Asked by
deborah condor
on Oct 25, 2024Verified
(Table: The Market for Fried Twinkies) Use Table: The Market for Fried Twinkies.As a result of the $0.30 tax per fried Twinkie,the government will receive total tax revenue of:
A) $500.
B) $1,000.
C) $1,500.
D) The total is impossible to calculate.
Tax Revenue
The income that is gained by governments through taxation, which is used to fund public services and goods.
Excise Tax
A tax levied on specific goods, services, or transactions, often targeted at commodities considered harmful, like alcohol and tobacco, or on luxury items.
Fried Twinkies
A snack created by deep-frying Twinkies, often resulting in a crispy outside and soft, warm inside, popular in fairs and festivals.
- Assess the government's revenue generation from excise taxes and its implications.
Verified Answer
SA
Learning Objectives
- Assess the government's revenue generation from excise taxes and its implications.