In-Kind Transfers

question 2

Multiple Choice

In-kind transfers

• A)Are a payment for work.
• B)Increase the poverty index.
• C)Are one way to reduce the moral hazards of the welfare system.
• D)Provide the direct transfer of goods and services.

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Definitions:

Initial Cost

The initial expenditure involved in acquiring an asset or starting a project, before any operational or maintenance costs.

Net Working Capital

The difference between a company's current assets and current liabilities, indicating the short-term liquidity and operational efficiency of the business.

Capital Cost Allowance (CCA)

The deduction in the Canadian tax system for depreciation of tangible property that a business uses to generate income.

Original Cost

The initial amount of money spent to acquire an asset, before depreciation or amortization is taken into account.