e-Filing Tax Returns The Internal Revenue Service Restructuring and Reform Act (RRA) was signed into law by President Bill Clinton in 1998. A major objective of the RRA was to promote electronic filing of tax returns. The data in the table show the percentage of individual income tax returns filed electronically for filing years 1998-2006. Since the percentage P of returns filed electronically depends on the filing year y and each input corresponds to exactly one output, the percentage of returns filed electronically is a function of
the filing year; so P(y) represents the percentage of returns filed electronically for filing year y.
Year | Percentage of returns e-filed |
1998 | 20.7 |
1999 | 23.5 |
2000 | 27.6 |
2001 | 30.7 |
2002 | 35.6 |
2003 | 40.2 |
2004 | 46.5 |
2005 | 51.1 |
2006 | 57.1 |
Source: Internal Revenue Service
(a) Find the average rate of change of the percentage of e-filed returns from 1998 to 2000.
(b) Find the average rate of change of the percentage of e-filed returns from 2001 to 2003.
(c) Find the average rate of change of the percentage of e-filed returns from 2004 to 2006.
(d) What is happening to the average rate of change as time passes?
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