Question

please use the information from questions 3, 4, and 5 to answer question 6

Question 3 0.3 pts As described above, the country of Irvineland has an income tax rate of 30% on the first $30,000 of taxable income, 40% on the next $30,000 in taxable income, and 50% on all taxable income above $60,000. Irvineland allows a standard deduction of $12,000 for single taxfilers. Zed Zot has gross income of $70,000. As a single person, he takes a standard deduction of $12,000. Zed's taxable income is $ 58000 Zed's marginal tax rate is 40 %. Zed's total taxes due are $ 20200 . (Please enter only numbers in the blanks, and round numbers to the second decimal place if necessary). Question 4 0.4 pts Demand for blue t-shirts in Anteaterville is given by Q - 960 - 40p, Supply is given by Q - 20p. In both cases, Q is the quantity of blue t-shirts, and p is the price in dollars per bluet- shirt. In the absence of any government intervention, the equilibrium price of blue t-shirts is $ and the equilibrium quantity is 320 shirts. (Please enter only numbers in the blanks, and round numbers to the second decimal place if necessary.)

Answer 1

Question 6:
Tax revenue collected = Tax*Quantity after tax = 3*(280) = $840
Deadweight loss = area of triangle = (1/2)*(Quantity before tax - Quantity after tax)*tax rate = (1/2)*(320-280)*3 = (1/2)*40*3 = $60