Which of the Following Statements About Maquiladoras Is FALSE

question 37

Multiple Choice

Which of the following statements about maquiladoras is FALSE?

• A) Maquiladoras are light-assembly plants built in northern Mexico.
• B) There are more than 1000 maquiladoras employing workers.
• C) Maquiladoras are a form of licensing.
• D) Maquiladoras are owned by major corporations from the United States,Japan,and South Korea.
• E) Maquiladoras are a form of direct investment.

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Definitions:

FUTA Tax

The tax imposed by the Federal Unemployment Tax Act, paid by employers to support state employment agencies.

SUTA Tax

State Unemployment Tax Act tax, which is a state-based tax that employers pay to fund the unemployment benefits for workers who lose their jobs.

Sales Taxes Payable

Liability accounts that record the sales tax collected from customers on behalf of governmental authorities, to be paid in the future.