(a) What is incidence of taxes? [4 marks]
(b) Explain any four principles of taxation [16 marks]
The table below shows the natural growth gowth rate of the population of country N over a period of time. Use the information contained in the table to answer the following questions.
| Year | Birth Rate per '000 | Death Rate per '000 | Natural Growth Rate |
| 1971 | 45 | 32 | L |
| 1972 | 39 | P | 12.50 |
| 1973 | 26 | 22 | Q |
| 1974 | R | 22.50 | 4.50 |
| 1975 | 26.50 | 22.50 | S |
| 1976 | 20.50 | T | 3.00 |
(a) Determine L. P, Q, R, S and T. [6 marks]
(b) With the use of a bar chart, graphically present the changes in the natural growth rate over the years. (Use of graph sheet is essential) [8 marks]
(c) Outline any three reasons for changes in birth rate. [6 marks]
A village consists of twenty (20) households with the following annual incomes-
(Incomes $00) 30 20 50 40 60 40 40 50 20 60 80 40 20 20 70 40 70 30 40 80
(a) Determine the (i) mean income: [4 marks] (ii) modal income; [ 2 marks] (iii) median income. [2 marks]
(b) What is the range of income distribution? [2 marks]
(c) Calculate the total tax that could be generated from the village if (i) a flat rate tax of 7% is imposed on all households; [5 marks] (ii) a flat rate tax of 15% is imposed on all households earning $4,000 per annum and above. [5 marks]
(a) Why is scarcity a fundamental problem in Economics? [6 marks]
(b) Give a reason on why Economics is a (i) science; (ii) social science [3 marks each]
(c) How do governments solve the problem of scarcity? [8 marks
(a) Outline the chain of distribution for manufactured consumer goods. [4marks]
(b) Explain the functions of the (i) wholesaler; (ii) retailer. [8 marks each]
