Of the Following Items,which Is (Are) Most Important in Determining

question 90

Multiple Choice

Of the following items,which is (are) most important in determining the distribution of tax burden?

• A) who is legally responsible for paying the tax
• B) the elasticities of supply and demand
• C) the desired level of tax revenue
• D) whether the tax is on income, wealth, sales, or imports
• E) the dollar amount of the tax

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Definitions:

Canadian Dollars

The official currency of Canada, often represented by the symbol CAD or sometimes C$ to distinguish it from other dollar-denominated currencies.

Foreign Currency Put Option

A financial derivative that gives the holder the right, but not the obligation, to sell a specific amount of foreign currency at a set price within a specified time period.

U.S. GAAP

United States Generally Accepted Accounting Principles, a framework of accounting standards, guidelines, and procedures used in the United States.

Foreign Exchange Risk

The potential for financial losses due to changes in exchange rates affecting the value of foreign-currency-denominated assets and liabilities.