CIMA Exam CIMAPRA19-F01-1 Topic 6 Question 73 Discussion

Actual exam question for CIMA's CIMAPRA19-F01-1 exam

Question #: 73
Topic #: 6

[All CIMAPRA19-F01-1 Questions]

In Country X corporate income tax is levied on profits as follows:

Which of the following describes the tax rate structure in Country X?

AProportional

BRegressive

CProgressive

DCompetent

Show Suggested Answer

Suggested Answer: D

by Noah at Aug 05, 2023, 03:22 PM

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Claudio

1 months ago

Finally, a tax system that rewards ambition and hard work. Now if only I could figure out how to get my profits into the highest bracket...

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Coral

12 days ago

User 1: I think the tax rate structure in Country X is progressive.

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Shawnta

1 months ago

Hold on, so Country X has a 'Ministry of Profits'? I want to apply for that job - free money for everyone!

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Hyman

1 months ago

This is a straightforward progressive tax system. The only way it could be more obvious is if they included a chart with 'Tax Rates for the Extremely Rich' at the top.

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Shelia

2 days ago

B) Regressive

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Avery

11 days ago

A) Proportional

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Lauran

1 months ago

Haha, 'Competent' as an option? Seriously? I think the exam writers are trying to trick us with that one. Let's just stick to the actual tax rate structures.

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Salley

20 days ago

User 3: Definitely, we need to be careful with these tricky options.

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Beula

26 days ago

User 2: I agree, let's focus on the actual tax rate structures.

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Tayna

1 months ago

User 1: Yeah, 'Competent' doesn't even make sense in this context.

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Mona

2 months ago

I'm not sure about this one. The tax rates seem to increase with profit, but the increments are uneven. I'll have to think about this a bit more.

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Evangelina

11 days ago

User 3: I'm not sure, it could also be considered regressive since the higher profits are taxed at a lower rate.

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Felicitas

17 days ago

User 2: I agree, the tax rates increase as profits increase, even though the increments are uneven.

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Fernanda

18 days ago

User 1: I think the tax rate structure in Country X is progressive.

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Merrilee

2 months ago

The tax rate structure in Country X is definitely progressive. The higher the profits, the higher the tax rate - that's the very definition of a progressive tax system.

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