Which of the Following Statements Is Not Correct

question 107

Multiple Choice

Which of the following statements is not correct?

• A)If GDP is rising faster than debt,the government is,in some sense,living within its means.
• B)The ratio of debt to GDP in the United States has always been less than one.
• C)Debts during wars may distribute the burden of fighting the war more evenly across generations.
• D)During times of peace in the United States,the ratio of debt to GDP sometimes rose.

---

Definitions:

Fiscal-Year End

The completion of a one-year, or 12-month, accounting period used by governments and businesses for financial reporting and budgeting.

Automatic Extension

An extension of time granted by the IRS for filing tax returns without needing to file a request form.

C Corporation

A legal structure for a corporation in which the owners, or shareholders, are taxed separately from the entity.

Return

A document containing details about an individual's or entity's income, deductions, and tax liabilities filed with the tax authorities.