Full question:
Indicate whether the following statements are "True" or "False" regarding the concept of gross income.
a. While the Constitution grants Congress the power to tax income, it does not define the term.
b. The Supreme Court has held that there is no income subject to tax until the taxpayer has recovered the capital invested.
c. Economists measure income (economic income) by first determining the fair market value of the individual's net assets (assets minus liabilities) at the beginning and end of the year (change in net worth).
d. Accounting and tax rules regarding income are the same.
e. The accounting concept of income is founded on the realization principle.
f. Gross income is not limited to cash received.
Answers:
a. True
b. True
c. True
d. False
e. True
f. True
Explanation:
1.The constitution of the United States allows for power to tax income however it doesn't define tax.
2.income is not subject to tax until there is profit from capital invested as ruled by the Supreme Court of the United States
3. Measurement of income in Economics involves applying the concept of fair value to measure income at the beginning and end if the year and notice any changes that may have occurred
4. Accounting and tax rules regarding income are not the same. Accounting however complies with tax rules for accounting purposes.
5.the realization principle involves income earned or losses incurred(not necessarily received in cash or given out)
6.Gross income encompasses all(recognizable) earned income for the period(cash or not)
The person would be least apt to assume that Rory will become a "health" psychologist, based on the frequency with which people enter the different subfields of psychology.
Health psychologists take part in a wide range of assignments identified with wellbeing and health. The particular sort of work that a health psychologist does once a day may rely upon work setting or claim to fame territory. Numerous health psychologists work specifically in clinical settings to encourage people or gatherings counteract sickness and advance solid practices. Others direct research on health related issues or impact open approach on medicinal services issues.
Question:
Suppose the government has imposed a price ceiling on cellular phones. Which of the following events could transform the price ceiling from one that is binding to one that is not binding? a. Cellular phones become more popular. b. Traditional land line phones become more expensive. C. The components used to produce cellular phones become more expensive. @ A technological advance makes cellular phone production less expensive.
Answer:
.A technological advance makes cellular phone production less expensive.
Explanation:
Government could in consideration of the product's lower production cost, opt to adjust the price ceiling.
What's the rationale behind this?
The decrease in production cost for cellular phones means the industry can afford to produce and sell at lower price(maybe even lower) than the price ceiling. This would mean that businesses in this industry may be charging incredibly high prices compared to cost of production and still not hit price ceiling. Therefore government may need to lower price ceiling to suit current cost of production.
Answer:
reduced; were not
Explanation:
According to a study conducted by Honts, Raskin, and Kircher (1994), the use of countermeasures reduced the detection of guilty suspects by 50%, and the examiners were not able to tell that the suspects were manipulating their own arousal patterns. This was a findings from their research titled "Mental and Physical Countermeasures Reduce the Accuracy of Polygraph Tests".
