L408 Taxes and Inflation

Who uses our tax money?

• Companies such as McDonald's

• The Government

• Schools

• None of the above

Which among the following is an indirect tax?

• Corporate Income Tax

• Personal Income Tax

• Goods and Services Tax

• All the above

Gopal's dad pays a tax to the government each year based on the money he earns from his job at Infosys. What type of tax does Gopal's dad pay each year?

• GST

• Income Tax

• Property Tax

• None of the above

At a mall, Rajesh selected a new pair of jeans with price Rs. 1900. When Rajesh paid for his jeans, the total price was Rs.2000 because of taxes. Which type of tax did Rajesh pay?

• Payroll Tax

• Income Tax

• Goods and Services Tax

• Property Tax

Your parents pay a tax each year of $3500 that is based on the value of your home. Which type of tax do your parents pay each year?

• Payroll Tax

• Sales Tax

• Property Tax

• Income Tax

At a mall, Rajesh selected a new pair of jeans with price Rs.1900. When Rajesh paid for his jeans, the total price was Rs.2000 because of taxes. He paid Rs. 100 as GST to the shopkeeper. Which type of tax did Rajesh pay?

• Direct Tax

• Indirect Tax

Inflation can best be defined as...

• A general increase in prices.

• An increase in prices of key items purchased by consumers.

• The increase in the value of fiat money

• The printing of too much paper money.

Inflation is

• Price rise

• Fall in price

Inflation happens when

• Demand is high

• Quantity is more

• Quantity is less

• There is no demand

When inflation occurs, the price of a product

• increases

• decreases

• remains unchanged

• none of the above