A VAT (value added tax):
a. Is regressive in its effect.
b. Has not proved popular outside of the U.S.
c. Is not a tax on consumption.
d. Is used exclusively by third world (less developed) countries.
e. None of these.
a
RATIONALE: Both the VAT and a general sales tax are taxes on consumption (choice c.) and are regressive in effect (choice a.). The VAT has been adopted by many countries (choice b.), many of which (e.g., Japan, Denmark) are not third world countries (choice d.).
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A) They are in staff positions. B) They are trained in research techniques. C) They are responsible for generating information. D) They possess line positions. E) none of the above
Which of the following would not be a reason to expect an increase in the market price of the stock of Carlyle Corporation?
A. Carlyle Corp. has a history of earnings growth. B. The market price has been influenced by positive financial information that is not provided in the financial statements. C. Investors believe Carlyle Corp. has potential for earnings growth. D. Investors expect that revenue and earnings growth in the future will not be as great as revenue and earnings growth has been in the past.
Should the sales tax be recorded at the time of sale or when payment is received?
Which of the following does NOT act as a revocation of a will?
a. Creating a codicil b. The testator's putting an X through it c. Physically destroying the will by intentionally shredding it d. Signing a new will that expressly revokes prior wills