FAR - ACCOUNTING PROCESS (101001 - 101052)

101001 - THERE ARE __________ BASIC STEPS IN THE

ACCOUNTING CYCLE, WHICH INCLUDES 2 PHASES KNOWN 10; RECORDING; SUMMARIZING
AS __________ AND __________.
1. ANALYZING THE TRANSACTION
2. JOURNALIZING
3. POSTING
4. UNADJUSTED TRIAL BALANCE
101002 - STEPS IN THE SUMMARIZING PHASE OF 5. ADJUSTING ENTRIES
ACCOUNTING CYCLE (7 ITEMS) 6. ADJUSTED TRIAL BALANCE
7. FINANCIAL STATEMENTS
8. CLOSING ENTRIES
9. POST-CLOSING TRIAL BALANCE
10. REVERSING ENTRIES
101003 - THIS IS WHERE THE ACCOUNTANT GATHERS
INFORMATION FROM SOURCE DOCUMENTS AND
ANALYZING THE TRANSACTION
DETERMINES THE IMPACT OF THE TRANSACTION ON THE
FINANCIAL POSITION.
101004 - THIS IS THE PROCESS OF RECORDING THE
JOURNALIZING
TRANSACTIONS IN THE APPROPRIATE JOURNALS.
101005 - IS A CHRONOLOGICAL RECORD OF TRANSACTIONS
JOURNAL
ALSO KNOWN AS THE BOOK OF ORIGINAL ENTRY.
101006 - IS A JOURNAL WHERE ALL TRANSACTIONS COULD
GENERAL JOURNAL
BE RECORDED.
101007 - ARE JOURNALS USED IN RECORDING LARGE
SPECIAL JOURNALS
NUMBERS OF LIKE TRANSACTIONS.
1. SALES JOURNAL
2. CASH RECEIPTS JOURNAL
101008 - USUAL EXAMPLES OF SPECIAL JOURNALS (4 ITEMS)
3. PURCHASES JOURNAL
4. CASH DISBURSEMENTS JOURNAL
101009 - IS A SPECIAL JOURNAL WHERE ONLY SALES OF
SALES JOURNAL
MERCHANDISE ON ACCOUNT ARE RECORDED.
101010 - IS A SPECIAL JOURNAL WHERE ALL TYPES OF CASH
CASH RECEIPTS JOURNAL
RECEIPTS ARE RECORDED.
101011 - IS A SPECIAL JOURNAL USED TO RECORD ALL
PURCHASES ON ACCOUNT OF MERCHANDISE, EQUIPMENT, PURCHASES JOURNAL
SUPPLIES, ETC.
101012 - IS A SPECIAL JOURNAL WHERE ALL PAYMENTS OF
CASH DISBURSEMENTS JOURNAL
CASH FOR ANY PURPOSE ARE RECORDED.
101013 - TYPES OF JOURNAL ENTRIES ACCORDING TO FORM 1. SIMPLE JOURNAL ENTRY
(2 ITEMS) 2. COMPOUND JOURNAL ENTRY
101014 - IS A TYPE OF JOURNAL ENTRY WHICH CONTAINS A
SIMPLE JOURNAL ENTRY
SINGLE DEBIT AND A SINGLE CREDIT ELEMENT.
101015 - IS A TYPE OF JOURNAL ENTRY WHICH HAS TWO OR
MORE ELEMENTS IN EITHER OR BOTH DEBIT AND CREDIT
COMPOUND JOURNAL ENTRY
SIDES AND OFTEN REPRESENTS TWO OR MORE
TRANSACTIONS.
101016 - ARE THE STORAGE UNITS OF ACCOUNTING
INFORMATION AND USED TO SUMMARIZE CHANGES IN
ACCOUNTS
ASSETS, LIABILITIES AND EQUITY INCLUDING INCOME AND
EXPENSES.
101017 - ARE THE STATEMENT OF FINANCIAL POSITION OR
SO CALLED PERMANENT ACCOUNTS. THESE ACCOUNTS ARE
REAL ACCOUNTS
NOT CLOSED AND CARRYOVER TO THE NEXT ACCOUNTING
PERIOD. (EX. CASH, AR AND PPE)
101018 - ARE THE INCOME STATEMENT OR TEMPORARY
CAPITAL ACCOUNTS. THESE ACCOUNTS ARE CLOSED AT
NOMINAL ACCOUNTS
THE END OF THE ACCOUNTING PERIOD. (EX. SALES AND
EXPENSES)
101019 - WHILE STILL UNADJUSTED, REPRESENTS A
COMBINATION OF REAL AND NOMINAL ACCOUNTS. (EX. MIXED ACCOUNT
PREPAID EXPENSES)
 101020 - IS THE GENERAL LEDGER ACCOUNT THAT
SUMMARIZES THE DETAILED INFORMATION IN A SUBSIDIARY CONTROL ACCOUNT
LEDGER.
101021 - IS AN ACCOUNT THAT HOLDS TEMPORARILY
SUSPENSE ACCOUNT
CERTAIN INFORMATION PENDING FOR DISPOSITION.
101022 - HAS A COUNTERPART IN ANOTHER BOOK WITH IN
RECIPROCAL ACCOUNT
THE ENTITY OR IN ANOTHER LEDGER OR ANOTHER ENTITY.
101023 - IS THE PROCESS OF TRANSFERRING DATA FROM
THE JOURNAL TO THE APPROPRIATE ACCOUNTS IN THE
GENERAL LEDGER AND SUBSIDIARY LEDGER. THIS POSTING
PROCESS CLASSIFIES ALL ACCOUNTS THAT WERE
RECORDED IN THE JOURNALS.
101024 - INCLUDES ALL THE ACCOUNTS APPEARING ON THE
GENERAL LEDGER
FINANCIAL STATEMENTS.
101025 - AFFORDS ADDITIONAL DETAIL IN SUPPORT OF
SUBSIDIARY LEDGER
CERTAIN GENERAL LEDGER ACCOUNTS.
101026 - A LIST OF GENERAL LEDGER ACCOUNTS WITH
TRIAL BALANCE
THEIR RESPECTIVE DEBIT OR CREDIT BALANCE.
101027 - ARE JOURNAL ENTRIES MADE AT THE END OF AN
ACCOUNTING CYCLE TO UPDATE CERTAIN REVENUE AND
ADJUSTING ENTRIES
EXPENSE ACCOUNTS AND TO MAKE SURE YOU COMPLY
WITH THE MATCHING PRINCIPLE.
1. USUALLY REFER TO TRANSACTIONS THAT HAVE EFFECTS
ON MORE THAN ONE ACCOUNTING PERIOD;
101028 - CHARACTERISTICS OF ADJUSTING ENTRIES (3
2. INCLUDE AT LEAST 1 NOMINAL ACCOUNT AND 1 REAL
ITEMS)
ACCOUNT; AND
3. ARE GENERALLY NOT BASED ON SOURCE DOCUMENTS.
1. PREPAYMENTS
2. DEFERRALS
101029 - TYPICAL ADJUSTING ENTRY CLASSIFICATIONS (5 3. ACCRUED EXPENSES
ITEMS) 4. ACCRUED INCOME
5. ESTIMATES
6. ENDING INVENTORY
101030 - ARE EXPENSE ITEMS ALREADY PAID FOR BUT NOT
PREPAYMENTS
YET INCURRED.
101031 - METHODS OF INITIALLY RECORDING PREPAYMENTS 1. ASSET METHOD (DR. PREPAID EXPENSE; CR. CASH)
(2 ITEMS) 2. EXPENSE METHOD (DR. EXPENSE; CR. CASH)
101032 - PRO-FORMA ADJUSTING ENTRIES FOR
PREPAYMENTS WHEN THE ASSET METHOD WAS USED IN DR. EXPENSE - "EXPIRED PORTION"; CR. PREPAID EXPENSE
INTIALLY RECORDING THE TRANSACTION
101033 - PRO-FORMA ADJUSTING ENTRIES FOR
DR. PREPAID EXPENSE - "REMAINING PORTION"; CR.
PREPAYMENTS WHEN THE EXPENSE METHOD WAS USED IN
EXPENSE
INTIALLY RECORDING THE TRANSACTION
101034 - ARE INCOME ITEMS ALREADY COLLECTED IN CASH
DEFERRALS (DEFERRED INCOME)
BUT NOT YET EARNED.
101035 - METHODS OF INITIALLY RECORDING DEFERRALS (2 1. LIABILITY METHOD (DR. CASH; CR. UNEARNED INCOME)
ITEMS) 2. INCOME METHOD (DR. CASH; CR. INCOME)
101036 - PRO-FORMA ADJUSTING ENTRY FOR DEFERRALS
WHEN LIABILITY METHOD WAS USED IN INITIALLY DR. UNEARNED INCOME; CR. INCOME - "EXPIRED PORTION"
RECORDING THE TRANSACTION
101037 - PRO-FORMA ADJUSTING ENTRY FOR DEFERRALS
DR. INCOME; CR. UNEARNED INCOME - "REMAINING
WHEN THE INCOME METHOD WAS USED IN INITIALLY
PORTION"
RECORDING THE TRANSACTION
101038 - OCCUR IN TRANSACTIONS WHERE EXPENSE HAS
ACCRUED EXPENSE
ALREADY BEEN INCURRED BUT NOT YET PAID FOR IN CASH.
101039 - PRO-FORMA ADJUSTING ENTRY FOR ACCRUED
DR. EXPENSE; CR. PAYABLE
EXPENSES
101040 - OCCUR IN TRANSACTIONS WHERE INCOME HAS
ACCRUED INCOME
BEEN ALREADY EARNED BUT NOT YET COLLECTED IN CASH.
