Which of the Following Is True of Indirect Business Taxes

question 35

Multiple Choice

Which of the following is true of indirect business taxes?

• A)They are included in corporate profits.
• B)They are not included in the GDP.
• C)They reduce the value of total economic output.
• D)They are collected by business firms that act as agents for the government.
• E)They are the same as personal income taxes.

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Definitions:

Reputation

The general perception or opinion of the public or a specific group about an individual, organization, or entity.

Proactive Firms

Businesses that anticipate and act on future needs or changes, rather than reacting to events after they happen.

Profit

The financial gain obtained when the revenue from business activities exceeds the expenses, costs, and taxes involved in maintaining the activity.

Market Share

The percentage of total sales revenue in an industry generated by a particular company.