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How much interest income is subject to final tax?

How much interest income is subject to final tax?

FINANCIAL ACCOUNTING
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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Cynthia found various ways to make use of her money to generate income. The following summarizes all the income she was able to derive from her use of money: • Interest income from loans granted to online sellers who did not have enough capital on their own - P25,000 Interest income on a 90-day time deposit with BPI. The amount of deposit is P500,000 which pays 7% interest per annum. The interest was already credited to her account. • Interest income on her savings account maintained in her cooperative - P5,000 • Interest income on promissory notes of clients – P7,000 How much interest income is subject to final tax? а. Р40,750 b. P15,750 с. Р13,750 d. P8,750
Transcribed Image Text:Cynthia found various ways to make use of her money to generate income. The following summarizes all the income she was able to derive from her use of money: • Interest income from loans granted to online sellers who did not have enough capital on their own - P25,000 Interest income on a 90-day time deposit with BPI. The amount of deposit is P500,000 which pays 7% interest per annum. The interest was already credited to her account. • Interest income on her savings account maintained in her cooperative - P5,000 • Interest income on promissory notes of clients – P7,000 How much interest income is subject to final tax? а. Р40,750 b. P15,750 с. Р13,750 d. P8,750
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