Tax Avoidance Is the Minimization of the Tax Burden by Using

question 47

True/False

Tax avoidance is the minimization of the tax burden by using acceptable, legal alternatives.

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Definitions:

Variable Costs

Expenses that change in proportion to the activity of a business, such as costs of goods sold or raw material expenses.

Break-Even Revenue

The amount of income needed to cover all operating expenses, with no profit or loss.

Fixed Costs

Expenses that do not change with the level of production or sales, such as rent or salaries.

Variable Cost

Costs that change in proportion to the good or service that a business produces.