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Budget and Tax

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Question: What are the characteristics of a private good?

  1. a.
    non-rivalness and excludability
  2. b.
    non-rivalness and non-excludability
  3. c.
    rivalness and excludability
  4. d.
    rivalness and non-excludability
  5. e.
    None of these
Answer: c

Question: VAT stands for--

  1. a.
    Valuation Agreement on Taxes
  2. b.
    Value Added Tax
  3. c.
    Variation in Additional Taxes
  4. d.
    Valuation of Additional Taxes
  5. e.
    Valuation of Aggregated Taxes
Answer: b

Question: What type of tax is it called when tax rate decreases with an increase in income?

  1. a.
    indirect
  2. b.
    proportional
  3. c.
    progressive
  4. d.
    regressive
  5. e.
    none of them
Answer: b

Question: What is the tax?

  1. a.
    postal charge
  2. b.
    recreation tax
  3. c.
    court fee
  4. d.
    fine
  5. e.
    none
Answer: b

Question: Which policy measure would tend to reduce both the rate of inflation and a balance of payments deficit?

  1. a.
    an appreciation of the country's currency
  2. b.
    an increase in import tariffs
  3. c.
    a reduction in government spending
  4. d.
    a reduction in the level of interest rates
  5. e.
    None of these
Answer: c

Question: Value-added tax (VAT) in Bangladesh was introduced on--

  1. a.
    1st July 1990
  2. b.
    2nd June 1988
  3. c.
    13 July 1992
  4. d.
    1st June 1991
  5. e.
    None of these
Answer: d

Question: Which is the example of direct tax?

  1. a.
    income tax
  2. b.
    corporate tax
  3. c.
    property tax
  4. d.
    a and c both
  5. e.
    none of these
Answer: d

Question: What type of tax is it when tax rate increases from 15% to 18% with an increase in the monthly income of a person from Tk.30000 to Tk.40000?

  1. a.
    balanced
  2. b.
    proportional
  3. c.
    progressive
  4. d.
    regressive
  5. e.
    none
Answer: c

Question: Over which policy may country lose control, if it sets a fixed parity for its currency against other currencies?

  1. a.
    supply side policy
  2. b.
    prices and incomes policy
  3. c.
    fiscal policy
  4. d.
    monetary policy
  5. e.
    None of the above
Answer: d

Question: When a person can impose the burden of tax on others which was imposed on himself, it is called--

  1. a.
    indirect tax
  2. b.
    direct tax
  3. c.
    poal tax
  4. d.
    cstom duty
  5. e.
    none of them
Answer: a

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