Solve the Problem. -In a Recent Year, the Total Receipts for the US

question 43

Multiple Choice

Solve the problem.
-In a recent year, the total receipts for the US federal government were estimated to be $2288 billion. The total outlays were estimated to be $2613 billion. The table below shows the makeup of federal
Government receipts that year - the percentage of total receipts coming from each category. How much income came from individual income taxes that year?

• A)$1 trillion
• B)$1.1 trillion
• C)$965 billion
• D)$847 billion

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Definitions:

Hurdle Rate

The minimum rate of return on a project or investment required by a manager or investor to proceed with the project.

Payback Period

The length of time required to recover the cost of an investment.

Economic Life

The estimated period over which an asset is expected to be economically useful to the owner.

Cost of Capital

The rate of return a company must earn on its investment projects to maintain its market value and attract funds.