Which of the Following Propositions Is Not True of Capital

question 34

Multiple Choice

Which of the following propositions is not true of capital gains tax?

• A)It is not payable on the sale of a primary place of residence.
• B)It is not payable on the sale of a motor vehicle.
• C)It is not payable by corporations.
• D)It is payable at the same rate as income tax.

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Definitions:

Debt Ratio

A financial ratio that measures the proportion of a company's total debt to its total assets, indicating the company's leverage level.

Total Assets

The combined value of a company's immediate and long-term assets.

Total Liabilities

Total liabilities represent the aggregate of all debts and financial obligations owed by an entity at a given point in time.

Processing Transactions

Processing transactions involves recording, analyzing, and managing the financial events and transactions of a company, ensuring accuracy in the financial statements.