A Tax Is Said to Be Progressive If

question 100

Multiple Choice

A tax is said to be progressive if

• A)the absolute size of the tax (in dollars)increases as income increases
• B)the wealthy pay a smaller percentage of their income than the poor
• C)the average tax rate falls as income rises
• D)the proportion of income paid as taxes increases as income increases
• E)the proceeds are used to pay for liberal political programs

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Definitions:

AASB 8

An accounting standard that requires entities to report financial information by operating segments, enhancing the ability of users of financial statements to evaluate the performance of the segment and make decisions.

Consolidated Financial Statements

Financial statements that present the assets, liabilities, equity, income, expenses, and cash flows of a parent company and its subsidiaries as a single entity.

Parent Entity Financial Statements

Financial reports that consolidate the financial performance and position of a parent company and its subsidiaries.

Condensed Segment Data

A summarized presentation of financial information by different segments within a business.