Which of the Following Is an Example of an Activity-Based

question 41

Multiple Choice

Which of the following is an example of an activity-based tax?

• A)A tax on business' net income
• B)An excise tax
• C)A gift tax on the transfer of assets by gift
• D)Both A.and C.

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Definitions:

Vacation Time

Allocated time off work provided by employers for employees to rest, travel, or engage in personal activities.

Employee Discount Plans

Benefits offered by employers that allow their employees to purchase the company's products or services at a reduced price.

Organizations

Groups of individuals structured to achieve common goals or objectives, which can include businesses, government agencies, non-profits, and more.

Voluntary Non-Insurance

A decision by individuals or entities to not purchase insurance coverage for potential risks, relying instead on self-funding for losses.