According to the Spotlight on Small Business Box in Chapter

question 125

Multiple Choice

According to the Spotlight on Small Business box in Chapter 11,which of the following strategies can be used to attract qualified employees to work for a small business?

• A)test-drive an employee
• B)post job openings in the local supermarket
• C)hire permanent employees with the promise of health insurance as a benefit
• D)offer an initial high starting salary

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Definitions:

Consumption Taxes

Taxes imposed on spending on goods and services, such as sales tax or Value Added Tax (VAT).

Average Tax Rate

The percentage of gross income that goes towards tax payments, determined by dividing the sum of taxes paid by the gross income.

Taxable Income

The amount of income used to calculate how much the government can tax an individual or a corporation.

Marginal Tax Rate

The rate at which the last dollar of income is taxed, indicating the impact of additional income on tax liability.