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ABC Corporation, a retailer, has a gross sales of P 1 . 4 B with a cost of sales of P 5 6 0 M

ABC Corporation, a retailer, has a gross sales of P1.4B with a cost of sales of P560M and allowable deductions of P150M

for the calendar year 2021. Its total assets ofP180M as of December 31, 2021 per Audited Financial Statements includes the

land costing P50M and the building of P25M in which the business entity is situated, with an aggregate amount ofP75M as

fixed assets. Assuming CY 2021 is the 5th year of operation of ABC Corporation, compute the Income Tax Due.

a. P172,500,000

b. P8,400,000

c. P138,000,000

d. Exemp

 

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