Ethan's taxable income is 87,525 . Use this tax schedule to calculate the total amount he owes in taxes. }(l) If taxable incame is over- & But not over- & The tax is: 50 & 7,825 & 10 percent of the amount over 50 57.825 & 31.850 & 782.50 plus 15 percent of the amount over 7,825 531.850 & 77,100 & 4,386.26 plus 25 percent of the amount over 31.650 577.100 & 160.850 & 15,698.75 plus 26 percent of the amount over 77,100 5160.850 & 349.700 & 39,148.75 plus 33 percent of the amount over 150,850 5349.700 & no limit & 101,469.25 plus 35 peroont of the amount over 349,700

To calculate Ethan's total tax liability based on his taxable income of $87,525, we will use the provided tax schedule. His income falls within the fourth bracket: "If taxable income is over $77,100 but not over $160,850." The tax for this bracket is calculated as $15,698.75 plus 28% of the amount over $77,100.<br /><br />## Step 1: Identify the applicable tax bracket<br />### Ethan's taxable income of $87,525 falls in the fourth bracket: "$77,100 to $160,850." Therefore, we will use the formula for this bracket:<br />\[<br />\text{Tax} = 15,698.75 + 0.28 \times (\text{Taxable Income} - 77,100)<br />\]<br /><br />## Step 2: Calculate the excess income over $77,100<br />### Subtract $77,100 from Ethan's taxable income:<br />\[<br />\text{Excess Income} = 87,525 - 77,100 = 10,425<br />\]<br /><br />## Step 3: Compute the tax on the excess income<br />### Multiply the excess income by 28% (or 0.28):<br />\[<br />\text{Tax on Excess Income} = 0.28 \times 10,425 = 2,919<br />\]<br /><br />## Step 4: Add the base tax for the bracket<br />### Add the base tax of $15,698.75 to the tax on the excess income:<br />\[<br />\text{Total Tax} = 15,698.75 + 2,919 = 18,617.75<br />\]