To Be Sufficient, a Financial Statement Must

question 45

Multiple Choice

To be sufficient, a financial statement must:

• A) indicate that the creditor is in possession of the collateral.
• B) be effective for a period of two years from the date of filing.
• C) be filed only in the state of the debtor's residence.
• D) indicate the collateral covered by the financing statement.

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Definitions:

Tax Base

The measure or value upon which a tax is levied.

Incidence

In economics, the allocation or distribution of a tax's economic burden between buyers and sellers.

Tax Rate Structure

The percentage of a tax base that must be paid in taxes—25 percent of income, for example.

Tax Base

The tax base is the total amount of income, property, assets, or other wealth that is subject to taxation by a taxing authority.