Assume That a Product Has the Following Three Stages of Production

question 87

Multiple Choice

Assume that a product has the following three stages of production: $\begin{array}{cc}\text { Production Stage } & \text { Selling Price } \\1 & € 10 \mathrm{C} \\2 & € 250 \\3 & € 75 \mathrm{C}\end{array}$ If the value-added tax (VAT) rate is 25 percent,what would be the VAT over all stages of production?

• A)€187.50
• B)€120
• C)€150
• D)€225

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Definitions:

Hormone-disrupting Chemicals

Substances that interfere with the normal functioning of the endocrine system, potentially causing developmental, reproductive, neurological, and immune problems.

Human Health

Overall state of physical, mental, and social well-being for individuals or populations, not merely the absence of disease.

Racism

A doctrine of superiority by which one group justifies the degrading of others based on their distinctive physical characteristics.

Thrifty Genotype

A hypothesis suggesting that certain genotypes, which efficiently store fat, increased survival during periods of famine, but predispose individuals to type 2 diabetes in modern environments with constant food availability.