A resident citizen taxpayer sold share of stock of a domestic corporation directly to the buyer at its fair market value amounting to P300,000. Cost of the shares sold is P220,000. Compute for the capital gains tax.

Q: ABC Corporation plans to issue an 8%, 15-year, P5,000,000 face value bonds. It will incur P300,000 a...

A: Given details: Face value, FV = P5,000,000 Coupon rate = 8%, So interest per annum is P5,000,000 x 8...

Q: Alfa SpA, in 2020 purchased a machinery paying 50,000 euros. (1) Record and journalize the purchase ...

A: depreciation is a method which helps to charge the cost of a tangible assets based on the useful lif...

Q: Precision Tools 2021 Income Statement Net sales Less: Cost of goods sold Less: Depreciation Earnings...

A: Formula: Times interest earned ratio = Earnings before interest and taxes / Interest expense

Q: Problem 2. A multi-step income statement showed net sales of Php 870,000, cost of goods sold of Php ...

A: The question is based on the concept of Cost Accounting. The total expenses incurred and revenues ea...

Q: Suppose your business has cash of P50,000, receivables of P60,000 and furniture totaling P200,000. T...

A: Total assets = cash + receivables + furniture                              =  P50,000 + P60,000 + P...

Q: Problem 1. Better Man Company reported the following information on its income statement for the fir...

A: Net Sales = Sales - Sales return and allowances - Sales discounts Gross profit = Net Sales - Cost of...

Q: A and B established a company, if profit after first year was USD 900,000 find below: How much A and...

A: Lets understand the basics. When two person starts a business together then they are having a profit...

Q: Who can sue the auditor? how they can sue the auditor. Explain.

A: An auditor is a person or an entity (if the auditor is a firm), who is authorized and assigned/hired...

Q: Which of the following reclassifications of financial assets is permitted under PFRS 9? a. reclassif...

A: A financial asset is a liquid asset whose value is derived from a contractual right or ownership cla...

Q: Account Name Debit Credit Sales 750,000 Sales Returns and Allowances 15,000 Sales Discounts 10,000 P...

A: Lets understand the basics. Profit means a all the income less all the expense during the period. Fo...

Q: 5. Using the Cumulative Cashflow curve in Figure 1 below, what is the amount of money you must raise...

A: solution working note cumulative cash flow presented in table year cumulative cash flow 0 ...

Q: 2.A partially completed summary of financial data is given below. The data pertain to the fundamenta...

A: Assets = Liabilities + Equity  or , Liabilities = Assets - Equity Equity at the end = Equity in the ...

Q: Adjusting Enteries:  Supplies on hand are valued at $1,400. Accrued salaries are $3,195. Depreciati...

A: Journal Entry Journal entry is the basic process of accounting work,  Journal entry has two part one...

Q: 4... Cullumber Corporation had the following 2020 income statement. Sales revenue   $213,000 Cos...

A: Cash received from customers = Sales - Increase in accounts receivables Cash paid to suppliers = Cos...

Q: Compute for the ratio that measures how quickly Nezuko Inc. inventory converted into sales

A: Introduction:- Inventory Conversion Period shows how much time it takes to convert the inventory int...

Q: QUESTION 3 Which of the following financial statement line items would be found on a manufacturer's ...

A: Cost of goods sold and finished goods inventory could be found in merchandiser financial statements

Q: Macrosoft Company reports net income of $73,000. The accounting records reveal depreciation expense ...

A: Introduction: Statement of cash flows: All cash in and out flows are shown in cash flows statements....

Q: Hamilton owns 1,950 shares of Silver Wolf Corporation common stock. Jordon purchased the 1,950 share...

A: Source of raising funds includes: Equity capital Debt capital Retained earnings Public deposits Lon...

Q: Coronado Inc., a greeting card company, had the following statements prepared as of December 31, 202...

A: In this question, we have to calculate cash flow. Cash flow helps in determining the financial condi...

Q: PROBLEM: Financial Perspective Gloria Corporation presents the following information for year 2020 &...

A: Revenue refers to the amount received by the company from selling goods and services to the customer...

Q: Account Amount Lacson invested P100,000 cash in the business a. Account debited Cash 100,000 b. Acco...

A: Accounting: It implies to the recording of company's financial transactions in its book through two ...

Q: Which should be recorded in accounts receivable? a. receivables from officers b. receivables from ...

A: The balance sheet represents the financial position of the business with assets and liabilities on a...

Q: The controller of Hall Industries has collected the following monthly expense data for use in analyz...

A: A variable cost is a business expense that varies with how much a company produces or sells. Variabl...

Q: Ivanhoe Music Shop gives its customers coupons redeemable for a poster plus a Bo Diddley CD. One cou...

