Which of the Following Is Not a Correct Statement About

question 11

Multiple Choice

Which of the following is not a correct statement about sales taxes?

• A)Sales taxes are an expense of the seller.
• B)Many companies record sales taxes in the sales account.
• C)If sales taxes are included in the sales account, the first step to find the amount of sales taxes is to divide sales by 1 plus the sales tax rate.
• D)All of these are true.

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Definitions:

GDP Deflator

A gauge for pricing of all new, native-produced, conclusive goods and services within an economy, applied to revise nominal GDP in order to compute real GDP.

Real GDP

Gross Domestic Product adjusted for inflation, measuring the value of goods and services produced by a country in a specific period in real terms.

Percentage Change

A mathematical calculation that determines the degree of change over time as a proportion of the original value, often used to measure growth or decline in economic data.

Real GDP

The calculation of a nation's economic production accounting for variations in prices, representing the actual value of all goods and services generated.