Table 1 shows the income and spending of two households. Each pays the direct tax shown and an indirect tax of 10% on the spending shown.
| Household | Annual income | Direct tax | Spending subject to indirect tax |
|---|---|---|---|
| A | £24,000 | £2400 | £12,000 |
| B | £60,000 | £9000 | £18,000 |
Using Table 1, which statement about their total tax burdens is correct?
Household A pays 10% of income and Household B pays 10%
Household A pays 15% of income and Household B pays 15%
Household A pays 15% of income and Household B pays 18%
Household A pays 18% of income and Household B pays 15%
75 exam-style questions on AQA GCSE Economics 2.1 Introduction to the national economy, covering 2.1.1a What an interest rate is, 2.1.1b Interest rates and consumer decisions, 2.1.1c Interest rates, producer decisions and calculations, 2.1.2a UK government revenue and spending, and 2.1.2b Direct, indirect and progressive taxation. Each one has a worked solution and a mark scheme showing where the marks go.