Which one of the following terms is defined as the total tax paid divided by the total taxable income? Multiple Choice Average tax rate Marginal tax rate Variable tax rate Contingent tax rate Absolute tax rate < Prev 28 of 45 Next >
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'The average tax rate is: equal to the marginal tax rate if the tax is progressive the total tax rate minus the marginal tax rate the ratio of total taxes paid to total taxable income: the tax rate that applies to incremental dollars of income.'
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