The Basic Idea Behind a Negative Income Tax Is to

question 138

Multiple Choice

The basic idea behind a negative income tax is to

• A)help local government agencies deliver more services to the poor.
• B)increase the in-kind income of the poor.
• C)help the poor get job skills.
• D)help the poor without destroying incentives to work.

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Definitions:

Accounts Receivable

Amounts owed to a business by its customers for goods or services sold on credit.

Operations Section

The operations section is a part of a business plan or organizational structure detailing the daily activities, facilities, and equipment necessary to produce goods or services.

Indirect Method

A way of calculating cash flows from operating activities in the cash flow statement by starting with net income and adjusting for changes in balance sheet accounts.

Depreciation Expenses

The systematic allocation of the cost of a tangible asset over its useful life.