For Each of the Following Situations, Indicate the Nature and Amount

question 27

Essay

For each of the following situations, indicate the nature and amount of the penalty that could be imposed. (The penalties include both tax practitioner penalties and taxpayer penalties).
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Definitions:

Nonrival

A characteristic of a good where its consumption by one individual does not reduce its availability to others; often associated with public goods.

Free-rider Problem

A situation where individuals consume or benefit from resources without paying for them, often leading to under-provision or depletion of those resources.

Streetlights

Outdoor lighting fixtures installed along streets to provide illumination during the night for public safety and convenience.

Nonrival

A term used to describe a good whereby one person's consumption does not hinder or reduce the ability of another person to consume the same good.