101041 - PRO-FORMA ADJUSTING ENTRY FOR ACCRUED
DR. RECEIVABLE; CR. INCOME
INCOME
101042 - ARE ADJUSTING ENTRIES THAT DO NOT INVOLVE
ESTIMATES
CASH FLOWS.
101043 - COMMON EXAMPLES OF ESTIMATES THAT REQUIRE 1. PROVISION FOR DOUBTFUL ACCOUNTS
ADJUSTING ENTRIES (2 ITEMS) 2. DEPRECIATION
101044 - IS THE ESTIMATED AMOUNT OF BAD DEBT THAT
WILL ARISE FROM ACCOUNTS RECEIVABLE THAT HAVE BEEN PROVISION FOR DOUBTFUL ACCOUNTS
ISSUED BUT NOT YET COLLECTED.
101045 - IS THE SYSTEMATIC ALLOCATION OF THE COST OF
DEPRECIATION
A FIXED ASSET OVER ITS USEFUL LIFE.
101046 - IS AN ADJUSTMENT USED TO SET UP THE YEAR-END
COUNT OF THE INVENTORY. THIS ONLY APPLIES IF THE ENDING INVENTORY
PERIODIC INVENTORY SYSTEM IS USED.
101047 - IS THE MOST IMPORTANT PART OF THE
SUMMARIZING PHASE. THIS IS WHERE THE PROCESSED PREPARING THE FINANCIAL STATEMENTS.
INFORMATION IS COMMUNICATED TO USERS.
1. STATEMENT OF FINANCIAL POSITION
2. INCOME STATEMENT OR STATEMENT OF COMPREHENSIVE
INCOME
101048 - BASIC FINANCIAL STATEMENTS (5 ITEMS)
3. STATEMENT OF CHANGES IN EQUITY
4. STATEMENT OF CASH FLOWS
5. NOTES AND DISCLOSURES
101049 - ARE RECORDED AND POSTED FOR THE PURPOSE
OF CLOSING ALL NOMINAL OR TEMPORARY ACCOUNTS TO
THE INCOME SUMMARY ACCOUNT AND THE RESULTING NET CLOSING ENTRIES
INCOME OR LOSS IS AFTERWARDS CLOSED TO THE CAPITAL
OR RETAINED EARNINGS ACCOUNT.
101050 - ARE MADE AT THE BEGINNING OF THE NEW
ACCOUNTING PERIOD TO REVERSE CERTAIN ADJUSTING REVERSING ENTRIES
ENTRIES FROM THE PRECEDING ACCOUNTING PERIOD.
1. PREPAYMENTS WHEN EXPENSE METHOD IS USED
101051 - ADJUSTING ENTRIES THAT MAY BE REVERSED (4 2. DEFERRALS WHEN INCOME METHOD IS USED
ITEMS) 3. ACCRUED EXPENSE
4. ACCRUED INCOME
101052 - OPTIONAL STEPS IN THE ACCOUNTING CYCLE (2 1. ALL TRIAL BALANCES
ITEMS) 2. REVERSING ENTRIES
 FAR - CONCEPTUAL FRAMEWORK (102001 - 101068)
102001 - THE PURPOSE OF _________ IS TO ASSIST THE IASB
IN DEVELOPING AND REVISING IFRSS THAT ARE BASED ON
CONSISTENT CONCEPTS, TO HELP PREPARERS TO DEVELOP
CONSISTENT ACCOUNTING POLICIES FOR AREAS THAT ARE CONCEPTUAL FRAMEWORK
NOT COVERED BY A STANDARD OR WHERE THERE IS
CHOICE OF ACCOUNTING POLICY, AND TO ASSIST ALL
PARTIES TO UNDERSTAND AND INTERPRET IFRS.
KAPAG ANG STANDARDS (IFRS AND IAS) AY NAGLALAMAN
NG RULES NA KONTRA SA SINASABI NG CONCEPTUAL
102002 - EXPLAIN: “THE FRAMEWORK IS NOT A STANDARD OF FRAMEWORK, MAS DAPAT SUNDIN ANG STANDARDS.
ITSELF.” GAGAMITIN LANG ANG CONCEPTUAL FRAMEWORK KAPAG
WALANG SPECIFIC NA RULES NA IBINIGAY ANG STANDARDS
NA APPLICABLE SA TRANSACTION.
102003 - THE MAIN OBJECTIVE OF __________ IS TO PROVIDE
THE FINANCIAL INFORMATION ABOUT THE REPORTING
ENTITY THAT IS USEFUL TO EXISTING AND POTENTIAL: GENERAL PURPOSE FINANCIAL REPORTS
INVESTORS, LENDERS, AND OTHER CREDITORS TO HELP
THEM MAKE VARIOUS DECISIONS.
102004 - MEANS THAT THE EVENTS SHOULD BE REFLECTED
IN THE REPORTS IN THE PERIODS WHEN THE EFFECTS OF
ACCRUAL ACCOUNTING
TRANSACTIONS OCCUR, REGARDLESS THE RELATED CASH
FLOWS.
1. CONTRIBUTE TO TRANSPARENCY
102005 - MISSION OF THE IASB IN DEVELOPING ACCOUNTING
2. STRENGTHEN ACCOUNTABILITY
STANDARDS (3 ITEMS)
3. CONTRIBUTE TO ECONOMIC EFFICIENCY
102006 - TYPES OF QUALITATIVE CHARACTERISTICS OF
1. FUNDAMENTAL QUALITATIVE CHARACTERISTICS
FINANCIAL INFORMATION UNDER THE CONCEPTUAL
2. ENHANCING QUALITATIVE CHARACTICS
FRAMEWORK (2 ITEMS)
102007 - ARE QUALITATIVE CHARACTERISTICS OF FINANCIAL
INFORMATION THAT ARE FOCUSED ON THE CONTENT OR FUNDAMENTAL QUALITATIVE CHARACTERISTICS
SUBSTANCE OF FINANCIAL INFORMATION.
102008 - ARE QUALITATIVE CHARACTERISTICS OF FINANCIAL
INFORMATION THAT ARE FOCUSED ON THE PRESENTATION ENHANCING QUALITATIVE CHARACTERISTICS
OR FORM OF REPORT OF FINANCIAL INFORMATION.
102009 - FUNDAMENTAL QUALITATIVE CHARACTERISTICS OF 1. RELEVANCE
FINANCIAL INFORMATION (2 ITEMS) 2. FAITHFUL REPRESENTATION
102010 - IS THE CAPABILITY OF FINANCIAL INFORMATION TO
RELEVANCE
MAKE A DIFFERENCE IN THE USERS' DECISIONS.
1. PREDICTIVE VALUE
102011 - ELEMENTS OF RELEVANCE (2 ITEMS)
2. CONFIRMATORY VALUE
102012 - HELPS USERS IN PREDICTING OR ANTICIPATING
PREDICTIVE VALUE
FUTURE OUTCOMES.
102013 - ENABLES USERS TO CHECK AND CONFIRM EARLIER
CONFIRMATORY VALUE
PREDICTIONS OR EVALUATIONS.
102014 - IS AN ASPECT OF RELEVANCE DEFINED AS THE
THRESHOLD ABOVE WHICH MISSING OR INCORRECT
MATERIALITY
INFORMATION IN FINANCIAL STATEMENTS IS CONSIDERED
TO HAVE AN IMPACT ON THE DECISION MAKING OF USERS.
102015 - REQUIRES THAT TRANSACTIONS AND EVENTS
SHOULD BE ACCOUNTED FOR IN A MANNER THAT
FAITHFUL REPRESENTATION
REPRESENT THEIR TRUE ECONOMIC SUBSTANCE RATHER
THAN THE MERE LEGAL FORM.
1. COMPLETENESS
102016 - COMPONENTS OF FAITHFUL REPRESENTATION (3
2. NEUTRALITY
ITEMS)
3. FREE FROM ERROR
102017 - DEALS WITH WHETHER ALL TRANSACTIONS AND
ACCOUNTS THAT SHOULD BE IN THE FINANCIAL COMPLETENESS
STATEMENTS ARE INCLUDED.
102018 - MEANS THAT INFORMATION CONTAINED IN THE
NEUTRALITY
FINANCIAL STATEMENTS MUST BE FREE FROM BIAS.
 102019 - MEANS THERE ARE NO ERRORS AND
INACCURACIES IN THE DESCRIPTION OF THE PHENOMENON
FREE FROM ERROR
AND NO ERRORS MADE IN THE PROCESS BY WHICH THE
FINANCIAL INFORMATION WAS PRODUCED.
1. COMPARABILITY
102020 - ENHANCING QUALITATIVE CHARACTERISTICS OF 2. VERIFIABILITY
FINANCIAL INFORMATION (4 ITEMS) 3. TIMELINESS
4. UNDERSTANDABILITY
102021 - MEANS THAT INFORMATION SHOULD BE
COMPARABLE BETWEEN DIFFERENT ENTITIES OR TIME COMPARABILITY
PERIODS.
1. HORIZONTAL COMPARABILITY
102022 - TYPES OF COMPARABILITY (2 ITEMS)
2. DIMENSIONAL COMPARABILITY
102023 - IS A TYPE OF COMPARABILITY WHICH REFERS TO
THE COMPARISON WITHIN AN ENTITY FROM ONE PERIOD TO HORIZONTAL COMPARABILITY
THE NEXT.
102024 - IS A TYPE OF COMPARABILITY WHICH REFERS TO
THE COMPARISON BETWEEN TWO OR MORE ENTITIES IN DIMENSIONAL COMPARABILITY
THE SAME INDUSTRY.
