The Second Largest Single Expenditure Item by Functional Class of the Texas

question 69

Multiple Choice

The second largest single expenditure item by functional class of the Texas government is

• A) debt service.
• B) public elementary and secondary education.
• C) public higher education.
• D) public assistance.

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Definitions:

25% Bracket

A reference to a tax bracket where individuals or entities are taxed at a rate of 25% on their income within a certain range.

Trade or Business

Trade or Business is an activity carried on for the purpose of earning profit by providing goods or services, and is characterized by regularity and continuity.

Section 1231 Asset

A tax term referring to depreciable property or real estate used in a trade or business that, if sold, can result in favorable capital gains treatment.

Ordinary Gain

Gain characterized as ordinary income for tax purposes, typically resulting from the sale of assets not considered capital assets.