The Total Amount of Salary You Earn Before Taxes Are

question 65

Multiple Choice

The total amount of salary you earn before taxes are deducted is your _____ salary .

• A) gross
• B) after-tax
• C) take-home
• D) net
• E) liquid

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Definitions:

Nominal Rate

The interest rate before adjustments for inflation. It is the rate that is quoted by banks and other financial institutions for savings accounts, loans, and mortgages.

Inflation

A general increase in prices across an economy, leading to a decrease in the purchasing power of money.

Purchasing Power

The purchasing power of a currency, measured by the quantity of goods or services a single unit can acquire.

Longest Expansion

A period characterized by sustained economic growth and expansion, often measured by GDP growth, without a recession.