102025 - MEANS THAT INDEPENDENT AND KNOWLEDGEABLE
OBSERVERS SHOULD BE ABLE TO VERIFY THE VERIFIABILITY
INFORMATION.
1. DIRECT VERIFICATION - E.G., COUNTING CASH ITEMS
102026 - TYPES OF VERIFICATION (2 ITEMS) 2. INDIRECT VERIFICATION - E.G., COMPUTING INVENTORY
USING FIFO
102027 - MEANS THAT INFORMATION SHOULD BE AVAILABLE
TIMELINESS
IN TIME TO INFLUENCE THE DECISIONS OF USERS.
102028 - MEANS THAT INFORMATION SHALL BE CLASSIFIED,
UNDERSTANDABILITY
PRESENTED CLEARLY AND CONSISELY.
102029 - IS A CONSTRAINT INCLUDED IN THE CONCEPTUAL
FRAMEWORK WHICH ASSERTS THAT THE BENEFIT OF THE
COST-BENEFIT CONSTRAINT
INFORMATION MUST BE GREATER THAN THE COST OF
PROVIDING IT.
102030 - IS THE SPAN OF TIME COVERED BY A SET OF
REPORTING PERIOD
FINANCIAL STATEMENTS.
102031 - (ALSO KNOWN AS PERIODICITY ASSUMPTION) IS AN
ACCOUNTING PRINCIPLE WHICH STATES THAT THE LIFE OF A TIME PERIOD ASSUMPTION
BUSINESS CAN BE DIVIDED INTO EQUAL TIME PERIODS.
102032 - IS AN ACCOUNTING PRINCIPLE THAT ASSUMES
THAT BUSINESS TRANSACTIONS OR EVENTS CAN BE
MEASURED AND EXPRESSED IN TERMS OF MONETARY MONETARY UNIT ASSUMPTION
UNITS AND THAT THE MONETARY UNITS ARE STABLE AND
DEPENDABLE.
102033 - IS AN ASSUMPTION THAT AN ENTITY WILL CONTINUE
TO OPERATE FOR THE FORESEEABLE FUTURE (USUALLY 12 GOING CONCERN
MONTHS AFTER THE REPORTING DATE).
102034 - IS AN ACCOUNTING PRINCIPLE THAT STATES THAT
ALL TRANSACTIONAL DATA ASSOCIATED WITH A SPECIFIC
ENTITY IS ASSUMED TO BE CLEARLY ATTRIBUTED TO THE
ECONOMIC ENTITY ASSUMPTION
ENTITY, AND DOES NOT INCLUDE OTHER TRANSACTIONAL
DATA ASSOCIATED WITH THE ENTITY'S OWNERS OR
BUSINESS PARTNERS.
102035 - IS AN ENTITY WHO MUST OR CHOOSES TO PREPARE
REPORTING ENTITY
FINANCIAL STATEMENTS.
1. SINGLE ENTITY
2. PORTION OF AN ENTITY (E.G., DIVISION)
102036 - TYPES OF REPORTING ENTITIES (3 ITEMS)
3. MORE THAN ONE ENTITIES (E.G., PARENT AND SUBSIDIARY
(IES))
1. CONSOLIDATED
102037 - TYPES OF FINANCIAL STATEMENTS ACCORDING TO
2. UNCONSOLIDATED
THE TYPE OF REPORTING ENTITY (3 ITEMS)
3. COMBINED
102038 - IS A TYPE OF FINANCIAL STATEMENT CREATED
WHEN A PARENT AND SUBSIDIARIES REPORT AS A SINGLE CONSOLIDATED FINANCIAL STATEMENT
ENTITY.
 102039 - IS A TYPE OF FINANCIAL STATEMENT CREATED
UNCONSOLIDATED FINANCIAL STATEMENT
WHEN A PARENT ALONE PROVIDES THE REPORT.
102040 - IS A TYPE OF FINANCIAL STATEMENT CREATED
WHEN THE REPORTING ENTITY COMPRISES TWO OR MORE
COMBINED FINANCIAL STATEMENT
ENTITIES NOT LINKED BY PARENT-SUBSIDIARY
RELATIONSHIP.
1. ASSET
2. LIABILITY
102041 - BASIC ELEMENTS OF FINANCIAL STATEMENTS (5
3. EQUITY
ITEMS)
4. INCOME
5. EXPENSES
102042 - IS A PRESENT ECONOMIC RESOURCE CONTROLLED
ASSET
BY THE ENTITY AS A RESULT OF PAST EVENTS.
102043 - IS A PRESENT OBLIGATION OF THE ENTITY TO
TRANSFER AN ECONOMIC RESOURCE AS A RESULT OF PAST LIABILITY
EVENTS.
102044 - IS THE RESIDUAL INTEREST IN THE ASSETS OF THE
EQUITY
ENTITY AFTER DEDUCTING ALL ITS LIABILITIES.
102045 - IS COMPOSED OF INCREASES IN ASSETS OR
DECREASES IN LIABILITIES RESULTING IN INCREASES IN
INCOME
EQUITY OTHER THAN CONTRIBUTIONS FROM EQUITY
HOLDERS.
102046 - IS COMPOSED OF DECREASES IN ASSETS OR
INCREASES IN LIABILITIES RESULTING IN DECREASES IN EXPENSES
EQUITY OTHER THAN DISTRIBUTIONS TO EQUITY HOLDERS.
102047 - IS THE PROCESS OF INCORPORATING IN THE
BALANCE SHEET AN ITEM THAT MEETS THE DEFINITION OF RECOGNITION
AN ELEMENT AND SATISFIES THE REQUIRED CRITERIA.
1. IT IS PROBABLE THAT ANY FUTURE ECONOMIC BENEFIT
ASSOCIATED WITH THE ITEM WILL FLOW TO OR FROM THE
102048 - CRITERIA FOR RECOGNITION (2 ITEMS) ENTITY; AND
2. THE ITEM'S COST OR VALUE CAN BE MEASURED WITH
RELIABILITY.
102049 - MEANS REMOVAL OF AN ASSET OR LIABILITY FROM
THE STATEMENT OF FINANCIAL POSITION AND NORMALLY IT
DERECOGNITION
HAPPENS WHEN THE ITEM NO LONGER MEETS THE
DEFINITION OF AN ASSET OR A LIABILITY.
102050 - INVOLVES THE ASSIGNMENT OF MONETARY
AMOUNTS AT WHICH THE ELEMENTS OF FINANCIAL MEASUREMENT
STATEMENTS ARE TO BE RECOGNIZED OR REPORTED.
102051 - BASIC MEASUREMENT BASES IN THE CONCEPTUAL 1. HISTORICAL COST
FRAMEWORK (2 ITEMS) 2. CURRENT VALUE
102052 - IS A MEASUREMENT BASED ON THE TRANSACTION
PRICE AT THE TIME OF RECOGNITION OF THE ELEMENT (AN HISTORICAL COST
ENTRY PRICE).
102053 - IS A MEASUREMENT BASIS THAT IS UPDATED TO
CURRENT VALUE
REFLECT THE CONDITIONS AT THE MEASUREMENT DATE.
1. FAIR VALUE
102054 - TYPES OF CURRENT VALUE MEASUREMENT BASES 2. VALUE IN USE
(4 ITEMS) 3. CURRENT COST
4. FULFILLMENT VALUE
102055 - IS THE PRICE THAT WOULD BE RECEIVED TO SELL
AN ASSET OR PAID TO TRANSFER A LIABILITY IN AN
FAIR VALUE
ORDERLY TRANSACTION BETWEEN MARKET PARTICIPANTS
(AN EXIT PRICE).
102056 - IS THE PRESENT VALUE OF THE CASH FLOWS
EXPECTED TO BE DERIVED FROM THE USE AND ULTIMATE VALUE IN USE
DISPOSAL OF AN ASSET (AN EXIT PRICE).
102057 - IS THE COST OF REPLACING AN ASSET AT THIS TIME
CURRENT COST
(AN ENTRY PRICE)
102058 - IS THE PRESENT VALUE OF THE CASH EXPECTED
FULFILLMENT VALUE
TO BE TRANSFERRED FOR THE PAYMENT OF A LIABILITY.
102059 - IS THE PROCESS OF IDENTIFYING TRANSACTIONS
REVENUE RECOGNITION
TO BE RECORDED AS REVENUE IN AN ACCOUNTING PERIOD.
 1. AT THE POINT OF SALE
102060 - METHODS OF RECOGNIZING REVENUE (3 ITEMS) 2. DURING PRODUCTION
3. AT THE END OF PRODUCTION
102061 - REQUIRES THAT REVENUES AND ANY RELATED
EXPENSES BE RECOGNIZED TOGETHER IN THE SAME MATCHING PRINCIPLE
REPORTING PERIOD.
1. SYSTEMATIC AND RATIONAL ALLOCATION (DEPRECIATION)
102062 - ACCEPTABLE BASES FOR THE RECOGNITION OF
2. CAUSE AND EFFECT ASSOCIATION (COST OF SALE)
EXPENSE (3 ITEMS)
3. IMMEDIATE RECOGNITION (RANDD EXPENSE)
1. GROUP SIMILAR ITEMS AND SEPARATE DISSIMILAR ITEMS.
2. AGGREGATE INFORMATION, BUT DO NOT PROVIDE
102063 - REQUIREMENTS FOR EFFECTIVE COMMUNICATION
UNNECESSARY DETAIL.
OF INFORMATION IN THE FINANCIAL STATEMENTS (3 ITEMS)
3. AVOID EXCESSIVE AGGREGATION TO OBSCURE THE
INFORMATION.
