TARLAC AGRICULTURAL UNIVERSITY

FABM-1
MIDTERM EXAMINATION
2nd SEMESTER, S.Y. 2021-2022
Part I – Multiple Choice (in Google Forms)
PART II - Computation
TARLAC AGRICULTURAL UNIVERSITY
FABM-1
FINAL EXAMINATION
2nd SEMESTER, S.Y. 2021-2022
 TARLAC AGRICULTURAL UNIVERSITY
BUSINESS MATH
MIDTERM EXAMINATION
2nd SEMESTER, S.Y. 2021-2022

Instructions: 
1. No need to re-write the question. 
2. Solve each problem. 
3. Write the given, formula (if necessary), complete solution and
complete answer. 
4. Put your solution and answers on a clean sheet of paper. 
5. Always encircle your final answer. 
6. Take a clear picture of your exam paper (you could save it as PDF or in
jpeg/img form) 
7. Always put the corresponding letter and number in chronological
form. 

Example: PART 1. 

1. 
2. 

PART 2 
1. 
2.

PART 1 (10 items, 5 points each) 

1. Marian’s Flower Shop always orders roses from its supplier in such a way
that of the roses are white and the rest are red. If the shop orders 850 flowers
in all, how many of the roses are red? 

2. Mr. Tako prepared 250 pieces of takoyaki. If 225 pieces were sold, what
fraction of the total number of pieces of takoyaki was left? 

3. Nutty chocolate truffle calls for ⅜ cup of walnuts and ¼ cup

of almonds. How many cups of nuts are needed in all? 
4. Bongbong, Leni, Manny, Isko, and Ping are having a meal together.  They
order 3 pies which they plan to divide equally among  themselves. What
fraction of a pie does each person get? 

5. You have 20 kg of fish to sell. Suppose 10 ¾ kg of fish was sold in the

morning. How many kilograms of fish do you still need to sell in the
afternoon? 

6. Lala has 5 ¼ yards of lace. If a handkerchief requires ¾ yards of lace and

Lala will make 3 handkerchiefs, how many yards of lace will be left?
7. Mang Juan harvested 270 kg of string beans from his farm. He wants to
bundle the string beans in such a way that each bundle has 3 ¾ kg of string
beans. How many bundles can he make? 

8. A certain number of watermelons were cut in such a way that each slice is

of a watermelon. If there are 36 slices in all, how many watermelons ere
sliced? 

9. Alexa wants to change her ₱200 bill into coins. Half of such amount
is changed to ₱10 coins, of the amount is changed to ₱5 coins, and the
remaining amount is changed to ₱1 coins. How many coins does Alexa have in
all? 

10. Sara treated her friends Beyonce, Arianna, and Mariah in Pizza Hut.  She
ordered 2 large pizzas. Each pizza was sliced into 12. If the girls ate ¾ of the
pizzas and Sara brought home the remaining slices for her brothers, Kiko,
Willie and Lito. How many slices of pizza did her brothers receive?

PART 2 (7 items, 5 points each) 

1. Alodia has four children who were addicted to video-games. She recorded

the amount of time consumed by her 4 children using their CCTV at home.
She found out that they consumed 2.25 hours, 2.5 hours, 3.5 hours, and 3.75
hours. What was the average amount of time consumed by each child? 

2. John Paul is an accountant earning a monthly salary of ₱22,000. If a tax of

₱2,240.95 and a monthly contribution of ₱1,359.50 are deducted from his
salary, how much is the remaining amount? 
3. A carpenter who works exactly 48 hours a week earns ₱2,640. For every
hour he worked in excess of 48 hours, he is paid 1.4 times his hourly rate. If
the carpenter worked for 58 hours in a certain week, how much was his
earnings that week? 

4. After Mark deposited his ₱32,340 salary in his bank account, his money in
the account increased to ₱211,856.73. How much was the previous amount in
his bank account before he deposited his salary? 

