Taxes levied on goods and services by government are called
Indirect taxes
Direct taxes
Corporate taxes
Poll taxes
Correct answer is A
Taxes levied on goods and services by the government are called indirect taxes. Indirect taxes are taxes that are collected from businesses when they sell goods or services. The businesses then pass the tax on to consumers in the form of higher prices.
Many workers are employed in the agricultural sector of developing countries because
Labour intensive method is mostly adopted
Abnormal profits are made
Wages in the sector is high
They practice mechanized system of farming
Correct answer is A
Many workers are employed in the agricultural sector of developing countries because labour intensive method is mostly adopted.
In developing countries, the agricultural sector is often the most labor-intensive sector of the economy. This is because the land is often not suitable for mechanized farming, and the labor force is often abundant and relatively inexpensive.
As a result, the agricultural sector employs a large number of people, even though it is not the most productive sector of the economy. This is why many workers are employed in the agricultural sector of developing countries.
If a firm retrenches some of its factory workers its
Average fixed cost may increase
Variable cost will decline
Marginal cost may increase
Fixed cost is likely to increase
Correct answer is B
If a firm retrenches some of its factory workers, its variable cost will decline. This is because variable costs are costs that vary with the level of output. When the number of workers is reduced, the amount of variable costs will also be reduced.
One of the factor that may not promote industrial development is
Local firms entering into partnerships with foreign firms
Granting capital to firms at reasonable interest rates
Setting up industrial estates with modern amenities
Granting old firms tax exemptions
Correct answer is D
The factor that may not promote industrial development is granting old firms tax exemptions.
Tax exemptions are a form of government subsidy that can be given to firms in order to promote economic development. However, they can also have the unintended consequence of discouraging innovation and efficiency.
This is because tax exemptions can make it easier for old firms to stay in business, even if they are not competitive. This can prevent new firms from entering the market, which can stifle innovation and economic growth.
The price level and the value of money are
Positively related
Directly related
Not related
Inversely related
Correct answer is D
The price level and the value of money are inversely related. The price level is the average price of goods and services in an economy. The value of money is the amount of goods and services that can be purchased with a unit of money.
When the price level increases, the value of money decreases. This is because the same amount of money can buy fewer goods and services. Conversely, when the price level decreases, the value of money increases. This is because the same amount of money can buy more goods and services.