Marco Decided to Write Down All His Expenses for One

Multiple Choice

Marco decided to write down all his expenses for one day.He had a lot of errands: he filled his car with gas,and he did his grocery shopping for the week,including items to host a TGIF party with beer,wine,and soda.Even though Marco is trying to cut down on his smoking,he did buy a carton of cigarettes.Every time he paid a tax,he recorded it,so his notes include both the words "sales tax" and "excise tax." ​
​Required:
What is the difference between excise taxes and sales taxes?

A) ​Sales taxes are levied only on certain items in specific stores.
B) ​Excise taxes are calculated as a percentage of the base price.
C) ​Excise taxes can limit sales and reduce product demand.
D) ​Sales taxes are included in the base price of products.
E) ​Sales taxes and excise taxes are terms for the same levy.