Movment Of Goods And Services And Money Flashcards
What flows from house to business
Labour
What flows from business to house
Wages
What flows from factory to business to house
Goods that the factory made
What flows from house to business to factory
Money to repay goods
What are house holds
People who live in the same house and share its food and resources
Name 8 points of tax V.A.T
1) 0% on food and verges
2) vat is on Ice cream ,clothes and sweets
3) Value ,added,tax
4) vat is a form of indirect tax
5) sellers don’t like this tax -money doesn’t go to them- they lose costumers
6) provides a large income for the state
7) Vat is 14% of the stored tax money
8) Vat makes things more expensive
Income tax what does this mean
Tax on money people earn when the work
Income tax what happens
employers calculate the money and sends it to the tax office👉workers get what is left over
Name 4 points of income tax
- people can lose over 40% of gross salary
- people pay different percentages depending on their money
- the government uses this money to provide services for poorer people
- people don’t get as much money as they worked for
Gross salary
Salary total before deductions are made
Net salary
Salary total after deductions have been made
P.A.Y.E
Pay. As .you.earn. Actual income you pay when you work,this is the tax that goes to the government .
U.I.F
UIF,unemployment insurance fund: Like a pension fund but for when you quit or lose your job somehow ,you go to the office to get your money back.
Pension fund
Pension fund: is a fund you pay so your ,future money lies when you retire.helps with women on meternity leave they pay money for a few months,some businesses don’t do this plan
What is the effect of VAT
Thing become more expensive
Sellers loose some constumers
