Which of the Following Statements Is True

question 22

Multiple Choice

Which of the following statements is true?

• A)The super profits tax is the same as a royalty.
• B)The super profits tax charges a different rate depending on the elasticity of the good or service.
• C)The super profits tax is imposed only on imported goods.
• D)The super profits tax allows government to compensate mineral producers if they make losses.

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Definitions:

Test-statistic

A test statistic is a calculated value from sample data that is used in statistical hypothesis testing to determine whether to reject the null hypothesis.

Degrees of Freedom

Degrees of freedom refer to the number of independent values or quantities which can be assigned to a statistical distribution or in the calculation of statistics, minus the number of independent constraints applied to the data set.

Margin of Error

A measure indicating the range within which the true value lies, with a given level of confidence.

Gas Stations

Facilities that sell fuel and often other automotive services or goods to motorists and vehicles.