The Most Efficient Tax Possible Is a

question 444

Multiple Choice

The most efficient tax possible is a

• A)marginal income tax.
• B)lump-sum tax.
• C)consumption tax.
• D)corporate profit tax.

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Definitions:

Annual Demand

The total quantity of a product or service that consumers in a specific market want to purchase over the course of a year.

Carrying Cost

The total cost of holding inventory, including storage, insurance, taxes, and opportunity cost.

Order Costs

Expenses incurred when ordering and receiving goods, which may include costs related to processing, shipping, and handling.

Economic Order Quantity

The ideal order quantity a company should purchase to minimize its inventory costs including holding, shortage, and order costs.