1. Which of the following is not true when fringe benefit is beneficial to both the employee and employer? If fringe benefit is granted.A. In money, or is directly paid for by the employer, then the value is the amount granted or paid for. B. Or furnished by the employer in property other than money and ownership is transferred to the employee, then the value is the amount granted or paid for. C. Or furnished by the employer in property other than money but ownership is not transferred to the employee, the value of the fringe benefit is equal to the depreciation value of the property.

D. All of the above. E. None of the above.

Yowo is employed by Holy Cross Hospital as an ambulance driver with a salary of P4,000 a month. In addition, he is given free meals with a monthly value of P1,500 and living quarters within the hospital compound with an equivalent value of P1,000 a month.

2. The monthly value compensation income of Ditso is-

a.

P6,500

b.

P4,000

c.

P5,000

d.

P5,500

1. The following earnings are subject to fringe benefit tax, except:

a.

Salary of rank and file employee

b.

Housing necessary for the trade and for the convenience of the employer

c.

Food allowance for the convenience of the employer and necessary in the conduct of the business

d.

All of the above