Which of the Following Statements Is Correct

question 12

Multiple Choice

Which of the following statements is correct?

• A)Gasoline taxes are an example of an EPA regulation.
• B)Gasoline taxes are higher in many European countries than in the United States.
• C)Gasoline taxes contribute to global warming.
• D)Gasoline taxes are an example of a command-and-control policy.

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Definitions:

Account

A document detailing all dealings related to a specific element of the accounting formula.

Trial Balance

A bookkeeping worksheet in which the balances of all ledgers are compiled into debit and credit account columns to ensure equality.

Debit And Credit Balance

Accounting terms where debit balances typically exist in asset and expense accounts, and credit balances in liability, equity, and revenue accounts.

Normal Balance

The side of an account (debit or credit) that is expected to have a higher balance, based on accounting rules.