Which of the Following Statements Is True

question 8

Multiple Choice

Which of the following statements is true?

• A)Tax results in efficient market allocation.
• B)Super profits tax is the same as a royalty.
• C)The lower the tax for a firm the less is the firm's willingness to invest and take risks.
• D)Super profits tax would compensate the people of Australia for the value of the minerals extracted in mineral industries.

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Definitions:

Segregation Of Duties

A risk management and internal control principle that divides responsibilities among different people to reduce the risk of error or fraud.

Accounts Payable Clerk

A professional responsible for managing a company's outgoing bills and invoices, ensuring payments are made on time and records are kept.

Cheque Signing Authority

The power granted to an individual or individuals within an organization to sign checks on behalf of the company.

Internal Auditors

Professionals who conduct audits within an organization to review its operations, processes, and financial practices for efficiency, effectiveness, and compliance.