation’s marginal tax rate, and compute its average tax rate.
a. Allen Corporation, which produces motion pictures, has $160,000 taxable income.
b. Benson Corporation, a personal service corporation providing medical care, has $160,000 taxable income.
c. Carver Corporation, which develops and operates golf resorts, has $3.91 million taxable income.
d. Damon Corporation, which drills oil wells, has $16.8 million taxable income.
e. Edmonds Corporation, which manufactures farm equipment, has $57 million taxable income.