Answer-What is a Per unit Tax (or Unit Tax)?

A per unit tax, or specific tax, is a tax that is defined as a fixed amount for each unit of a good or service sold, such as cents per kilogram.

Question

What is a Per unit Tax (or Unit

Tax)?

A A tax that the government imposes per unit purchase on imports.

B A tax that the government imposes per unit sale of output.

C A tax that the factory imposes per unit sale of output.

D A tax that the factory imposes on total unit purchase on imports.

Practice Next

More Previous Year Paper Questions