Of the Following, the Federal Government's Largest Source of Revenue

question 138

Multiple Choice

Of the following, the federal government's largest source of revenue is the

• A)sales tax.
• B)corporate income tax.
• C)property tax.
• D)social security tax.
• E)transfers from state and local governments.

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Definitions:

Dividends

Payments made by a corporation to its shareholder members, distributing a portion of the company’s earnings.

Liquidation

The process of winding up a company's financial affairs by selling off its assets to pay off debts.

Election

The process through which individuals select their leaders or decide on matters of public policy through voting in a democratic society.

Stockholders' Equity

The residual interest in the assets of a corporation that remains after deducting its liabilities.