An Example of a Trade Policy Is

question 20

Multiple Choice

An example of a trade policy is

• A)a tariff on sugar.
• B)all are examples of trade policy.
• C)capital flight because it increases a country's net exports.
• D)an increase in the government budget deficit because it reduces a country's net exports.

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Definitions:

Tax Deductible

Tax deductible refers to certain expenses or investments that can be subtracted from gross income to reduce the amount of income subject to tax.

Depreciation

The allocation of the cost of a tangible asset over its useful life, reflecting the decrease in value due to use and wear and tear.

Income Tax Rate

The percentage at which an individual or corporation is taxed on their income.

Deferred Tax Asset

A financial statement item that represents an entity's right to reduce future tax payments due to temporary differences or certain carryover losses.