A B C D E F G H Ben Dover is trying to decide how to set up his lease for his new restaurant. He has two options: Option 1: Fixed lease of $24,000 per year Option 2: Variable lease of 6% of total sales 6 1. What is the indifference point of the two options? 0 2. If he expects to have $390,000 in sales which option should he pick? 12 3 3. If he expects to have $420,000 in sales which option should he pick? 4 5A B C D E F G H Tucker had a banner year and made $75,000 in taxable income. 2 Below are his tax rates 3 4 Taxable Income Tax Rate 5 under $20,000 10% 6 $20,000-$49,999.99 20% 7 over $50,000 30% 8 9 1. What is Tucker's total tax liability? 10 11 2. What is Tucker's average tax rate? 12 13 14 15