13. In 2016, King, an employee of Advanced Corporation, is indebted to PhilipCorporation in the amount of P50,000. He has also a liability with Rex ofP25,000. During the year, the Board of. Directors of Philip Corporatondecided to condone his liability, he being a stockholder of said corporation.To be relieved of his liability, King was required by Rex to work in hisrestaurant for two (2) months as waiter. As a consequence, King filed hisvacation leave from Advanced Corporation for the same period therebyreceiving the monetized value of his leave credits in the amount of P6,000.While working as waiter in the restaurant, he received tips from theCS Scanned with CamScanner customers totaling to P5,000. Said amount was not accounted anymore byRex. How much is the taxable income of King in 2016?a.P 36,000C.30,000b.25,000d.86,000CS Scanned with CamScanner

Amount owed to Philip corporation = 50,000 Liability to Rex = 25,000 Income from tips = 5,000 Income…

Answered: 13. In 2016, King, an employee of…

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Kyle, a single taxpayer, worked as a freelance software engineer for the first three months of 2022. During that time, he earned $54,000 of self-employment income. On April 1, 2022, Kyle took a job as a full-time software engineer with one of his former clients, Hoogle Incorporated From April through the end of the year, Kyle earned $200,000 in salary. What amount of FICA taxes (self-employment and employment related) does Kyle owe for the year? Note: Round your intermediate calculations to the nearest whole dollar amount. Self Employment/FICA taxes= ???
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