Which of the Following Statements Is Not Correct

question 14

Multiple Choice

Which of the following statements is not correct?

• A)All states have state income taxes,but the percentages vary widely.
• B)Sales taxes and property taxes are important revenue sources for state and local governments.
• C)Medicare spending has increased because the percentage of the population that is elderly and the cost of healthcare have both increased.
• D)A budget deficit occurs when government spending exceeds government receipts.

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Definitions:

Outside Supplier

An external entity that provides goods or services to a company, usually part of the supply chain.

Transfer Price

The cost applied to products or services exchanged between units or affiliates within the same corporation.

Variable Expenses

Costs that change in proportion to the activity or volume of production in a business.

Selling Costs

Expenses incurred directly from the sale of a product or service, including marketing, advertising, and sales personnel expenses.