102064 - CONCEPTS OF CAPITAL IN THE CONCEPTUAL 1. FINANCIAL CAPITAL
FRAMEWORK (2 ITEMS) 2. PHYSICAL CAPITAL
102065 - IS A CONCEPT OF CAPITAL SYNONYMOUS WITH THE
FINANCIAL CAPITAL
NET ASSETS OR EQUITY OF THE ENTITY.
102066 - IS A CONCEPT OF CAPITAL THAT REFERS TO THE
PRODUCTIVE CAPACITY OF THE ENTITY BASED ON, FOR PHYSICAL CAPITAL
EXAMPLE, UNITS OF OUTPUT PER DAY.
102067 - UNDER THE _________ THE PROFIT IS EARNED ONLY
WHEN THE AMOUNT OF THE NET ASSETS AT THE END OF
THE PERIOD IS GREATER THAN THE AMOUNT OF NET
FINANCIAL CAPITAL MAINTENANCE
ASSETS IN THE BEGINNING AFTER EXCLUDING
CONTRIBUTIONS FROM AND DISTRIBUTIONS TO EQUITY
HOLDERS (MANDATED BY STANDARDS).
102068 - UNDER THE _________ THE PROFIT IS EARNED IF
PHYSICAL PRODUCTIVE CAPACITY INCREASES DURING THE
PHYSICAL CAPITAL MAINTENANCE
PERIOD AFTER EXCLUDING THE MOVEMENTS WITH EQUITY
HOLDERS.
 FAR - CASH AND CASH EQUIVALENTS (103001 - 103118)
103001 - IS THE STANDARD MEDIUM OF EXCHANGE IN
BUSINESS TRANSACTIONS. IT REFERS TO THE CURRENCY
MONEY
AND COINS WHICH ARE IN CIRCULATION AND LEGAL
TENDER.
103002 - (IN THE CONTEXT OF ACCOUNTING) INCLUDES
MONEY AND ANY OTHER NEGOTIABLE INSTRUMENT THAT IS
CASH
PAYABLE IN MONEY AND ACCEPTABLE BY THE BANK FOR
DEPOSIT AND IMMEDIATE CREDIT.
103003 - IS A DOCUMENT THAT ORDERS A BANK TO PAY A
SPECIFIC AMOUNT OF MONEY FROM THE PERSON'S CHECK (IF PAYABLE TO THE REPORTING ENTITY,
ACCOUNT TO THE PERSON IN WHOSE NAME THE SAME HAS GENERALLY INCLUDED IN THE BOOKS AS CASH)
BEEN ISSUED.
103004 - IS A CHECK DRAWN BY A BANK ON ITS OWN FUNDS BANK DRAFT (IF PAYABLE TO THE REPORTING ENTITY,
IN ANOTHER BANK. INCLUDED IN THE BOOKS AS CASH)
103005 - IS A PAPER DOCUMENT, SIMILAR TO A CHECK, USED
FOR MAKING PAYMENTS. IT IS PREPAID, SO IT IS ONLY MONEY ORDER (IF PAYABLE TO THE REPORTING ENTITY,
ISSUED AFTER A BUYER PAYS FOR THE SAME WITH CASH INCLUDED IN THE BOOKS AS CASH)
OR ANOTHER FORM OF GUARANTEED FUNDS.
103006 - IS A CHECK WRITTEN BY THE DRAWER (PAYOR) FOR
POSTDATED CHECK (IF PAYABLE TO THE REPORTING
A DATE IN THE FUTURE. IT MAY ONLY BE CASHED OR
ENTITY, NOT INCLUDED IN THE BOOKS AS CASH)
DEPOSITED ON OR AFTER THE DATE WRITTEN ON IT.
1. CASH ON HAND
103007 - CASH ITEMS INCLUDED IN THE ACCOUNTING BOOKS
2. CASH IN BANK
(3 ITEMS)
3. CASH FUND SET ASIDE FOR CURRENT PURPOSES
103008 - INCLUDES UNDEPOSITED CASH COLLECTIONS AND
CASH ON HAND
OTHER CASH ITEMS AWAITING DEPOSIT.
103009 - INCLUDES DEMAND DEPOSIT OR CHECKING
ACCOUNT AND SAVING DEPOSIT WHICH ARE UNRESTRICTED CASH IN BANK
AS TO WITHDRAWAL.
103010 - CASH OR NONCASH: PETTY CASH FUND CASH
103011 - CASH OR NONCASH: DIVIDEND FUND CASH
NONCASH (NONCURRENT ASSET - WHEN BONDS BECOME
103012 - CASH OR NONCASH: BOND SINKING FUND DUE WITHIN 12 MONTHS AFTER THE END OF THE
REPORTING PERIOD FUND BECOMES CURRENT ALSO)
103013 - CASH OR NONCASH: PAYROLL FUND CASH
103014 - CASH OR NONCASH: REVOLVING FUND CASH
103015 - CASH OR NONCASH: TAX FUND CASH
103016 - CASH OR NONCASH: FUND HELD FOR FUTURE
NONCASH (NONCURRENT ASSET - ALWAYS)
PLANT EXPANSION
103017 - CASH OR NONCASH: INTEREST FUND CASH
103018 - CASH OR NONCASH: PREFERENCE SHARE
NONCASH (NONCURRENT ASSET - ALWAYS)
REDEMPTION FUND
103019 - ARE SHORT-TERM AND HIGHLY LIQUID
INVESTMENTS THAT ARE READILY CONVERTIBLE INTO CASH
AND SO NEAR THEIR MATURITY THAT THEY PRESENT CASH EQUIVALENTS
INSIGNIFICANT RISK OF CHANGES IN VALUE BECAUSE OF
CHANGES IN INTEREST RATES.
ONLY HIGHLY LIQUID INVESTMENTS THAT ARE ACQUIRED
103020 - CRITERIA FOR AN ITEM TO QUALIFY AS CASH
THREE MONTHS BEFORE MATURITY CAN QUALIFY AS CASH
EQUIVALENT
EQUIVALENTS.
103021 - __________ CANNOT QUALIFY AS CASH
EQUIVALENTS BECAUSE _________ DO NOT HAVE A EQUITY SECURITIES; SHARES
MATURITY DATE.
103022 - _________ WITH SPECIFIED REDEMPTION DATE AND
ACQUIRED THREE MONTHS BEFORE REDEMPTION DATE CAN PREFERENCE SHARES
QUALIFY AS CASH EQUIVALENTS.
1. CASH AND CASH EQUIVALENTS (CURRENT)
103023 - CLASSIFICATIONS OF INVESTMENT OF EXCESS 2. SHORT-TERM FINANCIAL ASSETS OR TEMPORARY
CASH (3 ITEMS) INVESTMENTS (CURRENT)
3. LONG-TERM INVESTMENTS (NONCURRENT)
 103024 - IF THE TERM IS MORE THAN THREE MONTHS BUT
SHORT-TERM FINANCIAL ASSETS OR TEMPORARY
WITHIN ONE YEAR, SUCH INVESTMENTS ARE CLASSIFIED AS
INVESTMENTS; CURRENT ASSETS
__________ AND PRESENTED SEPARATELY AS _________.
103025 - IF THE TERM IS MORE THAN ONE YEAR, SUCH
NONCURRENT OR LONG-TERM INVESTMENTS
INVESTMENTS ARE CLASSIFIED AS __________.
103026 - IF LONG-TERM INVESTMENTS BECOME DUE WITHIN
ONE YEAR FROM THE END OF THE REPORTING PERIOD, CURRENT OR TEMPORARY INVESTMENTS.
THEY ARE RECLASSIFIED AS _________.
103027 - MEASUREMENT OF CASH (IN GENERAL) FACE VALUE
103028 - MEASUREMENT OF CASH IN FOREIGN CURRENCY CURRENT EXCHANGE RATE
103029 - MEASUREMENT OF CASH HELD BY A BANK OR
FINANCIAL INSTITUTION UNDER BANKRUPTCY OR FINANCIAL ESTIMATED REALIZABLE VALUE
DIFFICULTY
103030 - DEPOSITS IN FOREIGN BANK WHICH ARE SUBJECT
TO FOREIGN EXCHANGE RESTRICTION, IF MATERIAL,
NONCURRENT ASSETS
SHOULD BE CLASSIFIED SEPARATELY AMONG __________
AND THE RESTRICTION CLEARLY INDICATED.
103031 - CLASSIFICATION OF CASH FUND RELATED TO A CLASSIFICATION SHOULD BE PARALLEL WITH SUCH
LIABILITY RELATED LIABILITY.
103032 - CLASSIFICATION OF CASH FUND SET ASIDE FOR SUCH FUND SHOULD BE CLASSIFIED AS NONCURRENT
THE ACQUISITION OF A NONCURRENT ASSET REGARDLESS OF THE YEAR OF DISBURSEMENT.
103033 - OCCURS WHEN THE CASH IN A BANK ACCOUNT HAS
A CREDIT BALANCE RESULTING FROM THE ISSUANCE OF OVERDRAFT
CHECKS IN EXCESS OF DEPOSITS.
GR: CURRENT LIABILITY AND SHOULD NOT BE OFFSET
AGAINST OTHER BANK ACCOUNTS WITH DEBIT BALANCES;
XPN1: IF THERE ARE OTHER ACCOUNTS IN THE SAME BANK
103034 - CLASSIFICATION OF BANK OVERDRAFT AS THE ACCOUNT WITH THE CREDIT BALANCE, OFFSETTING
WITH SUCH OTHER ACCOUNTS IS ALLOWED.
XPN2: IF THE AMOUNT IS IMMATERIAL, OFFSETTING IS
ALLOWED.