5. Volunteers of a presidential candidate were painting a wall. Suppose 0.4 of

a wall is painted with pink, 0.33 is painted with purple, 0.2 is painted with
green, and the rest is not painted. What part of the wall is not painted?

6. In Baguio night market, socks are sold at ₱55 a pair while a set of 2 pairs of
socks is sold for ₱100. The savings in buying a set of 2 pairs of socks is what
percent of the total cost when 2 pairs of socks are bought separately? 

7. Selena earned ₱400 on Monday and ₱480 on Tuesday. The amount Selena

earned on Tuesday is what percent of the amount she earned on Monday?

PART 3 (3 items, 5 points each) 

1. Len-Len has 7 more bottles than Ferdie. When combined, their bottles can
contain a total of 8.25 liters (L) of water. If 15 bottles can contain 1.25 L of
water, how many bottles does Ferdie have? 

2. If 90% of your salary is 30% of your manager’s salary, then your salary is
what percent of your manager’s salary? 

3. Samsung ships TV sets expects that 2% of the TV sets will be damaged in

transit. Suppose Samsung needs to deliver 2,000 TV sets and it will pay its
customers a penalty of ₱5,950 for each damaged TV set. How much is the
penalty that Samsung expects to pay?
 TARLAC AGRICULTURAL UNIVERSITY
BUSINESS MATHEMATICS
FINAL EXAMINATIONS
ND
2 SEMESTER, S.Y. 2021-2022

Instructions: For problems requiring computation, write your answers (and solutions) on a clean
sheet of paper. You may ENCODE your answers (like in numbers 8 and 12). Save ALL your
answers in ONE PDF FILE upload it in our Google classroom.

1. An agricultural lot was sold at Php 700 per square meter. When it was developed into a
residential lot, the price skyrocketed to Php 5,000 per square meter.

a. How much is the markup?

b. What is the markup rate?
c. What is the ratio of the markup to the original price?
d. What is the ratio of the markup to the new price?

2. Christian bought 5 new tires for his car at 10% discount. The regular price of each tire was
Php 5,700. If a sales tax of 2.5% was applied to the discounted total price, then what was
the selling price of the 5 tires?

3. Vanity, a supplier of skin care products gives a discount series to regular customers who
buy goods worth Php 100,000 or more. Suppose a customer named Aira orders Php
120,000 worth of skin care products.

a. If the discount series is 25/10, how much will Aira pay?

b. If the discount series is 10/25, how much will Aira pay?
c. If you were Aira, which discount series would you prefer? Explain your answer.

4. Dr. Strange, a retailer, purchased a laptop cost Php 50,000. The operating expenses
incurred were 7% based on cost. Dr. Stranger wanted a 12% profit based on cost.
Determine the following:

a. Selling price
b. Net profit
c. Break-even price
d. New selling price if the retailer sold the printer at a 10% markdown
e. Total net profit or loss based on the selling price in item (d)

5. Love Marie works in a jewelry store. She is paid a 12% straight commission on her monthly
sales. The following are the items that she sold in the month of December:

 3 men’s watches at Php 5,000 each;

 5 silver rings at Php 2,500 each; and
 10 gold necklaces at Php 5,500 each.

How much is Love Marie’s commission for the month of December?

6. A millionaire invested his money in BDO and Metrobank. He invested Php 30,000,000 in
BDO which offers 6% interest, compounded semi-annually. He also invested Php
40,000,000 in Metrbank, which offers 7% interest, compounded yearly. Which of the two
investments will have a greater yield in 3 years? Justify your answer.
7. Suppose you are planning to avail of a housing loan. You are considering the options given
below:

a. Option A: the mortgage will be paid on a monthly basis for 15 year at an interest rate
of 6%, compounded monthly.
b. Option B: the mortgage will be paid on a monthly basis for 30 years at an interest
rate of 4%, compounded monthly.

If you plan to borrow Php 2,000,000, how much will be the monthly amortization and
the total interest in each option?

