Selective Investment

February 1965
Accountancy;Feb1965, Vol. 76 Issue 858, p94
Trade Publication
This article focuses on the selective investments made by governments. Investments draw upon it a lot of attention. Those with money to invest, usually look beyond their existing investments and are off to search for new opportunities. Investments are not merely restricted to stocks and shares, in a sense, everyone is an investor. A state-run free education system, though not always profitable, can be considered a selective investment. Gifts are also selective investments that are not meant to be profitable, sometimes, not yielding any returns at all. Grants and loans on the other hand, are selective investments expected to produce results. Organizations and states use grants and loans to encourage manufacturers to expand in development areas. The deals made by governments with corporations, such as tax reforms, can also be considered as a selective investment. In Great Britain, a reform was introduced in 1965 to abolish the income and profits taxes for companies, replacing them with a single corporation tax system instead. This taxation system raised several questions from corporations, like how much income will a company retain after taxes and the effect of the system on foreign income.


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