During 2016,Beta Ltd Incurred Expenses of $250 and Earned a Net

question 48

Multiple Choice

During 2016,Beta Ltd incurred expenses of $250 and earned a net profit of $50.Retained profits at 1 January 2016 stood at $70 and dividends declared and paid totalled $30.
-What was the balance of Beta Ltd's retained profits at 31 December 2016?

• A) $30
• B) $50
• C) $90
• D) $150

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Definitions:

Efficient

Describes a process that achieves its goals with the least waste of time and effort.

Lump-Sum Tax

A tax that is the same amount for every person.

Deadweight Loss

A cost to society created by market inefficiency, which occurs when supply and demand are out of equilibrium.

Ability-To-Pay Principle

A principle in taxation that holds that taxes should be levied according to an individual's or entity's capacity to pay.