27. William has a bakery with total assets of P4,000,000 inclusive of a lot with a book value ofP1,200,000.Gross income from sales of bread P300,000Interest on promissory notes of retail store clients 12,000Royalties on sale of recipe books 36,000Dividend income from domestic stocks 10,000Note that William's total asset i s P2,800,000, excluding the lot. Hence, William's businessqualifies as a BMBE. If William obtained a certificate of authority to operate as a BMBE, thefollowing items of operating income are exempt from income taxа. Р 300,000О Б.Р346,000О с. Р312,000O d. P 358,000

Answered: 27. William has a bakery with total…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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