USE THE INFORMATION FOR THE NEXT QUESTION

question 18

Multiple Choice

USE THE INFORMATION FOR THE NEXT QUESTION.
A state applies a 7 percent sales tax to consumer purchases of many items. These are data for a typical family:

-What average effective tax rate does the family pay?

• A) 5.0%
• B) 3.5%
• C) 7.0%
• D) Cannot be computed from this information

---

Definitions:

Supreme Court Decision

A final ruling issued by the highest court in a country or jurisdiction, which often serves as a binding authority on lower courts.

Federal District Court Decision

A ruling made by one of the trial courts of the Federal Judiciary, which addresses matters within its federal jurisdiction.

Google Scholar

An open-access internet search engine that catalogues the complete text or metadata of academic writings in a variety of publishing styles and fields.

Free Services

Services provided without requiring payment from the recipient.