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Why Do National Income Accountants Include Indirect Business Taxes in the Income

Question 59

Multiple Choice

Why do national income accountants include indirect business taxes in the income approach to GDP computation?


A) Indirect business taxes are the allowances for the portion of capital worn out by producing GDP.
B) Indirect business taxes are part of firms' profits.
C) Indirect taxes are income payments to suppliers of resources.
D) Indirect business taxes are income for the government received through collection by firms.

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