Peaceful Enterprises financial statements for the year ended December 31, 2021 are authorized for issue on March 15, 2022. On February 1, 2022, a fire destroyed partially the production site of the company resulting to damages of P3,000,000, only P1,500,000 of which is covered by insurance. On March 1, 2022, Peaceful issued additional 100,000 shares at P10 par value. On March 10, 2022, a customer owing P500,000 to the company filed for bankruptcy. The allowance of doubtful accounts amounting to P300,000 as of December 31 included P100,000 pertaining to the said customer. What amount should be adjusted on December 31, 2022 in relation to these events? *

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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.