Post Utme Aaua 2024 Economics Question 30

Practice objective / multiple choice question 30 from the 2024 Post Utme Aaua Economics examination.

Post Utme Aaua 2024 Economics Objective / Multiple Choice
Question 30 POST_UTME_AAUA • 2024 • ECONOMICS • objective

The government of Nigeria has implemented a value-added tax (VAT) to increase revenue. The VAT rate is 5% and it applies to all goods and services. U\sing the concept of tax incidence, analyze the impact of the VAT on the consumer and the producer.

Answer Options

Correct Answer A. The VAT has increased the tax burden on the consumer.
B. The VAT has decreased the tax burden on the consumer.
C. The VAT has no impact on the tax burden of the consumer.
D. The VAT has increased the tax burden on the producer.
Correct Answer
A
Correct Option:
The VAT has increased the tax burden on the consumer.

About This Question

This is Post Utme Aaua 2024 Economics Question 30. It is one of the objective questions from the 2024 Post Utme Aaua Economics examination.

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