Question 8$1: Fees received by professionals in their practice of profession are treated as compensation income.S2: Gifts, bequests and devises are subject to basic tax.S1 is true: S2 is falseOS1 is false: S2 is trueⒸS1 is true: S2 is trueOS1 is false: S2 is falseQuestion 9$1: Advance rentals representing option money as well as security deposits to insure faithful performanceare considered part of t

In the context of the given question, we should select the correct option. According to the BIR,…

$1: Fees received by professionals in their practice of profession are treated as compensation income S2: Gifts, bequests and devises are subject to basic tax. S1 is true: S2 is false S1 is false: S2 is true

$1: Fees received by professionals in their practice of profession are treated as compensation income S2: Gifts, bequests and devises are subject to basic tax. S1 is true: S2 is false S1 is false: S2 is true

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Concept explainers

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.

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