Diversification for Stability Argument Is Given as an Excuse for Imposing

question 57

Multiple Choice

Diversification for stability argument is given as an excuse for imposing tariff and quotas against imports in some countries.This argument is based on:

• A)the fact that some of the highly specialized economies such as Saudi Arabia are very dependent on international markets for their income.
• B)the fact that some highly specialized economies such as Cuba do not want any foreign income getting into their country.
• C)the fact that imposing such tariffs and quotas has little economic cost for the host country.
• D)the fact that Canada needs such tariff and quotas to protect its industries.

Record the journal entries for the sale of merchandise, including scenarios with sales tax.

Understand the benefits of purchase discounts and their calculation.

Differentiate between the chart of accounts for merchandising and service businesses.

Understand the classification of different types of expenses in accounting.

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Definitions:

Personal Income Tax

a tax levied on individuals or households based on their total annual income, with the tax rate typically increasing as income increases.

Sales And Excise Taxes

Taxes imposed on the sale of goods and services (sales tax) and specific goods like gasoline, cigarettes, and alcohol (excise taxes), typically used to generate revenue for governments.

Commodity Taxes

Taxes imposed on goods, often based on their value or quantity, used by governments to generate revenue or influence market prices.

Purchases

The act of buying goods or services, involving the transfer of money or other forms of payment from buyer to seller.