Question

The average tax rate is defined as the:- amount of tax due on the next dollar of taxable income. - total tax paid divided by total revenue. - amount of tax due on the next dollar of revenue. - total tax paid divided by total assets. - total taxes divided by total taxable income.

Answer 1

The average tax rate is defined as the total taxes divided by total taxable income.

Step-by-step explanation:

Because the amount of tax due on the next dollar of taxable income. is incremental tax rate. It is not calculated on revenues.