The tax rate Laura will pay on her investment income is equal to 10%.
In Mathematics and Financial accounting, capital gains can be defined as a type of investment income (revenue) that are typically obtained from the sale or exchange of capital assets such as bonds or stocks, homes, cars, or bonds.
In this scenario, Laura has a capital gain of $5,000 on an investment she held for 2 years. Based on the table, the tax rate for a single taxpayer with an income bracket between 0 to 9,525 is equal to 10%.
In this context, we can reasonably infer and logically deduce that Laura would pay a tax rate of 10% on her investment income of $5,000 that she held for 2 years.
Complete Question;
Laura is a single taxpayer. She has $35,000 in ordinary taxable income and $5,000 in capital gains on an investment she held for 2 years. Use the tables to complete the statement.
The tax rate Laura will pay on her investment income is ____