103035 - GENERALLY TAKES THE FORM OF MINIMUM
CHECKING OR DEMAND DEPOSIT ACCOUNT BALANCE THAT
COMPENSATING BALANCE
MUST BE MAINTAINED IN CONNECTION WITH A BORROWING
ARRANGEMENT WITH A BANK.
1. IF NOT LEGALLY RESTRICTED (INFORMAL) - PART OF CASH
2. IF LEGALLY RESTRICTED (FORMAL) - CURRENT OR
103036 - CLASSIFICATION OF COMPENSATING BALANCE (2
NONCURRENT DEPENDING ON THE TERM OF THE RELATED
ITEMS)
LOAN.
RULE IF THE PROBLEM IS SILENT: UNRESTRICTED
103037 - IS A CHECK THAT IS MERELY DRAWN AND
RECORDED BUT NOT GIVEN TO THE PAYEE BEFORE THE UNRELEASED OR UNDELIVERED CHECKS
END OF REPORTING PERIOD.
DR. CASH IN BANK; CR. EXPENSE OR LIABILITY (THE ENTRY
103038 - ADJUSTMENT REQUIRED FOR UNDELIVERED OR MADE UPON ISSUANCE OF SAID CHECK SHOULD BE
UNRELEASED CHECKS REVERSED BECAUSE IN ESSENCE, NO PAYMENT HAS
REALLY BEEN MADE.)
103039 - IS A CHECK DRAWN, RECORDED AND ALREADY
GIVEN TO THE PAYEE BUT IT BEARS A DATE SUBSEQUENT POSTDATED CHECK DELIVERED
TO THE END OF REPORTING PERIOD.
DR. CASH IN BANK; CR. EXPENSE OR LIABILITY (THE ENTRY
103040 - ADJUSTMENT REQUIRED FOR POSTDATED CHECKS MADE UPON ISSUANCE OF SAID CHECK SHOULD BE
DELIVERED REVERSED BECAUSE IN ESSENCE, NO PAYMENT HAS
REALLY BEEN MADE.)
103041 - IS A CHECK NOT ENCASHED BY THE PAYEE WITHIN
STALE CHECK OR CHECK LONG OUTSTANDING
A RELATIVELY LONG PERIOD OF TIME.
103042 - IN BANKING PRACTICE, A CHECK BECOMES STALE IF
NOT ENCASHED WITHIN __________ FROM THE TIME OF 6 MONTHS
ISSUANCE.
1. IF THE AMOUNT IS MATERIAL - DR. CASH IN BANK; CR.
103043 - ADJUSTMENT REQUIRED FOR ISSUED CHECKS THAT ACCOUNTS PAYABLE OR APPROPRIATE ACCOUNT
BECAME STALE 2. IF THE AMOUNT IS IMMATERIAL - DR. CASH IN BANK; CR.
MISCELLANEOUS INCOME
 1. INITIAL ENTRY (DR. CASH SHORT OR OVER; CR. CASH)
2. IF THE CASHIER OR CASH CUSTODIAN IS HELD
RESPONSIBLE FOR THE CASH SHORTAGE (DR. DUE FROM
103044 - JOURNAL ENTRIES FOR CASH SHORTAGE (3 ITEMS) CASHIER; CR. CASH SHORT OR OVER)
3. IF REASONABLE EFFORTS FAIL TO DISCLOSE THE CAUSE
OF THE SHORTAGE (DR. LOSS FROM CASH SHORTAGE; CR.
CASH SHORT OR OVER)
1. INITIAL ENTRY (DR. CASH; CR. CASH SHORT OR OVER)
2. IF THERE IS NO CLAIM ON THE OVERAGE (DR. CASH
SHORT OR OVER; CR. MISCELLANEOUS INCOME)
103045 - JOURNAL ENTRIES FOR CASH OVERAGE (3 ITEMS)
3. IF THE CASH OVERAGE IS PROPERLY FOUND TO BE THE
MONEY OF THE CASHIER (DR. CASH SHORT OR OVER; CR.
PAYABLE TO CASHIER)
103046 - IS A SYSTEM OF CONTROL OF CASH WHICH
REQUIRES THAT ALL CASH RECEIPTS SHOULD BE
IMPREST SYSTEM
DEPOSITED INTACT AND ALL CASH DISBURSEMENTS
SHOULD BE MADE BY MEANS OF CHECK.
103047 - METHODS OF HANDLING THE PETTY CASH FUND (2 1. IMPREST FUND SYSTEM
ITEMS) 2. FLUCTUATING FUND SYSTEM
1. ESTABLISHMENT OF THE FUND (DR. PETTY CASH FUND;
CR. CASH IN BANK)
2. PAYMENT OF EXPENSES OUT OF THE FUND
(MEMORANDUM ENTRY IN THE PETTY CASH JOURNAL)
3. REPLENISHMENT OF PETTY CASH PAYMENTS (DR.
103048 - JOURNAL ENTRIES FOR HANDLING THE PETTY CASH EXPENSES; CR. CASH IN BANK)
UNDER IMPREST FUND SYSTEM (6 ITEMS) 4. ADJUSTING ENTRY IF NO REPLENISHMENT IS MADE AT
YRAR-END (DR. EXPENSES; CR. CASH IN BANK)
5. INCREASE IN FUND (DR. PETTY CASH FUND; CR. CASH IN
BANK)
6. DECREASE IN FUND (DR. CASH IN BANK; CR. PETTY CASH
FUND)
1. ESTABLISHMENT OF THE FUND (DR. PETTY CASH FUND;
CR. CASH IN BANK)
2. PAYMENT OF EXPENSES OUT OF THE PETTY CASH FUND
(DR. EXPENSES; CR. PETTY CASH FUND)
103049 - JOURNAL ENTRIES FOR HANDLING THE PETTY CASH 3. REPLENISHMENT OR INCREASE OF THE FUND (DR. PETTY
FUND UNDER THE FLUCTUATING FUND SYSTEM (5 ITEMS) CASH FUND; CR. CASH IN BANK)
4. ADJUSTING ENTRY IF NO REPLENISHMENT IS MADE AT
YEAR-END (NO ENTRY REQUIRED)
5. DECREASE OF THE FUND (DR. CASH IN BANK; CR. PETTY
CASH FUND)
103050 - IS THE CURRENT ACCOUNT OR CHECKING
ACCOUNT OR COMMERCIAL DEPOSIT WHERE DEPOSITS ARE
COVERED BY DEPOSIT SLIPS AND WHERE FUNDS ARE DEMAND DEPOSIT
WITHDRAWABLE ON DEMAND BY DRAWING CHECKS
AGAINST THE BANK.
103051 - IN A ________, THE DEPOSITOR IS GIVEN A
PASSBOOK UPON INITIAL DEPOSIT. THE PASSBOOK IS
SAVINGS DEPOSIT
REQUIRED WHEN MAKING DEPOSITS AND WITHDRAWALS.
THIS TYPE OF BANK DEPOSIT IS INTEREST BEARING.
103052 - IS A BANK DEPOSIT EVIDENCED BY A FORMAL
AGREEMENT CALLED CERTIFICATE OF DEPOSIT. IT IS
INTEREST BEARING AND MAY BE PRETERMINATED OR TIME DEPOSIT
WITHDRAWN ON DEMAND OR AFTER A CERTAIN PERIOD OF
TIME AGREED UPON.
103053 - JOURNAL ENTRY USED TO RECORD COLLECTION OF DR. CASH OR CASH IN BANK; CR. ACCOUNTS RECEIVABLE
CASH IN THE BOOKS OF THE REPORTING ENTITY OR ANY OTHER APPROPRIATE ACCOUNT
103054 - JOURNAL ENTRY USED BY THE BANK TO RECORD
COLLECTION OF CASH BY THE REPORTING ENTITY AND DR. CASH; CR. BANK ACCOUNT OF REPORTING ENTITY
SUBSEQUENT DEPOSIT TO THE BANK
103055 - JOURNAL ENTRY USED TO RECORD
DR. EXPENSES OR ANY OTHER APPROPRIATE ACCOUNT; CR.
DISBURSEMENTS OF CASH IN THE BOOKS OF THE
CASH OR CASH IN BANK
REPORTING ENTITY
103056 - JOURNAL ENTRY USED BY THE BANK TO RECORD DR. BANK ACCOUNT OF REPORTING ENTITY; CR. CASH IN
WITHDRAWALS OF CASH BY THE REPORTING ENTITY BANK
103057 - IS A STATEMENT WHICH BRINGS INTO AGREEMENT
THE CASH BALANCE PER BOOK AND CASH BALANCE PER BANK RECONCILIATION
BANK.
103058 - IS A MONTHLY REPORT OF THE BANK TO THE
DEPOSITOR SHOWING DATA ABOUT THE TRANSACTIONS OF
THE REPORTING ENTITY WITH THE BANK DURING THE BANK STATEMENT
PERIOD AND THE BEGINNING AND ENDING BALANCES OF ITS
BANK ACCOUNT.
103059 - ARE THE CHECKS (ATTACHED TO THE BANK
STATEMENT UPON RECEIPT) ISSUED BY THE DEPOSITOR CANCELLED CHECKS
AND PAID BY THE BANK DURING THE MONTH.
1. CREDIT MEMOS
103060 - BOOK RECONCILING ITEMS (3 ITEMS) 2. DEBIT MEMOS
3. ERRORS
1. DEPOSITS IN TRANSIT
103061 - BANK RECONCILING ITEMS (3 ITEMS) 2. OUTSTANDING CHECKS
3. ERRORS
103062 - REFER TO ITEMS NOT REPRESENTING DEPOSITS
CREDITED BY THE BANK TO THE ACCOUNT OF THE
CREDIT MEMOS
DEPOSITOR BUT NOT YET RECORDED BY THE DEPOSITOR
AS CASH RECEIPTS.
