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The Income Tax Model Chapter Exam

Exam Instructions:

Choose your answers to the questions and click 'Next' to see the next set of questions. You can skip questions if you would like and come back to them later with the yellow "Go To First Skipped Question" button. When you have completed the practice exam, a green submit button will appear. Click it to see your results. Good luck!

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Question 1 1. What is the cutoff for the alternative minimum tax?

Question 2 2. Which of these could result in a tax break?

Question 3 3. In what decade was the alternative minimum tax introduced?

Question 4 4. Which of the following tax codes is most progressive?

Question 5 5. Which of the following will most likely result, due to the replacement of some portion of the federal personal income tax with a national sales tax?

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Question 6 6. What is a progressive tax code?

Question 7 7. President _______ promised, 'Read my lips: No new taxes' as a response to the high taxes at the end of President Reagan's term.

Question 8 8. Which was the first major event that necessitated an income tax?

Question 9 9. In addition to the federal income tax, some people also have to pay what other income taxes?

Question 10 10. Which statement accurately summarizes the history of marginal tax rates in the United States?

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Question 11 11. Marginal tax rates apply _____.

Question 12 12. In 2013, what was the highest marginal tax rate in the United States?

Question 13 13. Select the statement that is NOT true of property taxes.

Question 14 14. A house has a property tax value of $12,800. What is the appraised value of the house if tax is calculated based on 16 percent of the appraised value?

Question 15 15. A house with an appraised value of $750,000 is located in a place with a tax rate of $60 per $5,000. What is the property tax?

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Question 16 16. What do people who are against sin taxes argue?

Question 17 17. Do sin taxes help support things like education, parks, and other good causes?

Question 18 18. What are sin taxes?

Question 19 19. What is TRUE about the tax code?

Question 20 20. Johnny has many medical expenses during the year. As a tax consultant, what advice can you give to Johnny?

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Question 21 21. Select the situation that will NOT lead to a tax deduction.

Question 22 22. The time value of money means that:

Question 23 23. If a couple saves $5,000 a year for five years at 5% interest, what is the future value of this annuity after those 5 years?

Question 24 24. Which of these is an annuity?

Question 25 25. Which of the following is the formula for average tax rate?

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Question 26 26. Which of the following is the best explanation of tax rate?

Question 27 27. If you earned $75,000 last year in taxable income and had to pay $15,250 in taxes, what was your average tax rate?

Question 28 28. What is the alternative minimum tax?

Question 29 29. In the case of a proportional tax, individuals are taxed at a rate that is _____.

Question 30 30. The _______ Amendment to the U.S. Constitution gives Congress the ability to impose and collect an income tax.

The Income Tax Model Chapter Exam Instructions

Choose your answers to the questions and click 'Next' to see the next set of questions. You can skip questions if you would like and come back to them later with the yellow "Go To First Skipped Question" button. When you have completed the practice exam, a green submit button will appear. Click it to see your results. Good luck!

Accounting 307: Federal Income Taxes  /  Business Courses
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