The following information were taken from the records of ABC Inc., a domestic corporationin its 4th year of operations:Gross profit from salesCapital gain on sale directly to buyer of shares in a domesticicorporationDividend received during the month of December from:Domestic corporationResident foreign corporation (the ratio of gross income in the Philippinesover gross income from all sources for the past 3 years is 80%)Interest on:Bank depositTrade receivableBusiness expensesIncome tax withheldQuarterly income tax paymentsExcess tax payment 2020AssetsP31,000,0001,000,000c. P1,037,500d. P1,065,000200,000100,000200,000500,00021,000,0001,150,000600,000100,000125,000,000How much is the income tax payable assuming the taxable year is 2020?a. P330,000b. P430,000

Taxable income will be calculated by adding gross profit from sales, capital gain, dividends from…

Answered: How much is the income tax payable…

Business

Accounting

How much is the income tax payable assuming the taxable year is 2020?

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter2: The Domestic And International Financial Marketplace

Section2.A: Taxes

Problem 2P

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