What is your average tax rate-marginal tax rate

Assignment Help Financial Management

Reference no: EM131130172

Now, assume you are instead given a $500,000 investment portfolio when your grandmother dies. Rather than working, you decide to invest the assets using your extensive investment knowledge gained during your time at NAU. You manage your portfolio carefully, earning a return of 8.8% each year (all long-term capital gains). a. Based on a capital gains rate of 15%, how much money will you have to live on each year (assuming you do not touch the $500,000 in principal)? b. What is your average tax rate? c. What is your marginal tax rate?

Reference no: EM131130172

Questions Cloud

How much will your take home pay be reduced : Your employer offers a 401k that you can invest in as an employee of the firm. If you put in 3% of your pre-tax income (listed in question 1.a.), your employer will match 3%. a. Assuming you put in the full 3% during your first year of employment, ho..

Whether you are or are not in favor of privatized prisons : Summarize as to whether you are, or are not, in favor of privatized prisons.- provide specific details to support your reasoning as you describe the stance you choose.

Discusses the visual elements in the art work : Write a paragraph that discusses the visual elements in the art work (For example, are the shapes geometric, or organic. What colors are used, etc.?).

Good employee with near perfect attendance record : A good employee with a near perfect attendance record has suddenly been missing 2-3 days of work per week. His supervisor has repeatedly told him he must be at work daily, or he will be fired. Now, the supervisor wants to fire him, but has come to as..

What is your average tax rate-marginal tax rate : Now, assume you are instead given a $500,000 investment portfolio when your grandmother dies. Rather than working, you decide to invest the assets using your extensive investment knowledge gained during your time at NAU. What is your average tax rate..

Cost of debt using both methods currently : Cost of debt using both methods Currently, Warren Industries can sell 15-year,$1,000-par-value bonds paying annual interest at a 12% coupon rate.

Spirit company produces baseball caps : c. The company expects to produce 10,000 caps this month. Would you expect each type of cost to increase or decrease? Why? Can the total cost of 10,000 caps be determined? Explain.

Write the paper in essay form and the art objects : You must write the paper in essay form and the art objects must be from the time period we study in this course. prehistory to early renaissance, 14th C.

Find the utility maximizing combination of rides and games : Then draw the budget line and find the utilitymaximizing combination of rides and games.

User Account

All Pages