The Primary Function of Taxes Is to

question 131

Multiple Choice

The primary function of taxes is to

• A)Transfer the command of resources from the private sector to the public sector.
• B)Increase the purchasing power of the private sector.
• C)Increase private saving.
• D)Correct inequities in the distribution of goods and services.

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Definitions:

Process

A series of actions or steps taken in order to achieve a particular end in business or manufacturing.

Job Order

A work instruction or order for producing a specific quantity of a product or service according to customer specifications.

Conversion Cost

The combined costs of direct labor and manufacturing overheads associated with converting raw materials into finished products.

Direct Labor

The labor cost of workers who are directly involved in the manufacture of products or the provision of services.