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Chapter 11 Review - Careers and Taxes

Total questions: 18

Worksheet time: 9mins

Name
Class
Date
1.

The Internal Revenue Service (IRS) is the federal government agency responsible for:

a)

Tax collection and tax law enforcement Tax collection and tax law enforcement

b)

Filling out your tax forms

2.

What is the difference between gross pay and net pay?

a)

Net pay is your pay after deductions; gross pay is before

b)

Gross pay is your pay after deductions; net pay is before.

3.

Sales tax and excise tax are both taxes on:

a)

Consumption

b)

Wealth

4.

The government relies on taxes to:

a)

Remind citizens of the governmentʹs power

b)

Burden the public with an extra expense

c)

Pay for services like roads, education & social services

d)

All of these

5.

The day that income tax filings are due in the United States:

a)

April 22

b)

April 15

6.

This tax pays for benefits that workers & families receive for either Social Security/Medicare.

a)

Sales tax

b)

Federal Insurance Contribution Act (FICA)

7.

Income generated by selling an investment at a higher price than you paid for it:

a)

Portfolio income

b)

Secondary income

8.

Which of the following statements about taxes is false?

a)

3 taxes deducted from paycheck: federal, state & FICA

b)

Not all types of income are taxed; portfolio income isn't.

c)

Primary taxes on consumption are sales tax and excise tax.

d)

There are many taxes on wealth and property. There are many taxes on wealth and property.

9.

Any income that is generated by working

a)

passive income

b)

earned income

10.

Taxes paid out by anyone who earns an income

a)

estate taxes

b)

income taxes

11.

The process by which we ʺmarketʺ ourselves to others by highlighting strengths, interests, etc

a)

personal branding

b)

personal selling

12.

A brief account of oneʹs professional/work experience & qualifications

a)

contact letter

b)

resume

13.

Tax on goods and services that goes to your state or local government

a)

gift tax

b)

sales tax

14.

Taxes paid by anyone who owns property such as land, a home or commercial real estate

a)

property taxes

b)

estate taxes

15.

Federal ins. program funded by taxpayer provides benefits to ppl retired, unemployed/disabled

a)

withholdings

b)

Social Security

16.

The amount of income left after taxes have been deducted

a)

gross pay

b)

net pay

17.

This tax is the main source of revenue for local governments

a)

excise tax

b)

property tax

18.

Money earned on a regular basis w/ little/no effort required to maintain it.

a)

portfolio income

b)

passive income