The Term "Business Cycle" Most Closely Refers to the

question 323

Multiple Choice

The term "business cycle" most closely refers to the

• A) fluctuating profits of firms.
• B) fiscal year.
• C) accounting period used by firms.
• D) alternating periods of expansions and recessions.

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Definitions:

Income Tax Withholdings

Taxes an employer deducts from employees' wages and pays directly to the government as a part of employees' income tax obligations.

IRS

The Internal Revenue Service, a U.S. government agency responsible for the collection of taxes and enforcement of tax laws.

Estimated Payments

Estimated Payments are periodic prepayments of taxes on income that is not subject to withholding, such as self-employment income, interest, and dividends.

Subject to Withholding

Income that is subject to tax withholding by the payer, which includes wages, certain types of gambling winnings, and other payments.