Critical Thinking Questions Case 7-2

question 53

Multiple Choice

Critical Thinking Questions Case 7-2
Your friend Margo is considering what type of display to purchase with her new desktop computer and she asks you for advice.
How do you tell Margo to measure the screens she is considering?

• A) By calculating the area
• B) Using pixel width
• C) Diagonally, from one corner to another
• D) By maximum font size available

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Definitions:

Marginal Tax Rate

The rate at which the last dollar of a taxpayer’s income is taxed, indicating the proportion of additional income that is paid in taxes.

Proportional Tax

A tax system where the tax rate remains constant regardless of the amount subject to taxation.

Regressive Tax

A tax system wherein the tax rate decreases as the taxable amount increases, placing a higher burden on lower-income earners.

Sales Tax

A tax on the value of goods sold.