Which of the Following Statements Is True

question 30

Multiple Choice

Which of the following statements is true?

• A) The political power of large firms and the capitalist class has decreased in recent years.
• B) Both corporate and individual tax rates have been declining over the last forty years.
• C) The relationship between large firms is becoming far more competitive and far less cooperative.
• D) As individual income tax rates have increased over the past forty years, corporate tax rates have decreased.

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Definitions:

Investments

Assets or items acquired with the goal of generating income or appreciating in value over time.

Indirect Method

A way of calculating cash flows for operational activities in the cash flow statement by starting with net income and adjusting for non-cash transactions.

Cash Flows

The total amount of money being transferred in and out of a business, especially affecting liquidity.

Operating Activities

Activities that relate directly to the primary operations of a company, such as manufacturing, distributing, marketing, and selling a product or service.