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Buss TAX-910-2425 - Review Notes

Financial Accounting 1 (Ateneo de Manila University)

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8. How much is the percentage tax?

a. 183,000
b. 198,000
c. 792,000
d. 732,000
Solution:
Selling electricity 2,000,000
Selling water 1,800,000
Operating superhighway 2,300,000
Rent of heavy equipment 500,000
Gross sales 6,600,000
Multiply: 3%
Percentage Tax 198,000

9. How much is the output value-added tax?

a. 792,000
b. 456,000
c. 516,000
d. 60,000
Solution:
Output tax:
Selling electricity 2,000,000
Selling water 1,800,000
Operating superhighway 2,300,000
Rent of heavy equipment 500,000
6,600,000
Multiply: 12%
Output VAT 792,000

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24. How much was the input tax?

a. 600,000
b. 360,000
c. 240,000
d. 120,000
Solution:
Purchase of goods, from VAT
Suppliers, for VAT businesses and
Non-VAT businesses 1,000,000
Multiply: 12%
Input Tax 120,000

25. How much was the Value-added tax payable?

a. 120,000
b. 360,000
c. 480,000
d. 600,000
Solution:
Sales, VAT businesses 3,000,000
Sales, Non-VAT businesses 2,000,000
Total 5,000,000
Multiply 12%
Output Tax 600,000
Less: Input Tax (120,000)
VAT Payable 480,000

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