Answer Multiple choice- Problems Part 3 with solutions Continuations:4.A married citizen died leaving the following net estate: Exclusive properties of the decedent 5,000,000 Common properties of the decedent 20,000,000 Total allowable deduction for LIT-common 3,800,000 Transfer for public use- exclusive 800,000 Vanishing deductions- common 500,000 The common properties include a family home worth 12,000,000. Compute for the net taxable estate. a.6,950,000 b.7,050,000 c.7,150,000 d.7,250,0005.In the immdeiately preceding problem, compute the actual share of the surviving spouse in the net common properties. If there were expenses of the death and estate administration costs totaling 400,000. a.7,650,000 b.7,850,000 c.7,900,000 d.8,100,006.Compute the distributive estate of the decedent.a.12,750,000 b.12,500,000 c.12,327,000 d.12,077,0007.The heirs of an unmarried the decedent were too excited to determine their share of inheritance. Details of the estate of the decedent were as follows: Gross estate 17,000,000 Total allowable deduction for LIT 1,800,000 Transfer for public use 200,000 Family home 4,500,000 There were 300,000 funeral and estate administration costs. 180,000 of the funeral expenses were paid by friends and relatives. Compute the net distributable estate. a.14,670,000 b.14,550,000 c.14,370,000 d.14,240,000 8.On january 2, 2017, Mr. Andrews inherited a commercial building which was valued at 30,000,000 in the estate tax return of the predecessor. This is the only property that remained when Andrew died on July 7,2020. The property was encumbered by 12,000,000 mortgage, 6,500,000 of which were paid by Andrews before his death. The property has a total zonal value of 40,000,000 and appraisal value of 50,000,000 upon his death.Compute the vanishing deduction. a.8,107,500 b.8,366,000 c.12,161,250 d.12,549,000 9.Compute the estate tax. a.1,040,325 b.1,283,550 c.1,868,040 d.1,628,04010.An american residing the in japan died leaving the net properties of 4,000,000 in the Philippines and 26,000,000 in abroad. He paid 1,300,000 estate tax abroad. Compute the estate tax payable in the Philippines a.210,000 b.236,000 c.440,000 d.470,000 11.Mr. Masiba died leaving the following properties:Bank deposit 6,000,000 Business interest 12,000,000 Commercial building 20,000,000 Family home, inclusive of 2,000,000 lot 14,000,000Additional information: ?The commercial building was purchased using donations received by Mr. Masiba during the marriage. The same building sustained a 1,000,000 fire loss shortly after Mr.Masiba died. ?The lot were the family home stands was received by Mrs. Masiba as inheritance during the marriage. ? The commercial building was mortgaged to a bank for 2,500,000 Mr and Mrs. Masiba paid 500,000 prior to Mr. Masiba's death. There were 100,000 accrued interest at the death of Mr. Masiba. ?The spouses were under the absolute community of property. Compute the net taxable estate. a.20,950,000 b.21,950,000 c.22,950,000 d.23,750,000

Chapter 15 - Estate Tax Payable Multiple-Choice - Problems: Part 3 I. On October 31, 2016, the decedent borrowed a P2.000.000 from a lend Which charges 10% interest due annually every October 31. The decedent died on January 31, 2018. Compute the total deductible indebtedness, C. P 2,050,000 a. P 2,250,000 d. P 2,000,000 b. P 2.200,000 2. The following obligations remained unpaid before estate tax returns were about to be filed: P 250,000 Unpaid funeral expenses 400,000 Unpaid judicial expenses o 200,000 Unpaid medical expense Real property tax (3/4 unpaid before death] 80,000 Unpaid bank loan: Balance at date of death 150,000 - Balance before filing of return 120,000 Compute the deductible indebtedness. a. P 1,080,000 c. P 410,000 b. P 810,000 d. P 210,000 3. Decedent X received a P2,000,000 donations from his father on July 1, 2016. He used the money to purchase 100,000 shares of listed company, Sam Miguel Company. The shares of Sam Miguel Company traded as follows Open - P20, High - P 24, Low - P18 and Close - P23 at the time of X's death on July 4, 2018. X have other assets of P12,900,000. X had P3,600,000 total obligations upon his death. Compute the vanishing deduction? PO c. P 912,000 b. P 608,000 d. P 2,000,000 2. A single resident alien without a family home had net properties of P12,000,000 after allowable deduction for ordinary deductions items totaling P 8,000,000. 40% of the properties of the decedent were in the Philippines. Compute the estate tax due. a. PO b. P 240,000 c. P 420,000 d. P720,000 100 3. In the immediately preceding problem, compute the estate tax assuming the decedent is a non-resident alien. a. P 258,000 b. P 288,000 c. P 528,000 d. P 978,000