A: (a) Period 1

Q: Dividend revenue is recognized for trading securities and available for sale securities even if held...

A: Solution Concept Dividend is recognized in income statement for trading securities if they are held ...

Q: Compute for the ratio that measures the margin of sales of Nezuko Inc. is achieving

A: Ratio that measures the margin of sales is the net margin ratio. It measures how much company is ear...

Q: Among the properties included in the decedent’s gross estate is a four-story commercial building wit...

A: The formula of computing deductible loss when the assets are Partially destroyed: Deductible loss = ...

Q: Assuming FIFO cost cash flow method is used, how much is the ending inventory and cost of sales, res...

A: May be there is some problem with options because Ending inventory     130,300 Cost of sales   ...

Q: Choose the correct answer:  Equity security acquired for non-trading and the shares are not enough ...

A: Solution Concept When there is no significant influence then the investment is financial asset Debt ...

Q: Compute for the capital gains tax

A: Capital gains tax is the tax amount which has to be paid to the government on the gains which has be...

Q: The assets and liabilities of Matt Wesley Auto Shop are as follows: Cash, $10,000; Accounts receivab...

A: Formula: Owners equity = Assets - Liabilities

Q: need to know how to calculate the gain on the equipment sold in part C The balance sheets of HiROE ...

A: The depreciation expense is charged on fixed assets as reduced value of the fixed asset with usage a...

Q: A standard stop sign is a regular octagon with a perimeter of 100.8 inches. The length of one side o...

A: A regular Octagon has 8 equal sides.

Q: Bill's Fine Wines began the fiscal year with inventory value of $85,000 and estimated retail price o...

A:     (a)    Explanation of gross profit percentage method: The gross profit percentage method applies...

Q: The subtotals of the Income Statement columns of the work sheet are Debit Column: $5,500 and Credit ...

A:

Q: Stock market analyst. Explain how the relationship between risk and return is maintained using diffe...

A: The risk-return optimization model proposed by Markowitz is as follows: - (a) The risk and return pr...

Q: What is the times interest earned ratio for 2021?

A: Times Interest Earned = EBITDA / Interest Expense EBITDA = Earnings before Interest and Taxes + Depr...

Q: Question 2. Debackere Construction Corp. contracted with Aggretsuko Inc. to build a karaoke machine ...

A: Contract costing refers to identifying costs related to a contract with a customer and recognizing r...

Q: The controller of Norton Industries has collected the following monthly expense data for use in anal...

A: High low method: Variable cost per hour= (Highest activity cost - Lowest activity cost) / (Highest a...

Q: lyse the ation. Smith owns a small business that sells vuvulezas to s . them at RIO each and sells t...

A: Accounting equation refers to the equation that forms the basic of accounting and it states that the...

Q: II. Classify the following whether it is an Asset (A), Liability (L), Capital (C), Income (), or Exp...

A: Accounting equation is given as under:   ASSETS = EQUITY  + LIABILITIES 

Q: Consider the following statements: Statement 1. When amortizing a bond discount, the bond's amortize...

A:   please see only  bond's amortization cost (column no. 4 ) and interest expenses column (column no....

Q: On January 1, 2016, B Company acquired 80% of A Company’s common stock for P280,000 cash. At that da...

A: It is more expanded view of income than the conventional net income. It includes all changes in equi...

Q: Relax Spa Company is engaged in providing facial and body treatment in a spa centre. Customers  are ...

A: 9) No entry is required in this case because the equipment is purchased for personal use shall not b...

Q: On October 1, 2021 Delta Insurance Srl sold (and received the payment) a six-month insurance to Teta...

A: Solution Concept Unearned revenue When the payment is received for the income that has not yet been ...

Q: need answers thank you.

A: The question is based on the concept of Financial Accounting.

Q: tatement 1: Measurement period is relevant if Fair Value of Net Assets of acquiree includes the reco...

A:   While Acquiring Assets and Liabilities Acquirer does not recognize contingent assets acquired in a...

Q: Bakersville Company is a manufacturing firm that uses job-order costing. The company's inventory bal...

A: The statement of cost of goods manufactured is prepared to find the cost of goods that are completed...

Q: Abednego Company purchased equity investments held for trading on January 1, 2020. Market – (12/31/2...

A: In case of equity investments held for trading , they should be reported at market value as at year ...

Q: Novak Corporation is preparing its 2020 statement of cash flows, using the indirect method. Presente...

A: In Operating Activities : Increase in Current assets is Deducted from net income in the operating se...

Fringe Benefit Tax

Fringe benefits are in addition to the compensation that companies give to their employees. It is an additional benefit above the stated salary. It helps to keep the employees of the firm motivated as sometimes the only salary is not enough to retain the quality employees of the firm. There are different types of fringe benefits. Fringe benefits are given in both private as well as public enterprises.