O Levels Economics (2281)•2281/12/O/N/21

Explanation
Summing all listed tax receipts
Steps:
- Add air passenger duty and tax on firms profits: 10 + 75 = 85
- Add import duties: 85 + 100 = 185
- Add inheritance tax: 185 + 50 = 235
- Add sales tax (VAT): 235 + 150 = 385
Why C is correct:
- The total is the sum of all five tax receipts in the table, which equals 385m using standard addition.
Why the others are wrong:
- A omits most receipts, only matching VAT.
- B adds VAT and inheritance tax but ignores others.
- D adds VAT, firms profits, import duties, and inheritance but overcounts by including air passenger duty twice or misadding.
Final answer: C
Topic: Fiscal policy
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