SAT, 22.10.2020 22:01, khlo30

Christiana Enable Audio
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Jon made a million dollars last year as a major league pitcher. His friend Eric made a million dollars the same
year by starting a computer game business, developing a best-selling game, drawing no salary, and selling the
business for a million dollars more than he put into it a year later. What is the Federal tax rate that each will
have to pay on most of their income?
O A. They will both have to pay 20% on most of their income.
B. Eric will have to pay 37% on most of his income while John has to pay only 20% on all of his income.
0 0 0
OC. Jon will have to pay 37% on most of his income while Eric has to pay only 20% on all of his income.
D. They will both have to pay 37% on most of their income.
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Jon made a million dollars last year as a major league pitch...