Which of the Following Is a Major Limitation on the Federal

question 77

Multiple Choice

Which of the following is a major limitation on the federal government's power to tax?

• A)Indirect taxes must be apportioned among the states.
• B)All custom duties and excise taxes must be uniform throughout the United States.
• C)Progressive tax rates are prohibited.
• D)All of the above.

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Definitions:

Basis

In finance, basis refers to the difference between the spot price of an asset and its future price, or it can signify the foundation or underlying principle for something.

Risk-free Interest Rate

The risk-free interest rate is the return on investment with no risk of financial loss, typically represented by the yields of government bonds of stable countries.

Gold Futures

Contracts for the future delivery of gold at a specified price, used for hedging and investing purposes.

Arbitrage Profit

The profit made from buying and selling equivalent financial instruments or capitalizing on price differences in different markets to generate a risk-free return.