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- 2012-12-14
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In the year following an eight-cent increase in the federal tax on a pack of cigarettes, sales of cigarettes fell ten percent. In contrast, in the year prior to the tax increase, sales had fallen one percent. The volume of cigarette sales is therefore strongly related to the after-tax price of a pack of cigarettes.
The argument above requires which of following assumptions?
A.During the year following the tax increase, the pretax price of a pack of cigarettes did not increase by as much as it had during the year prior to the tax increase.
B.The one percent fall in cigarette sales in the year prior to tax increase was due to a smaller tax increase.
C.The pretax price of a pack of cigarettes gradually decreased throughout the year before and the year after the tax increase.
D.For the year following the tax increase, the pretax price of a pack of cigarettes was not eight or more cents lower than it had been the previous year.
E.As the after-tax price of a pack of cigarettes rises, the pretax price also rises.
D is correct, but i choose A. i don't know why Ais wrong. can you explan it thank you!!!
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The total market value of real estate in Altonville has steadily declined over the past four years. This decline has meant that the overall figure on which the city's property tax is based ─ the assessed value of that real estate ─ has also declined. Moreover, the percentage of assessed value that was paid as property taxes to the city did not change during this period.
The information above most strongly supports which of the following?
A.Money collected from property taxes provided most of Altonville's revenue during the past four years.
B.The percentage of Altonville's overall revenue that was collected from property taxes did not change over the past four years.
C.Altonville officials had proposed raising property tax rates during the past four years but never did so because of strong opposition from property owners.
D.The total amount of revenue that Altonville has collected from property taxes has declined over the past four years.
E.During the past four years, Altonville officials also did not increase tax rates on other sources of revenue such as retail sales or business profits.
D is correct, but i choose B. in the pasage"the percentage of assessed value that was paid as property taxes to the city did not change during this period." so the revenue which is collected from property taxes not change. where is wrong?
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