8. In 2020, the ABC Review Center offered various tutorial programs with the following
monthly fees: Php 800, Php 1,600, Php 2,500, Php 3,000 and 3,500. The number of
students who enrolled in the said programs are 8, 23, 42, 18 and 24, respectively.

a. Present the given data in a tabular form.

b. Construct a bar graph for the given data.
c. Construct a pie chart that presents the given data.

9. The graph shows the daily wage of Lisa, an employee of YG Corporation. Suppose Lisa
did not work on December 7. Determine the following:

a. Mean;
b. Median; and
c. Mode

10.
11.

12. Taylor earns a daily wage of ₱750. Her regular working hours are from 8:00 AM to 5:00 PM
with one hour lunch break, and her rest day is SATURDAY. Her company allows flexitime [a
system where employees are allowed to choose when they begin their work (usually
between 7:00 Am to 10:00 AM) as long as they complete the required 8 hours of work per
day, with a one hour lunch break]. Use the information below to complete the table below.

Consider the dates if they fall under her rest day, and/or regular or special holiday; and the
hours worked (or did not work), and if she worked overtime or worked in a night shift.
DATE DAY TIME-IN TIME-OUT
 Jan 1 Saturday 8:00 AM 6:00 PM

Feb 14 Wednesday 8:00 AM 5:00 PM

April 14 Maundy Thursday 8:00 AM 6:00 PM

April 15 Good Friday NO WORK NO WORK

April 16 Saturday 8:00 AM 5:00 PM

April 17 Sunday 10:00 PM 6:00 AM

May 1 Monday 7:00 AM 5:00 PM

May 2 Tuesday 8:00 AM 5:00 PM

May 3 Wednesday (Eidl Fitr) 8:00 AM 6:00 PM

June 12 Eidl Adha 10:00 PM 6:00 AM

July 4 Saturday 8:00 AM 6:00 PM

Aug 21 Saturday 8:00 AM 8:00 PM

Nov 1 Tuesday 8:00 AM 5:00 PM

Nov 30 Wednesday 7:00 AM 5:00 PM

Dec 25 Saturday 7:00 AM 5:00 PM

Dec 26 Sunday 8:00 AM 5:00 PM

Dec 27 Monday 10:00 PM 7:00 AM

Dec 28 Tuesday 8:00 AM 5:00 PM

Dec 29 Wednesday 8:00 AM 5:00 PM

Dec 30 Thursday 10:00 PM 6:00 AM

Dec 31 Friday 7:00 AM 4:00 PM

Additional information:
1. There is a 1 hour meal break during her flexitime (starting 7:00 a.m.)
2. There was no 1 hour meal break during December 27.

Compute for Taylor’s overtime pay to determine her daily gross earnings.

TOTAL
DAILY GROSS
REGULA OT PAY
OT EARNINGS
R COMPUTATIO DAILY GROSS
DATE HOUR COMPUTATIO
HOURS N (Solution and EARNINGS
S N or
OF answer)
SOLUTION
WORK

Jan 1

Feb 14

April 14

April 15

April 16

April 17

May 1

May 2

May 3

June 12

July 4

Aug 21
Nov 1

Nov 30

Dec 25

Dec 26

Dec 27

Dec 28

Dec 29

Dec 30

Dec 31
 TARLAC AGRICULTURAL UNIVERSITY
BUSINESS FINANCE
MIDTERM EXAMINATION
2nd SEMESTER, S.Y. 2021-2022
Part I – Multiple Choice (in Google Forms)
PART II – Problem Solving
 TARLAC AGRICULTURAL UNIVERSITY
BUSINESS FINANCE
FINAL EXAMINATION
2nd SEMESTER, S.Y. 2021-2022

PART I - Multiple Choice (in Google Forms)

INSTRUCTIONS: Show your complete solution to get five (5) points for every item.

1. After graduating from New York Cubao University, Taylor decided to begin saving to buy a
brand new sports car in 5 years. If she puts Php 1,000 at the end of each of the next 5
years in a savings account paying 6 percent compounded annually, how much will Taylor
accumulate after 5 years?

