13.3
In 2020, Carl is thinking of purchasing stock in Harrison Engineering and 3-D Imaging. From the annual report, he deduced that
GI
=
$
4.9
million,
�
=
$
2.1
million, and
�
=
$
1.4
million. If the average federal tax rate is 21% and state/local tax rates total 9.8%, estimate (a) federal income taxes, and (b) the percent of GI that the federal government takes in income taxes. (c) If Carl had performed the same analysis in 2017 and the data were the same, what answers would he have gotten?