Which of the Following Is a Direct Tax

question 155

Multiple Choice

Which of the following is a direct tax?

• A)Excise tax
• B)Tax on corporate profits
• C)Property tax
• D)Sales tax

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Definitions:

Possession

The condition or reality of being the owner or holder of an item, in either a physical or legal capacity.

Collateral

An asset that a borrower offers a lender to secure a loan. If the borrower fails to repay the loan, the lender may seize the collateral.

Oral Agreement

A verbal contract in which the terms have been agreed upon through spoken communication, as opposed to written, but is still legally binding in some cases.

Perfection

In legal finance, the process of securing an interest in collateral, ensuring a lender's rights are prioritized over others in the event of borrower default.