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LYCEUM OF APARRI
Aparri, Cagayan

COLLEGE OF BUSINESS, ACCOUNTING AND HRM

2nd Semester SY 2021-2022

QUIZ 4

NAME: Score _______

ID No.
Subject: Income Taxation Date 2/13/2022

I MULTIPLE CHOICE
1. All of the following statements are correct except one:
a Taxation is an absolute power.
b Taxation power is the strongest of al inherent powers of the government.
c Tax laws must not violate Constitutional restrictions.
d Exercise of Taxation power is subject to restrictions.

2. One of the following is not among the basic justification for taxation.
a Taxation is based on necessity.
b Taxation is the lifeblood of the government.
c Taxation is the bread and butter of the government.
d Taxation is a voluntary contribution for the benefits received.

3. Which of the following statements is not correct.

a Collections from taxes are public money.
b Appropriation of taxes for the common good of the people is valid.
c Construction of private roads going to private properties is a valid .
appropriation
d Allocation of taxes for the benefit of greater portion of population is
considered for public purposes.

4. Which of the following is an incorrect description of taxation?

a Legislative and inherent for the existence of the government.
b Necessary and for public purposes.
c Supreme and absolute power of the State.
d Restricted by Constitutional and inherent limitations.

5. Which statement refers to police power as distinguished from taxation?

a It is restricted by Constitutional provision.
b It is superior to the non-impairment clause of the constitution.
c It involves the taking of property by the Government.
d The amount imposed has no limit.

6. Tax affects the area or nation as a community rather than as individuals. This is
a specific explanation of
 a International comity
b Public purpose
c Supreme power
d Reciprocity

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7. The following restrictions are inherent on the exercise of taxation power, except
a Rule of uniformity
b For public purpose
c Territorial jurisdiction
d International comity

8. Police power is distinguished from taxation power because

a It involves taking of property
b The amount collected is limited to the cost of regulation
c It is an inherent power of the state
d The benefit derived is the protection given by the state

9. Which of the following statements is not correct?

a The national and local government units exercise the inherent power to tax
b Local government units could exercise the power of taxation through
legislated delegation.
c National legislation is exercised by Congress
d Interpretation of tax laws is done by the judicial branch of the government

10. A fundamental rule in taxation is that the property of one country may not be
taxed by another country. This is known as
a International law
b International comity
c Reciprocity
d International inhibition
11. Taxation as distinguished from police power and power of eminent domain.

a Property is taken to promote the general welfare.

b Maybe exercised only by the government.
c Operates upon the whole citizenry.
d There is generally no limit as to the amount that may be imposed.
12. Which of the following statements is correct?

a The President is authorized to increase or decrease national internal

revenue tax rates.
b One of the nature of taxation is the reciprocal duties of protection and
support between the state and subjects thereof.
c Every sovereign government has the inherent power to tax.
d Income tax in an indirect tax.
13. A tax must be imposed for public purpose. Which of the following is not a
 public purpose?
a National defense
b Public education
c Improvement of the sugar and coconut industries.
d Improvement of a subdivision road.

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14. Which of the following is a nature of taxation?

a The power is granted by legislative action.

b It is essentially an administrative function.
c It is generally payable in money.
d Without it the state can continue to exist.
15. As to scope of the legislative power to tax, which is not correct?

a Where there are no constitutional restrictions, and provided the subjects

are within the territorial jurisdiction of the state, Congress has unlimited
discretion as to the persons, property or occupations to be taxed.
b In the absence of any constitutional prohibition, Congress has the right to
levy a tax of any amount it sees fit.
c The discretion of Congress in imposing taxes extends to the mode,
method or kind of tax, unless restricted by the constitution.
d The sole arbiter of the purpose or which taxes shall be levied is Congress,
provided the purpose is public and the courts may not review the levy of
the tax to determine whether or not the purpose is public.

" RESPECT IS THE MOST IMPORTANT

ELEMENT OF YOUR PERSONALITY
IT IS LIKE AN INVESTMENT.
WHATEVER YOU GIVE TO OTHERS,
IT WILL RETURN TO YOU WITH PROFIT."

BILL GATES
Ninia C. Pauig-Lumauan, BSC, CPA, MBA
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LYCEUM OF APARRI
Aparri, Cagayan

SCHOOL OF BUSINESS ADMINISTRATION

1st Semester 2020-2021

QUIZ 1

NAME: Score _______

ID No.
Subject:Intermediate Accounting 1 Date ______

I. MULTIPLE CHOICE. Encircle the letter of the correct answer. (25 pts)

1. The Continuing Professional Development is required for

a Renewal of CPA License
b Accreditation to practice the accountancy profession
c Both renewal of CPA license and accreditation to practice the
accountancy profession
d Neither renewal of CPA license nor accreditation to practice the
accountancyaccountancy profession

2, How many CPD credit units or CPD credit hours are required?
a 60 credit units each year for three (3) years
b 20 credit units each year for three (3) years
c 60 credit units for three (3) years which may be earned in any of the
three (3) years
d 15 units each year for three (3) years

3. The singularly unique function performed by independent

Certified Public Accountants is:
a Tax preparation
b Management advisory services
c The attest function
d The preparation of financial statements

4. It is a global phenomenon intended to bring about transparency

and a higher degree of comparability in financial reporting in order
to achieve the goal of one uniformity and globally accepted
financial reporting standards.
a International Financial Reporting Standards
b Borderless accounting
c World trade
d Information technology

5. It is the standard-setting body in the Philippines at the present time.

a Accounting Standards Council
b Auditing and Assurance Standards Council
c Philippine Accounting Standards Board
d Financial Reporting Standards Council