A Tax System Achieves Equity When

question 189

Multiple Choice

A tax system achieves equity when:

• A)taxes are distributed fairly,however society may define fair.
• B)it minimizes the costs to the economy of tax collection.
• C)it is efficient.
• D)taxes are lump sum.

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Definitions:

Minimum Lease Payments

The lowest total amount that a lessee is expected to pay over the lease term under a lease agreement.

Executory Costs

Expenses associated with executing a contract, including maintenance and insurance, but excluding depreciation.

Guarantee

A formal promise or assurance, typically in writing, that certain conditions will be fulfilled, especially regarding the quality, durability, or performance of a product or service.

Failure to Renew

The situation occurring when a contract, such as a lease or licensing agreement, is not extended or renewed upon its expiration.