document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1125571>Question 1125571</A>: <I><SPAN STYLE=\"word-break: break-all;\"> Use the table to answer the question that follows. <BR>\n" );
document.write( "Tax Name	Investment Earnings	Tax Rate<BR>\n" );
document.write( "Dividend Income Tax	Stock dividends	If in bottom 2 tax brackets, not taxed If in top 4 brackets, taxed at 15%<BR>\n" );
document.write( "Interest Income Tax	Bond coupons	Taxed as ordinary income: 10% to 35% Exception: Municipal bond coupons are not taxed.<BR>\n" );
document.write( "Capital Gains Tax	Gain from sale of <BR>\n" );
document.write( "stocks or bonds	Held for 1 year or less (short-term): taxed as ordinary income Held for more than 1 year (long-term): taxed as dividend income\r<BR>\n" );
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document.write( "Lacey's income put her in the first tax bracket (10%) last year. During that year, she earned $175 in dividends and $475 in coupons on a corporate bond. Five years ago, she purchased a common stock for $250. She sold the same stock last year for $426. What is the total Lacey will pay in taxes on last year's investments? (2 points)<BR>\n" );
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document.write( "A. $100.15<BR>\n" );
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document.write( "B. $73.90<BR>\n" );
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document.write( "C. $47.50\r<BR>\n" );
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document.write( "I need this answer asap please. Thank you  </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #742013 by </B><A HREF=/tutors/aboutme.mpl?userid=Boreal><B>Boreal(15235)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=Boreal><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/cgi-bin/show-face.mpl?user=Boreal><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=742013\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> Dividends are not taxed in her bracket so no taxes are paid.<BR>\n" );
document.write( "$475 is taxed since a corporate bond, and that is taxed at 10%, her bracket, for $47.50<BR>\n" );
document.write( "The common stock is a long term gain of $176 and is taxed at dividend income, which is not taxed.<BR>\n" );
document.write( "The total paid is $47.50<BR>\n" );
document.write( "C </SPAN>\n" );
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