Question

Question 7 Excise taxes are different than income taxes because they are applied to tobacco and alcohol purchases. Select one: True False

Question 8 If you are a married taxpayer supporting a spouse with a very low income Select one: a. you must be the one to claim all tax credits. b. you are entitled to a dependent partner tax deduction. c. you are entitled to a spousal or common-law partner tax credit. d. your spouse will not be able to apply for the GST/HST refund.

Question 9 Nick invests $50,000 today and the fund guarantees an annuity of $12,345 for six years. What is the approximate rate of return? Select one: a. 12.5 percent b. Insufficient information to calculate c. 11.6 percent

Question 10 What tends to be the case for the retirement life stage? Select one: a. Managing expenses for new hobbies becomes challenging. b. Income tends to be less than when working. c. Taxes increase due to tax on retirement funds. d. Managing RRSP investments becomes paramount.

Question 11 Self-employed taxpayers must file a tax return by June 15 of each year. Select one: True False

Question 12 If you want to have $10,000 for a down payment on a new car in three years, assuming an interest rate of 4.5 percent compounded annually, how much money do you need to deposit as a lump sum today? Select one: a. $8112 b. $8712 c. $8412 d. $8763

Answer 1

Question 7:

Excise Taxes are indirect form of taxes where levy of same could be incidental and is ultimately beared by consumer . Whereas Income Tax is direct form of tax which is beared by recepient of income .Hence, the given statement is false.

Question 8 :

Option b) is the correct option only if you are able to claim your domestic partner as dependent.

Qoestion 9 :

Approximate rate of return would be given by:

$12345 = $50000/PVAF(1+r)^6

(1+r) = ($50000/$12345)^1/6

r = 12.5% i.e. option a is correct.

answered by: anonymous