1. NOTES RECEIVABLE COLLECTED BY BANK IN FAVOR OF
THE DEPOSITOR
103063 - EXAMPLES OF CREDIT MEMOS (3 ITEMS) 2. PROCEEDS OF BANK LOAN
3. MATURED TIME DEPOSITS TRANSFERRED BY THE BANK
TO THE CURRENT ACCOUNT OF THE DEPOSITOR
103064 - REFER TO ITEMS NOT REPRESENTING CHECKS PAID
BY BANK WHICH ARE CHARGED OR DEBITED BY THE BANK
DEBIT MEMOS
TO THE ACCOUNT OF THE DEPOSITOR BUT NOT YET
RECORDED BY THE DEPOSITOR AS CASH DISBURSEMENTS.
1. NSF CHECKS OR DAIF CHECKS
2. TECHNICALLY DEFECTIVE CHECKS
103065 - EXAMPLES OF DEBIT MEMOS (3 ITEMS)
3. BANK SERVICE CHARGES
4. REDUCTION OF LOAN
103066 - ARE CHECKS DEPOSITED BUT NOT RETURNED BY NSF (NO SUFFICIENT FUND) OR DAIF (DRAWN AGAINST
THE BANK BECAUSE OF INSUFFICIENCY OF FUND. INSUFFICIENT FUND) CHECKS
103067 - ARE COLLECTIONS ALREADY RECORDED BY THE
DEPOSITOR AS CASH RECEIPTS BUT NOT YET REFLECTED DEPOSITS IN TRANSIT
ON THE BANK STATEMENT.
103068 - ARE CHECKS ALREADY RECORDED BY THE
DEPOSITOR AS CASH DISBURSEMENTS BUT NOT YET OUTSTANDING CHECKS
REFLECTED ON THE BANK STATEMENT.
103069 - IS A CHECK WHERE THE BANK HAS STAMPED ON ITS
FACE THE WORD "ACCEPTED" OR "CERTIFIED" INDICATING CERTIFIED CHECKS
SUFFICIENCY OF FUND.
CERTIFIED CHECKS SHOULD BE DEDUCTED FROM THE
TOTAL OUTSTANDING CHECKS (IF INCLUDED THEREIN)
103070 - ACCOUNTING TREATMENT FOR CERTIFIED CHECKS
BECAUSE THEY ARE NO LONGER OUTSTANDING FOR BANK
RECONCILIATION PURPOSES.
1. ADJUSTED BALANCE METHOD
103071 - FORMS OF BANK RECONCILIATION (3 ITEMS) 2. BANK TO BOOK METHOD
3. BOOK TO BANK METHOD
103072 - IS A FORM OF BANK RECONCILIATION WHERE THE
BOOK BALANCE AND THE BANK BALANCE ARE BROUGHT TO
ADJUSTED BALANCE METHOD
A CURRENT CASH BALANCE THAT MUST APPEAR ON THE
BALANCE SHEET.
103073 - IS A FORM OF BANK RECONCILIATION WHERE THE
BOOK BALANCE IS RECONCILED WITH THE BANK BALANCE
BOOK TO BANK METHOD
OR THE BOOK BALANCE IS ADJUSTED TO EQUAL THE BANK
BALANCE.
103074 - IS A FORM OF BANK RECONCILIATION WHERE THE
BANK BALANCE IS RECONCILED WITH THE BOOK BALANCE
BANK TO BOOK METHOD
OR THE BANK BALANCE IS ADJUSTED TO EQUAL THE BOOK
BALANCE.
103075 - FORMULA TO COMPUTE FOR THE ADJUSTED BOOK
BOOK BALANCE + CREDIT MEMOS - DEBIT MEMOS ± EFFECT
BALANCE UNDER THE ADJUSTED BALANCE METHOD OF
OF ERRORS = ADJUSTED BOOK BALANCE
BANK RECONCILIATION
103076 - FORMULA TO COMPUTE FOR THE ADJUSTED BANK
BANK BALANCE + DEPOSITS IN TRANSIT - OUTSTANDING
BALANCE UNDER THE ADJUSTED BALANCE METHOD OF
CHECKS ± EFFECT OF ERRORS = ADJUSTED BANK BALANCE
BANK RECONCILIATION
BOOK BALANCE + CREDIT MEMOS + OUTSTANDING CHECKS -
103077 - FORMULA USED UNDER THE BOOK TO BANK
DEBIT MEMOS - DEPOSITS IN TRANSIT ± EFFECT OF ERRORS
METHOD OF BANK RECONCILIATION
= BANK BALANCE
BANK BALANCE + DEPOSITS IN TRANSIT + DEBIT MEMOS -
103078 - FORMULA USED UNDER THE BANK TO BOOK
OUTSTANDING CHECKS - CREDIT MEMOS ± EFFECT OF
METHOD OF BANK RECONCILIATION
ERRORS = BOOK BALANCE
103079 - IS A RECONCILIATION OF THE GENERAL LEDGER
CASH BALANCE AT BOTH THE BEGINNING AND END OF A
PERIOD, COMBINED WITH A RECONCILIATION OF CASH
PROOF OF CASH
DEPOSITED FOR THE PERIOD WITH THE CASH RECEIPTS
JOURNAL, AND A RECONCILIATION OF CHECKS FOR THE
PERIOD WITH THE CASH DISBURSEMENTS JOURNAL.
BEGINNING OF MONTH BALANCE PER BOOK + BOOK DEBITS
103080 - COMPUTATION OF END OF MONTH BALANCE PER
DURING THE MONTH - BOOK CREDITS DURING THE MONTH =
BOOK
END OF MONTH BALANCE PER BOOK
103081 - REFER TO CASH RECEIPTS OR ALL ITEMS DEBITED
BOOK DEBITS
TO THE CASH IN BANK ACCOUNT.
103082 - REFER TO CASH DISBURSEMENTS OR ALL ITEMS
BOOK CREDITS
CREDITED TO THE CASH IN BANK ACCOUNT.
BEGINNING OF MONTH BALANCE PER BANK + BANK CREDITS
103083 - COMPUTATION OF END OF MONTH BALANCE PER
DURING THE MONTH - BANK DEBITS DURING THE MONTH =
BANK
END OF MONTH BALANCE PER BANK
103084 - REFER TO ALL ITEMS CREDITED TO THE ACCOUNT
OF THE DEPOSITOR WHICH INCLUDE DEPOSITS BANK CREDITS
ACKNOWLEDGED BY BANK AND CREDIT MEMOS.
103085 - REFER TO ALL ITEMS DEBITED TO THE ACCOUNT OF
THE DEPOSITOR WHICH INCLUDES CHECKS PAID BY BANK BANK DEBITS
AND DEBIT MEMOS.
BEGINNING OF MONTH DEPOSITS IN TRANSIT + BOOK
103086 - COMPUTATION OF END OF MONTH DEPOSITS IN DEBITS - CM FROM PREVIOUS MONTH - BANK CREDITS + CM
TRANSIT FROM CURRENT MONTH = END OF MONTH DEPOSITS IN
TRANSIT
103087 - PROOF OF CASH PROCEDURE: CREDIT MEMOS OF ADD TO BEGINNING BOOK BALANCE, DEDUCT FROM BOOK
THE PREVIOUS MONTH RECEIPTS
103088 - PROOF OF CASH PROCEDURE: CREDIT MEMOS OF
ADD TO BOOK RECEIPTS, ADD TO ENDING BOOK BALANCE
THE CURRENT MONTH
103089 - PROOF OF CASH PROCEDURE: DEBIT MEMOS OF DEDUCT FROM BEGINNING BOOK BALANCE, DEDUCT FROM
THE PREVIOUS MONTH BOOK DISBURSEMENTS
103090 - PROOF OF CASH PROCEDURE: DEBIT MEMOS OF ADD TO BOOK DISBURSEMENTS, DEDUCT FROM ENDING
THE CURRENT MONTH BOOK BALANCE
103091 - PROOF OF CASH PROCEDURE: DEPOSITS IN ADD TO BEGINNING BANK BALANCE, DEDUCT FROM BANK
TRANSIT AS OF BEGINNING OF THE CURRENT MONTH RECEIPTS
103092 - PROOF OF CASH PROCEDURE: DEPOSITS IN
ADD TO BANK RECEIPTS, ADD TO ENDING BANK BALANCE
TRANSIT AS OF END OF THE CURRENT MONTH
103093 - PROOF OF CASH PROCEDURE: OUTSTANDING DEDUCT FROM BEGINNING BANK BALANCE, DEDUCT FROM
CHECKS AS OF BEGINNING OF THE CURRENT MONTH BANK DISBURSEMENTS
103094 - PROOF OF CASH PROCEDURE: OUTSTANDING ADD TO BANK DISBURSEMENTS, DEDUCT FROM ENDING
CHECKS AS OF END OF THE CURRENT MONTH BANK BALANCE
103095 - PROOF OF CASH PROCEDURE: OVERSTATED
RECORDING OF CASH RECEIPTS IN THE CASH IN BANK DEDUCT FROM BEGINNING BOOK BALANCE, ADD TO BOOK
ACCOUNT (COMMITTED DURING THE PREVIOUS MONTH, RECEIPTS
DISCOVERED IN THE CURRENT MONTH)
103096 - PROOF OF CASH PROCEDURE: OVERSTATED
RECORDING OF CASH RECEIPTS IN THE CASH IN BANK DEDUCT FROM BOOK RECEIPTS, DEDUCT FROM ENDING
ACCOUNT (COMMITTED DURING THE CURRENT MONTH, BOOK BALANCE
DISCOVERED UPON THE RECEIPT OF BANK STATEMENT)
 103097 - PROOF OF CASH PROCEDURE: OVERSTATED
RECORDING OF CASH RECEIPTS IN THE CASH IN BANK DEDUCT FROM BOOK RECEIPTS, DEDUCT FROM BOOK
ACCOUNT (COMMITTED AND DISCOVERED DURING THE DISBURSEMENTS
CURRENT MONTH)
103098 - PROOF OF CASH PROCEDURE: UNDERSTATED
RECORDING OF CASH RECEIPTS IN THE CASH IN BANK ADD TO BEGINNING BOOK BALANCE, DEDUCT FROM BOOK
ACCOUNT (COMMITTED DURING THE PREVIOUS MONTH, RECEIPTS
DISCOVERED IN THE CURRENT MONTH)
103099 - PROOF OF CASH PROCEDURE: UNDERSTATED
RECORDING OF CASH RECEIPTS IN THE CASH IN BANK
ADD TO BOOK RECEIPTS, ADD TO ENDING BOOK BALANCE
ACCOUNT (COMMITTED DURING THE CURRENT MONTH,
DISCOVERED UPON THE RECEIPT OF BANK STATEMENT)
103100 - PROOF OF CASH PROCEDURE: UNDERSTATED
RECORDING OF CASH RECEIPTS IN THE CASH IN BANK
NO ADJUSTMENT REQUIRED.
