From the Graph Given Below,identify the Fixed Costs Line

question 111

Multiple Choice

From the graph given below,identify the fixed costs line.

• A) OB
• B) AC
• C) AD
• D) AE

---

Definitions:

Income

Financial gains, usually received at consistent intervals, from employment or investing.

Benefits Principle

A taxation theory suggesting that people should be taxed based on the benefits they receive from government services.

Progressive Tax

A tax system in which the tax rate increases as the taxable base amount increases, resulting in higher income individuals paying a larger percentage of their income in taxes compared to lower-income individuals.

Vertical Equity

A concept in taxation that argues taxpayers with a greater ability to pay taxes should pay more, compared to those with a lesser ability to pay.