Chapter 19: Consumption Taxation
MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers
the question.
1) Excise taxes are levied on 1)
A) cigarettes. B) wines.
C) gasoline. D) all of these answers are correct.
2) Customs duties are levied by 2)
A) the federal government.
B) local governments.
C) the federal and provincial governments.
D) provincial governments.
3) The largest source of consumption tax revenues for government is 3)
A) alcoholic beverages. B) customs duties.
C) general sales. D) motor fuel.
4) The Value Added Tax (VAT) is 4)
A) added at each stage to production.
B) often used in Canada.
C) a percentage tax.
D) all of these answer options are correct.
5)A unit tax is5)
A) a given amount for each unit purchased.
B) a percentage of the value of the purchase.
C) is the form that the GST takes.
D) less than 0.
6) Which of the following is a unit excise tax? 6)
A) An ad valorem tax of $3.00 per $100 of value
B) A tax of 15%
C) An income tax of $3.00 per $100 of income earned
D) An admission fee of $2.00 on each ticket purchased
7) Selective sales taxes are 7)
A)
less than 0.
B) a percentage of the value of the purchase.
C) levied at different rates on the purchase of different commodities.
D) a given amount for each unit purchased.
8) Consumption taxes are generally viewed as 8)
A) multiplicative. B) progressive.
C) simple to calculate. D) regressive.
9) The main attraction of is the ease of administration. 9)
A) excise tax B) customs duties
C) general sales tax D) all of these answers are correct.
10) In contrast to sales taxes, the GST is a sales tax. 10)
A) single-stage; multi-stage B) local; provincial
MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers
the question.
1) Excise taxes are levied on 1)
A) cigarettes. B) wines.
C) gasoline. D) all of these answers are correct.
2) Customs duties are levied by 2)
A) the federal government.
B) local governments.
C) the federal and provincial governments.
D) provincial governments.
3) The largest source of consumption tax revenues for government is 3)
A) alcoholic beverages. B) customs duties.
C) general sales. D) motor fuel.
4) The Value Added Tax (VAT) is 4)
A) added at each stage to production.
B) often used in Canada.
C) a percentage tax.
D) all of these answer options are correct.
5)A unit tax is5)
A) a given amount for each unit purchased.
B) a percentage of the value of the purchase.
C) is the form that the GST takes.
D) less than 0.
6) Which of the following is a unit excise tax? 6)
A) An ad valorem tax of $3.00 per $100 of value
B) A tax of 15%
C) An income tax of $3.00 per $100 of income earned
D) An admission fee of $2.00 on each ticket purchased
7) Selective sales taxes are 7)
A)
less than 0.
B) a percentage of the value of the purchase.
C) levied at different rates on the purchase of different commodities.
D) a given amount for each unit purchased.
8) Consumption taxes are generally viewed as 8)
A) multiplicative. B) progressive.
C) simple to calculate. D) regressive.
9) The main attraction of is the ease of administration. 9)
A) excise tax B) customs duties
C) general sales tax D) all of these answers are correct.
10) In contrast to sales taxes, the GST is a sales tax. 10)
A) single-stage; multi-stage B) local; provincial
