A Tax That Is Imposed by the Importing Country When

question 114

Multiple Choice

A tax that is imposed by the importing country when an imported good crosses its international boundary is called

• A)an import quota.
• B)dumping.
• C)a voluntary export restraint.
• D)a tariff.
• E)a sales tax.

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Definitions:

Accrual Method

A bookkeeping approach that registers revenues and costs as they are accrued or realized, irrespective of the timing of the associated cash transactions.

Taxable Income

The amount of income that is subject to income tax after deductions and exemptions.

Corporate Income Tax Rate

The percentage of corporate profits that are paid to the government as income tax.

Interperiod Tax Allocation

The accounting practice of distributing income taxes equally among the different periods affected by temporary differences.