ACCOUNT (COMMITTED AND DISCOVERED DURING THE
CURRENT MONTH)
103101 - PROOF OF CASH PROCEDURE: OVERSTATED
RECORDING OF CASH DISBURSEMENTS IN THE CASH IN ADD TO BEGINNING BOOK BALANCE, DEDUCT FROM BOOK
BANK ACCOUNT (COMMITTED DURING THE PREVIOUS RECEIPTS
MONTH, DISCOVERED IN THE CURRENT MONTH)
103102 - PROOF OF CASH PROCEDURE: OVERSTATED
RECORDING OF CASH DISBURSEMENTS IN THE CASH IN
DEDUCT FROM BOOK DISBURSEMENTS, ADD TO ENDING
BANK ACCOUNT (COMMITTED DURING THE CURRENT
BOOK BALANCE
MONTH, DISCOVERED UPON THE RECEIPT OF BANK
STATEMENT)
103103 - PROOF OF CASH PROCEDURE: OVERSTATED
RECORDING OF CASH DISBURSEMENTS IN THE CASH IN DEDUCT FROM BOOK RECEIPTS, DEDUCT FROM BOOK
BANK ACCOUNT (COMMITTED AND DISCOVERED DURING DISBURSEMENTS
THE CURRENT MONTH)
103104 - PROOF OF CASH PROCEDURE: UNDERSTATED
RECORDING OF CASH DISBURSEMENTS IN THE CASH IN DEDUCT FROM BEGINNING BOOK BALANCE, DEDUCT FROM
BANK ACCOUNT (COMMITTED DURING THE PREVIOUS BOOK DISBURSEMENTS
MONTH, DISCOVERED IN THE CURRENT MONTH)
103105 - PROOF OF CASH PROCEDURE: UNDERSTATED
RECORDING OF CASH DISBURSEMENTS IN THE CASH IN
ADD TO BOOK DISBURSEMENTS, DEDUCT FROM ENDING
BANK ACCOUNT (COMMITTED DURING THE CURRENT
BOOK BALANCE
MONTH, DISCOVERED UPON THE RECEIPT OF BANK
STATEMENT)
103106 - PROOF OF CASH PROCEDURE: UNDERSTATED
RECORDING OF CASH DISBURSEMENTS IN THE CASH IN
NO ADJUSTMENT REQUIRED.
BANK ACCOUNT (COMMITTED AND DISCOVERED DURING
THE CURRENT MONTH)
103107 - PROOF OF CASH PROCEDURE: OVERSTATED
RECORDING OF CASH DEPOSIT IN THE BANK ACCOUNT OF DEDUCT FROM BEGINNING BANK BALANCE, DEDUCT FROM
REPORTING ENTITY (COMMITTED DURING THE PREVIOUS BANK DISBURSEMENTS
MONTH, CORRECTED IN THE CURRENT MONTH)
103108 - PROOF OF CASH PROCEDURE: OVERSTATED
RECORDING OF CASH DEPOSIT IN THE BANK ACCOUNT OF DEDUCT FROM BANK RECEIPTS, DEDUCT FROM ENDING
REPORTING ENTITY (COMMITTED DURING THE CURRENT BANK BALANCE
MONTH, STILL UNCORRECTED AS PER BANK STATEMENT)
103109 - PROOF OF CASH PROCEDURE: OVERSTATED
RECORDING OF CASH DEPOSIT IN THE BANK ACCOUNT OF DEDUCT FROM BANK RECEIPTS, DEDUCT FROM BANK
REPORTING ENTITY (COMMITTED AND CORRECTED IN THE DISBURSEMENTS
CURRENT MONTH)
103110 - PROOF OF CASH PROCEDURE: UNDERSTATED
RECORDING OF CASH DEPOSIT IN THE BANK ACCOUNT OF ADD TO BEGINNING BANK BALANCE, DEDUCT FROM BANK
REPORTING ENTITY (COMMITTED DURING THE PREVIOUS RECEIPTS
MONTH, CORRECTED IN THE CURRENT MONTH)
103111 - PROOF OF CASH PROCEDURE: UNDERSTATED
RECORDING OF CASH DEPOSIT IN THE BANK ACCOUNT OF
ADD TO BANK RECEIPTS, ADD TO ENDING BANK BALANCE
REPORTING ENTITY (COMMITTED DURING THE CURRENT
MONTH, STILL UNCORRECTED AS PER BANK STATEMENT)
103112 - PROOF OF CASH PROCEDURE: UNDERSTATED
RECORDING OF CASH DEPOSIT IN THE BANK ACCOUNT OF
NO ADJUSTMENT REQUIRED.
REPORTING ENTITY (COMMITTED AND CORRECTED IN THE
CURRENT MONTH)
 103113 - PROOF OF CASH PROCEDURE: OVERSTATED
RECORDING OF CHECK PAYMENT IN THE BANK ACCOUNT OF ADD TO BEGINNING BANK BALANCE, DEDUCT FROM BANK
REPORTING ENTITY (COMMITTED DURING THE PREVIOUS RECEIPTS
MONTH, CORRECTED IN THE CURRENT MONTH)
103114 - PROOF OF CASH PROCEDURE: OVERSTATED
RECORDING OF CHECK PAYMENT IN THE BANK ACCOUNT OF DEDUCT FROM BANK DISBURSEMENTS, ADD TO ENDING
REPORTING ENTITY (COMMITTED DURING THE CURRENT BANK BALANCE
MONTH, STILL UNCORRECTED AS PER BANK STATEMENT)
103115 - PROOF OF CASH PROCEDURE: OVERSTATED
RECORDING OF CHECK PAYMENT IN THE BANK ACCOUNT OF DEDUCT FROM BANK RECEIPTS, DEDUCT FROM BANK
REPORTING ENTITY (COMMITTED AND CORRECTED IN THE DISBURSEMENTS
CURRENT MONTH)
103116 - PROOF OF CASH PROCEDURE: UNDERSTATED
RECORDING OF CHECK PAYMENT IN THE BANK ACCOUNT OF DEDUCT FROM BEGINNING BANK BALANCE, DEDUCT FROM
REPORTING ENTITY (COMMITTED DURING THE PREVIOUS BANK DISBURSEMENTS
MONTH, CORRECTED IN THE CURRENT MONTH)
103117 - PROOF OF CASH PROCEDURE: UNDERSTATED
RECORDING OF CHECK PAYMENT IN THE BANK ACCOUNT OF ADD TO BANK DISBURSEMENTS, DEDUCT FROM ENDING
REPORTING ENTITY (COMMITTED DURING THE CURRENT BANK BALANCE
MONTH, STILL UNCORRECTED AS PER BANK STATEMENT)
103118 - PROOF OF CASH PROCEDURE: UNDERSTATED
RECORDING OF CHECK PAYMENT IN THE BANK ACCOUNT OF
NO ADJUSTMENT REQUIRED.
REPORTING ENTITY (COMMITTED AND CORRECTED IN THE
CURRENT MONTH)
 FAR - RECEIVABLES (104001 - 104170)
104001 - ARE FINANCIAL ASSETS THAT REPRESENT A
CONTRACTUAL RIGHT TO RECEIVE CASH OR ANOTHER RECEIVABLES
FINANCIAL ASSET FROM ANOTHER ENTITY.
104002 - REFER TO CLAIMS ARISING FROM SALE OF
MERCHANDISE OR SERVICES IN THE ORDINARY COURSE OF
TRADE RECEIVABLES
BUSINESS (E.G., ACCOUNTS RECEIVABLE, NOTES
RECEIVABLE, ETC.).
104003 - ARE OPEN ACCOUNTS ARISING FROM THE SALE OF
ACCOUNTS RECEIVABLE, CUSTOMERS' ACCOUNTS, TRADE
GOODS AND SERVICES IN THE ORDINARY COURSE OF
DEBTORS, OR TRADE ACCOUNTS RECEIVABLE
BUSINESS AND NOT SUPPORTED BY PROMISSORY NOTES.
104004 - ARE RECEIVABLES SUPPORTED BY FORMAL
NOTES RECEIVABLE
PROMISES TO PAY IN THE FORM OF NOTES.
