Which of the Following Is an Example of a Progressive

question 67

Multiple Choice

Which of the following is an example of a progressive tax?

• A)Social Security tax
• B)income tax
• C)property tax
• D)sales tax
• E)All taxes are progressive taxes.

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Definitions:

Promissory Note

A monetary contract where one party commits to paying a distinct sum to another party, either on call or at a set date ahead.

Compounded Semi-Annually

Refers to the process where interest is added to the principal balance of an investment, loan, or deposit twice a year, leading to interest earning on interest previously accumulated.

Initial Investment

The upfront sum of money used to start an investment or project.

Compounded Daily

An interest calculation method where interest is added to the principal sum daily so that each day's interest earnings also earn interest in the future.