2. Uling Company wanted to open new business venture in coal mining. Uling Company’s
projected profits over the next 5 years are: Php 100,000, Php 250,000, Php 10,000, Php
200,000 and Php 50,000 respectively. After that, profits will be a constant Php 150,000 per
year for next 20 years at which time the mine closes. If 7 percent is the appropriate discount
rate for the first five years and is 8 percent after that, what is the present value of the coal
mine?
PART II – Problem Solving

INSTRUCTIONS: Prepare the cash budget of BABY M Inc. for the beginning of the first quarter of
2022.

BABY M Inc. provided you, as the financial manager, the following information for purposes of
preparing the salient analyses pertinent to the future operations of the business for the second
quarter of accounting year 2022:

ACCOUNTS/ NOV DEC JAN FEB MAR APR

PERIODS

Sales P 500,000 P 450,000 ? ? ? ?

Purchases 230,000 215,000 ? ? ? ?

Operating 135,000 225,000 ? ? ? ?

Expenses

Taxes 30%
Corporate
tax

ADDITIONAL INFORMATION:

1. The corporation forecasts its sales to increase at a constant rate of 20% from the previous
month’s sales.

2. Cash sales made during the month shall be 1/4 of the total sales. A 5% discount is applied in all
sales made in cash.

3. 3/4 of the credit sales would be collected a month after the month of sale; the rest would be
collected 2 months after the month of sale.

4. As sales increase, the Gross profit of the business would also increase at the same rate as
sales on the basis of the previous month’s gross profit. The business does not have any
requirement on the uniform Gross Margin across the following months.

5. The business uses “Just in Time” inventory system. Inventories are purchased on the same
month they are sold, 20% of which is paid on the same month; 50% during the following month;
and 30% after two months.

6. Expenses are expected to increase at a constant rate of 10% on the basis of the previous
month’s expenses. 40% of the expenses are accrued during the month when they were incurred,
and the rest are paid during the same month. Accrued expenses are paid 1 month after they have
been incurred.
7. Taxes are paid every end of the quarter for the profits accumulated over the quarter.

8. As per cash optimization policy, the corporation must maintain a monthly cash balance of
73,379.94.

9. In case of a surplus, the corporation shall put the same in a 3-month time deposit which earns a
2% interest on the principal at the beginning of the following month. The interest and the principal
shall be received at the end of the term of the investment. Investments are made in the multiples
of 1,000. Such investment can be made after payment of a principal loan, if there are any.

10. In case of a deficit, the corporation shall obtain a 3-month loan from the bank. An 8% interest
is paid from the loan, and shall be charged against the principal which would be obtained by the
corporation. In the event that a cash surplus is computed on the following month/s, the loan may
be accelerated so the outstanding obligation of the corporation may be settled. Loans can be
borrowed in the multiples of 1,000.

Questions:

1. How much (in Php) is the total sales on January 2021? (Refer to the excel file you've
made.)

2. How much taxes are Baby M Inc. liable for?

3. There is cash deficit on ____ and ____.
Good Luck! Don’t get overwhelmed by the given. Just relax and read the information very
carefully.
 TARLAC AGRICULTURAL UNIVERSITY
INCOME TAXATION
MIDTERM EXAMINATION
2nd SEMESTER, S.Y. 2021-2022

PART I – Multiple Choice

Name:
Section:
Schedule (time & days):

PART II – MIDTERM EXAMINATION IN TAXATION

Instruction: In a clean sheet of paper, write the letter of the correct answer.
For identification/question which requires a solution, present your complete solution and
encircle your final answer. Present your solution in good form (check your signs, double
rule and alignment).

Situational Problem No. 1: For items 1-3, refer to the following information.

Olivia, an American citizen, went to the different universities in the Philippines for a lecture series
on Crypto and Stocks. The following are the month/days where she conducted her lecture series:
January 1-31, 2021 in University of the Philippines; March 1-31, 2021 in Ateneo de Manila; May 4-
31, 2021 in University of Santo Tomas; 2021; June 1-30, 2021 in De La Salle University; July 3-31;
and August 1-27, 2021 in Tarlac Agricultural University. She flew back to US on August 31, 2021.

