Question

A________paid to a business by the government usually has the effect of lowering cost and increasing_________

Answer 1

Answer:

Grant, loan and disbursement ; increasing tax.

Explanation:

On the goverment side to help growth of industries, grant which are consider as free gifts which is not expected to be paid back, loans is also the money that the government gives out to companies but unlike Grant, loans are meant to be paid back with interest. Disbursement are money paid out to run a business.

The industries, having been established are prone to tax by the government. A business which was not taking shape but was help by goverment funds of either Grants or loan is expected to pay tax once the company start booming.

So, if we are to fill in the gap in the question, we will have;

" GRANTS, LOAN AND DISBURSEMENT paid to a business by the government usually has the effect of lowering cost and increasing TAX "

Please note that the capitalized words are the missing words in the gap.