A Tax Is Progressive If It Takes a

question 74

Multiple Choice

A tax is progressive if it takes a

• A)Smaller number of dollars as income rises.
• B)Larger number of dollars as income falls.
• C)Smaller fraction of income as income falls.
• D)Smaller fraction of income as income rises.

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Definitions:

Annual Basis

Annual basis refers to any financial calculation or performance measurement taken over or normalized for a single year.

Outstanding Checks

Checks that have been issued and recorded in the issuing party's records but have not yet been cashed or cleared by the bank.

Deposits in Transit

Deposits in transit are amounts that have been received and recorded by a business but have not yet been reflected in the bank's records.

Bank Reconciliation

The act of reconciling the cash account balances recorded in an organization's bookkeeping with the related data found on a bank statement.