Name: Cunanan, Malakhai Jeu H.

Course and Year: BS Accountancy - 2

Schedule: Group 4 TTh 3:00-4:30 PM

Chapter 5 – Final Income Taxation

Multiple Choice – Problems 1

1. A. I, II, III and IV

2. D. ₱16,000
Solution:
( 2,000,000
360
𝑥 180
𝑥8%)𝑥20%

3. C. ₱20,000
Solution:
( 2,000,000
360
𝑥 180
𝑥8%)𝑥25%

4. A. ₱10,500
Solution:
( 42,000
80%
)𝑥20%

5. A. ₱0

6. C. ₱45,000
Solution:
(2, 000, 000 𝑥 10% 𝑥 4. 5)𝑥 5%

7. C. ₱20,000
Solution:
80,000
( 80%
) 𝑥 20%

8. C. ₱80,000
Solution:
(1, 000, 000 𝑥 10%) 𝑥 80%

9. D. ₱30,000
Solution:
(100, 000 𝑥 30%)

10. B. ₱10,000
Solution:
(1, 000, 000 𝑥 10% 𝑥 6
12
)𝑥 20%
11. B. ₱5,000
Solution:
1,000,000
( 4
𝑥 10%)𝑥 20%

12. A. ₱0

13. A. ₱0

14. B. ₱6,000
Solution:
(1,000,000 𝑥 8% 𝑥 15%)
2

15. A. ₱0

16. D. ₱675,000
Solution:
1, 000, 000 𝑥 10% 𝑥 15% 𝑥 45
Multiple Choice – Problems 2
1. B. ₱11,111
Solution:
1,000,000 𝑥10% ≈ 11,111
90%

2. C. $6,937.50
Solution:
46, 250 𝑥 15% 15% 𝑥 45

3. B. $6,937.50

4. C. ₱60,000
Solution:
1, 000, 000 𝑥 60% 𝑥 10%

5. D. ₱0

6. A. ₱24,000
Solution:
120, 000 𝑥 20%

7. B. ₱8,000
Solution:
200, 000 𝑥 40% 𝑥 10%

8. D. ₱0

9. C. ₱20,000
Solution:
200, 000 𝑥 10%

10. D. ₱0

11. D. ₱0

12. D. ₱0

13. C. ₱40,000
Solution:
1, 000, 000 𝑥 40% 𝑥 10%

14. A. ₱ 200,000
Solution:
 800,000
80%
𝑥 20%

15. B. ₱640,000
Solution:
8, 000, 000 𝑥 10% 𝑥 80%
Multiple Choice – Problems 3
1. B. ₱ 100,000
Solution:
500, 000 𝑥 20%

2. B. ₱ 4,420
Solution:
Singing competition 12,000 x 20% = 2,400
Dancing competition 10,100 x 20% = 2,020
Total Final Tax Withheld 4,420

3. D. ₱ 2,200
Solution:
Singing competition 10,000 = exempt
Dancing competition 11,000 x 20% = 2,200

4. D. ₱ 10,000,000
Solution:
50, 000, 000 𝑥 20%

5. B. ₱ 10,000
Solution:
50, 000 𝑥 20%

6. A. exempt from tax

7. D. ₱ 900,000
Solution:
20,000,000 x 20% = 2,000,000 (higher than 1,000,000)
1,000,000 x 10% = 100,000
1,000,000 – 100,000 = 900,000 (or 1,000,000 x 90%)

8. D. ₱ 50,000
Solution:
500, 000 𝑥 10%

9. C. ₱ 37,500
Solution:
(1,000,000 𝑥 8.75%)
70%
𝑥30%

10. C. March 10, 2021

Solution:
Rule: 10th of the month following the month which withholding was made
11. D. ₱128,000
Solution:
Withheld final taxes = 90,000
Compromise 15,000
Surcharge (90,000 x 25%) 22,500
90,000 x 20% x 10 = 500
360
Total taxes due 128,000

12. A. ₱64,000
Solution:
Surcharge (240,000 x 25%) 60,000
Interest (240,000 x 20% x 30 ) 4,000
360
Total 64,000