The following details pertain to Olivia’s lecture series in the Philippines:

Professional fees for lecture ₱ 50,000 in every university

Income from onsite bookselling ₱ 120,000
Travel expenses from her residence to the airport $100
Travel expenses incurred from JFK airport to the ₱ 157,491
different universities in the Philippines
Food and accommodation expenses incurred, with receipts ₱ 134,896

The value of $1 is equivalent to ₱ 50.

1. Olivia is a: (1 POINT)
a. Resident citizen
b. Resident alien
c. Non-resident alien engaged in trade or business
d. Non-resident alien not engaged in trade or business

2. How much is Olivia’s Philippine income tax? (2 POINTS)

3. Suppose Olivia extended her stay and conducted another lecture in Saint Louis University from
September 2-29, 2021. How much is her Philippine income tax? (2 POINTS)

Situational Problem No. 2: For items 4-7, refer to the following information.

Industrious as he is known, Arthur, a non-VAT registered resident citizen, works as a government

employee at daytime and accepts clients for accounting work after office hours. At the same time,
Arthur maintains a t-shirt printing shop to earn more. For the taxable year ending December 31,
2021, Arthur earned the following amounts:

Taxable compensation Income ₱ 850,000

Gross receipts from accounting work ₱ 1,500,000
T-shirt printing shop:
Gross sales ₱ 1,400,000
Cost of sales ₱ 800,000
Operating expenses ₱ 400,000
Upon filing his first quarter income tax return, Arthur availed of the 8% income tax
option.

4. How much is his net income? (2 POINTS)

5. Is his availment of the 8% income tax option correct? (1 POINT)

a. No, because the 8% income tax option is available only for VAT-registered
taxpayers.
b. No, because Arthur is not a purely compensation income earner.
c. No, because Arthur’s gross receipts exceeded the threshold allowed to
avail of the 8% income tax option.
d. Yes.

6. Assuming that the availment of the 8% income tax option is proper, how much is
Arthur’s income tax due? (2 POINTS)

7. How much is Arthur’s percentage tax? (1 POINT)

a. 0
b. ₱ 29,000
c. ₱ 58,000
d. 87,000

Situational Problem No. 3: For items 8-9, refer to the following information.

Mr. Bean, a British national, stays in the Philippines with no definite intention. He received
₱600,000 compensation income as researcher of Teddy Corporation, a domestic corporation. He
incurred travel expenses and accommodation of ₱20,000 and ₱50,000 respectively. He also
received commission income from the same employer of ₱ 50,000. In the same year, he also
received overtime pay of ₱ 60,000 and nightshift differential of ₱30,000.

8. How much is his income tax due, if any? (2 points)

9. Supposed that instead of ₱600,000 compensation income, he received

₱1,000,000. How much is his income tax due? (2 points)

Situational Problem No. 4: For items 10-12, refer to the following information.

Ivana Alawi, a resident Filipina actress, earned ₱ 2,500,000 as an entertainment fee

during the taxable year, net of related 15% creditable withholding tax. In addition, she
earned the following from business:

Gross Receipts Income Tax Paid

Philippines ₱ 700,000 ₱ 40,000
Morocco 2,000,000 300,000

Ivana opted to use OSD (total gross profit x 40%).

10.How much is her annual income tax? (1 point)

11.Compute for her net taxable income; (2 points) and
12.Income tax due. (2 points)
TARLAC AGRICULTURAL UNIVERSITY
INCOME TAXATION
FINAL EXAMINATION
2nd SEMESTER, S.Y. 2021-2022
 PART II – PROBLEM EXERCISES
TAXATION
FINAL EXAM

1. “IU,” a famous K-pop female solo artist, permanently residing in South Korea and not
engage in trade and business in the Philippines was invited to perform a concert in Manila
for one week, after which she was also invited to perform in three (3) other key cities in our
country before she left. “IU” was able to earn Php 500,000 from said invitation. She was
billeted in five-star Hotel in Manila. The total hotel accommodation and bills amounted to
Php 350,000 and was paid by the promoters.

a. Is there any tax implication in the above stated arrangement made between the
singer and the promoters?
b. If yes, what tax/es are due and how shall the government collect the same?

