A fifty cent tax imposed on a pack of cigarettes is _____.
A)a unit tax
B)an ad valorem tax
C)a retail sales tax
D)relatively cheap

Question

Quizplus · Accepted Answer

A fifty cent tax imposed on a pack of cigarettes is a unit tax, which is a fixed amount per unit of a good or service. An ad valorem tax is a percentage of the price of a good or service, while a retail sales tax is a tax on the final price paid by the consumer. The option D is not related to the tax type.

A Fifty Cent Tax Imposed on a Pack of Cigarettes