P.

481
Multiple Choice 10-4
1. The kind of tax is imposed due to opportunity given to engage on sale, exchange, or barter of
goods and services.

a. Ad-valorem tax
b. Privilege tax
c. Consumption tax
d. Indirect tax
2. which of the following a value added tax is not?
a. Ad-valorem tax
b. Privilege tax
c. Consumption tax
d. Indirect tax
3. The reason of implementing VAT system is to
a. simplify tax administration
b. insure honesty
c. foster higher revenue and national progress
d. all of the above
4. which of the following tax rates is not a VAT related?
a. 0%
b. 2%
c. 3%
d. 4%
5. statement 1: importations of goods are subject to VAT, but export sales are exempt from 12% VAT.
Statement 2: VAT is an additional tax imposed on goods or services for the consumption privilege.
a. only statement 1 is correct.
b. only statement 2 is correct.
c. both statements are correct.
d. both statements are incorrect.
6. which of the following VAT rates can be used as rate for output and input VAT?
a. 12%
b. 7%
c. 5%
d. 2%
7.Statement 1: VAT is designed to be borne by the consumers.
Statement 2: VAT system establishes audit trail.
a. only statement 1 is correct.
b. only statement 2 is correct.
c. both statements are correct.
d. both statements are incorrect.
8. Statement 1: the gross margin is included in the determination of VAT.
Statement 2:The standard input VAT allowed to sake of goods or services to the government is 12%.
a. only statement 1 is correct.
b. only statement 2 is correct.
c. both statements are correct.
d. both statements are incorrect.
9. Statement 1: if the VAT invoice amount does not indicate separately the VAT, the sales is not covered
by VAT.
Statement 2: The amount of VAT is determined by dividing the VAT sales invoice by 9.333
a. only statement 1 is correct.
b. only statement 2 is correct.
c. both statements are correct.
d. both statements are incorrect.
10. The application of TCC or VAT refund should be made within
a. 2 years after the close of the taxable quarter when the sales were made.
b. 2 years after the close of the taxable year.
c. 120 days after the close of the taxable quarter when the sales were made.
d. 30 days after the close of the taxable month after sales.