2. Mr. Kim Soo-hyun, a managerial expatriate employee, was granted by his employer a Php
30,000 monthly housing allowances in addition to his regular salary. His actual monthly
housing rental for the condominium unit is only Php 22,000. How much is subject to the
Fringe Benefit Tax?

3. Give the three (3) valuation of fringe benefits. (In cash; In kind; and Free use)

4. Cite examples of taxable housing benefits to managerial or supervisory employees.

5. What kind of expense account incurred by the employee is subject to fringe benefit tax?

6. What kind of retirement benefits, pension and gratuities are excluded from gross income?

7. X is a foreigner who opted to retire in our country. His pension from a private firm abroad
converted to Philippine peso is almost Php 250,000 per month. Is he subject to income tax?

8. Mike and his family for Jong Kong last Christmas for a week’s vacation. While shopping in a
department store Mike was randomly chosen as the Holiday’s Lucky Shopper of the Year,
he was awarded a gift certificate worth 20,000 HK dollars. Is this money subject to
Philippine taxes?

9. Beth Harmon, a naturalized Filipino citizen, won a chess tournament sanctioned by the
Philippine Chess Federation (PCF), a sports association accredited by the Philippine Sports
Commission. The prize at stake was Php 1 million. PCF gave to Beth Php 800,000 only
because prizes are subject to 20% final withholding tax. The amount withheld was remitted
to the government. Is Beth’s prize exempt from income tax?

10. LV, a very dedicated and honest employee of G Corporation has been cited as a
model/outstanding employee during the anniversary of the firm. She was awarded Php
20,000 in recognition thereof.

a. Is the amount received taxable?

b. When is prize taxable?

11. Jay-r, a businessman in the City of Tarlac, does not understand income tax law and would
like to be advised regarding the preparation of his income tax return for the year 2021.
However, he has failed to keep receipts in support of his expenses. He was told by a
Business Administration student that he can use the Optional Standard Deduction (OSD) as
 a remedy. Should he inquire from you what this is all about and how he can avail of it in his
tax return, what will be your sound recommendation under the request?

12. Will, self-employed businessman realized a net loss of Php 80,000 in his business
operation in 2020 due to pandemic and lockdown. When he filed his income tax the
following year, he included in his return the amount og Php 20,000 representing bad debts
ascertained to be worthless. After submission of his return, Will’s debtor came to settle his
obligation of Php 20,000. Is the debt paid a taxable income? Explain.

13. What is the relationship between interest expense and taxes with depreciation?

14. What kind of royalties paid is deductible as business expense?

15. Cynthia, a Filipino businesswoman, has real properties and businesses both here and
abroad. May she be subjected to

a. Community tax;
b. Income tax realized here and abroad;
c. Real property taxes and
d. Business taxes?
Explain briefly.
 TARLAC AGRICULTURAL UNIVERSITY
INTERNATIONAL AND BUSINESS TRADE
MIDTERM EXAMINATION
nd
2 SEMESTER, S.Y. 2021-2022
PART I – Multiple Choice (60 points)
PART II – Enumeration and Essay (40 points)

1. On this document, enumerate at least 3 advantages of International Portfolio Investment and

Foreign Direct Investment. (10points)
2. Give at least 5 reasons on why business organizations go International. (10 points)
3. Give at least 3 prominent risks in International Business. Briefly explain each. (10 points)
4. Give at least 2 barriers to International Trade and explain each. (5 points)
5. Give and explain at least 2 factors affecting exchange rates. (5 points)
 TARLAC AGRICULTURAL UNIVERSITY
INTERNATIONAL AND BUSINESS TRADE
FINAL EXAMINATION
nd
2 SEMESTER, S.Y. 2021-2022
26