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The Excise Tax Imposed on a Private Foundation's Excess Business

question 134

True/False

The excise tax imposed on a private foundation's excess business holdings is in effect an audit fee to defray IRS expenses.


Definitions:

Group Judgment

The process of making decisions or forming opinions through consensus in a group, influenced by group dynamics and social factors.

Solomon Asch

A psychologist best known for his experiments in the 1950s on conformity, demonstrating the influence of group pressure on opinions.

Normative Social Influence

The influence of other people that leads us to conform in order to be liked and accepted by them.

Social Approval

The positive recognition, acceptance, or endorsement by others in a social context.

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