In 2018, A Corporation allowed its Sales Manager to incur expenses subject to reimbursement, as follows: Electricity (Meralco) - 70% in the name of A P20,000 Corporation Water (Maynilad) - 70% in the name of A 2,000 Corporation Grocery (SM) 10,000 Gasoline of Company car used for business 12,000 trip Representation and Transportation - 4,000 business trip The amount of fringe benefit tax is (Note: Round off to the nearest peso)

In 2018, A Corporation allowed its Sales Manager to incur expenses subject to reimbursement, as follows: Electricity (Meralco) - 70% in the name of A P20,000 Corporation Water (Maynilad) - 70% in the name of A 2,000 Corporation Grocery (SM) 10,000 Gasoline of Company car used for business 12,000 trip Representation and Transportation - 4,000 business trip The amount of fringe benefit tax is (Note: Round off to the nearest peso)

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Description: In 2018, A Corporation allowed its Sales Manager to incur expenses subject toreimbursement, as follows:Electricity (Meralco) - 70% in the name of AP20,000CorporationWater (Maynilad) - 70% in the name of A2,000CorporationGrocery (SM)10,000Gasoline of

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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A company has accounts receivable of $300 000 and an associated doubtful debts allowance of $60 000. The revenue associated with the accounts receivable of $300 000 has already been included in taxable profit. The doubtful debts will be deductible when the amount is actually written off as bad with a related deduction to accounts receivable. REQUIRED a) Assuming that the tax rate is 30 percent, what is the amount of the temporary difference? b) Does this give rise to a deferred tax asset or a deferred tax liability, and what is the amount of the deferred tax asset/liability Please donot provide solution in image format provide solution in step by step format and asap
Bb.73.
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