104005 - REPRESENT CLAIMS ARISING FROM SOURCES
OTHER THAN THE SALE OF MERCHANDISE OR SERVICES IN NONTRADE RECEIVABLES
THE ORDINARY COURSE OF BUSINESS.
TO BE CLASSIFIED AS CURRENT ASSETS, THEY MUST BE
104006 - CRITERIA FOR TRADE RECEIVABLES TO BE
EXPECTED TO BE REALIZED IN CASH WITHIN THE NORMAL
CLASSIFIED AS CURRENT ASSETS
OPERATING CYCLE OR ONE YEAR, WHICHEVER IS LONGER.
TO BE CLASSIFIED AS CURRENT ASSETS, THEY MUST BE
104007 - CRITERIA FOR NONTRADE RECEIVABLES TO BE
EXPECTED TO BE REALIZED IN CASH WITHIN ONE YEAR, THE
CLASSIFIED AS CURRENT ASSETS
LENGTH OF THE OPERATING CYCLE NOTWITHSTANDING.
104008 - CURRENT OR NONCURRENT ASSET:: ADVANCES TO GR: CURRENT ASSET
OR RECEIVABLES FROM SHAREHOLDERS, DIRECTORS, XPN: NONCURRENT ASSET IF STATED TO BE COLLECTIBLE
OFFICERS OR EMPLOYEES BEYOND 1 YEAR
104009 - CURRENT OR NONCURRENT ASSET: ADVANCES TO
NONCURRENT (LONG-TERM INVESTMENT)
AFFILIATES
GR: DEDUCTION FROM SUBSCRIBED SHARE CAPITAL
104010 - CURRENT OR NONCURRENT ASSET: SUBSCRIPTION
XPN: CURRENT ASSET IF STATED TO BE COLLECTIBLE
RECEIVABLE
WITHIN 1 YEAR
104011 - CURRENT OR NONCURRENT ASSET: DEBIT GR: CURRENT ASSET
BALANCES IN CREDITORS' ACCOUNTS RESULTING FROM XPN: IF THE AMOUNT IS IMMATERIAL, OFFSET AGAINST THE
OVERPAYMENTS AND RETURNS AND ALLOWANCES CREDITORS' ACCOUNTS WITH CREDIT BALANCES
GR: NONCURRENT ASSET
104012 - CURRENT OR NONCURRENT ASSET: SPECIAL
XPN: CURRENT ASSET IF STATED TO BE COLLECTIBLE
DEPOSITS ON CONTRACT BIDS
WITHIN 1 YEAR
104013 - CURRENT OR NONCURRENT ASSET: ACCRUED
INCOME (E.G., DIVIDENDS RECEIVABLE, ACCRUED RENT
CURRENT ASSET
INCOME, ACCRUED ROYALTIES INCOME, ACCRUED
INTEREST ON BOND INVESTMENTS, ETC.)
104014 - CURRENT OR NONCURRENT ASSET: CLAIMS
RECEIVABLE (E.G., CLAIMS AGAINST COMMON CARRIERS
CURRENT ASSET
FOR LOSSES OR DAMAGES, CLAIM FOR REBATES AND TAX
REFUNDS, CLAIMS FROM INSURANCE ENTITIES, ETC.)
104015 - CLASSIFICATION OF CUSTOMERS' CREDIT
GR: CURRENT LIABILITY
BALANCES RESULTING FROM OVERPAYMENTS, RETURNS
XPN: IF THE AMOUNT IS IMMATERIAL, OFFESET AGAINST
AND ALLOWANCES, AND ADVANCE PAYMENTS FROM
CUSTOMERS' ACCOUNTS WITH DEBIT BALANCES
CUSTOMERS
104016 - INITIAL MEASUREMENT OF ACCOUNTS RECEIVABLE FAR VALUE (FACE AMOUNT OR ORIGINAL INVOICE AMOUNT)
AMORTIZED COST (NET REALIZABLE VALUE OF ACCOUNTS
104017 - SUBSEQUENT MEASUREMENT OF ACCOUNTS
RECEIVABLE OR GROSS ACCOUNTS RECEIVABLE LESS
RECEIVABLE
ALLOWANCES)
104018 - ALLOWANCES USUALLY DEDUCTED FROM 1. ALLOWANCE FOR FREIGHT CHARGE
ACCOUNTS RECEIVABLE TO GET ITS ESTIMATED 2. ALLOWANCE FOR SALES RETURN
RECOVERABLE AMOUNT OR NET REALIZABLE VALUE (4 3. ALLOWANCE FOR SALES DISCOUNT
ITEMS) 4. ALLOWANCE FOR DOUBTFUL ACCOUNTS
104019 - IS A SHIPPING TERM WHICH MEANS THAT
OWNERSHIP OF THE GOODS PURCHASED IS VESTED IN THE FOB DESTINATION
BUYER UPON RECEIPT THEREOF.
104020 - IS A SHIPPING TERM WHICH MEANS THAT
OWNERSHIP OF THE GOODS PURCHASED IS VESTED IN THE FOB SHIPPING POINT
BUYER UPON SHIPMENT THEREOF.
104021 - SELLER OR BUYER: RESPONSIBLE FOR THE FREIGH
SELLER
CHARGE UNDER FOB DESTINATION
104022 - SELLER OR BUYER: RESPONSIBLE FOR THE FREIGH
BUYER
CHARGE UNDER FOB SHIPPING POINT
104023 - MEANS THAT FREIGHT CHARGE ON THE GOODS
SHIPPED IS NOT YET PAID WHEN THE GOODS WERE FREIGHT COLLECT
SHIPPED (TO BE PAID BY THE BUYER).
104024 - MEANS THAT FREIGHT CHARGE ON THE GOODS
SHIPPED WAS ALREADY PAID (BY THE SELLER) WHEN THE FREIGHT PREPAID
GOODS WERE SHIPPED
104025 - JOURNAL ENTRY TO RECORD SHIPMENT OF
DR. ACCOUNTS RECEIVABLE, FREIGHT OUT; CR. SALES,
MERCHANDISE SOLD FREIGHT COLLECT UNDER FOB
ALLOWANCE FOR FREIGHT CHARGE
DESTINATION
104026 - JOURNAL ENTRY TO RECORD SHIPMENT OF DR. ACCOUNTS RECEIVABLE, FREIGHT OUT; CR. SALES,
MERCHANDISE FREIGHT PREPAID UNDER FOB DESTINATION CASH
104027 - JOURNAL ENTRY TO RECORD SHIPMENT OF
MERCHANDISE SOLD FREIGHT COLLECT UNDER FOB DR. ACCOUNTS RECEIVABLE, CR. SALES
SHIPPING POINT
104028 - JOURNAL ENTRY TO RECORD SHIPMENT OF
DR. ACCOUNTS RECEIVABLE (INVOICE AMOUNT + FREIGHT
MERHCANDISE SOLD FREIGHT PREPAID UNDER FOB
CHARGE); CR. SALES, CASH
SHIPPING POINT
104029 - JOURNAL ENTRY TO RECORD PROBABLE RETURN
DR. SALES RETURN; CR.ALLOWANCE FOR SALES RETURN
OF MERCHANDISE SOLD TO CUSTOMER
104030 - IS A DISCOUNT THAT IS ALLOWED BY THE
WHOLESALER TO THE RETAILER, CALCULATED ON THE LIST
TRADE DISCOUNT
PRICE OF THE PRODUCT. NO LEDGER ACCOUNT IS OPENED
FOR THIS KIND OF DISCOUNT.
104031 - IS A DISCOUNT ALLOWED TO STIMULATE INSTANT
CASH DISCOUNT
PAYMENT OF THE GOODS PURCHASED.
1. GROSS METHOD
104032 - METHODS OF RECORDING CREDIT SALES (2 ITEMS)
2. NET METHOD
104033 - IS A METHOD OF RECORDING CREDIT SALES WHERE
THE ACCOUNTS RECEIVABLE AND SALES ARE RECORDED AT GROSS METHOD
GROSS AMOUNT OF THE INVOICE (MORE COMMONLY USED).
104034 - IS A METHOD OF RECORDING CREDIT SALES WHERE
THE ACCOUNTS RECEIVABLE AND SALES ARE RECORDED AT
NET METHOD
NET AMOUNT OF THE INVOICE, MEANING THE INVOICE PRICE
MINUS THE CASH DISCOUNT.
104035 - JOURNAL ENTRY TO RECORD SALE OF DR. ACCOUNTS RECEIVABLE (GROSS AMOUNT OF INVOICE);
MERCHANDISE ON ACCOUNT UNDER GROSS METHOD CR. SALES
104036 - JOURNAL ENTRY TO RECORD COLLECTION OF
CUSTOMER'S ACCOUNT WITHIN THE DISCOUNT PERIOD DR. CASH, SALES DISCOUNT; CR. ACCOUNTS RECEIVABLE
UNDER GROSS METHOD
104037 - JOURNAL ENTRY TO RECORD COLLECTION OF
CUSTOMER'S ACCOUNT BEYOND THE DISCOUNT PERIOD DR. CASH; CR. ACCOUNTS RECEIVABLE
UNDER GROSS METHOD
104038 - JOURNAL ENTRY TO RECORD SALE OF DR. ACCOUNTS RECEIVABLE (INVOICE PRICE - CASH
MERCHANDISE ON ACCOUNT UNDER NET METHOD DISCOUNT); CR. SALES
104039 - JOURNAL ENTRY TO RECORD COLLECTION OF
CUSTOMER'S ACCOUNT WITHIN THE DISCOUNT PERIOD DR. CASH; CR. ACCOUNTS RECEIVABLE
UNDER NET METHOD
104040 - JOURNAL ENTRY TO RECORD COLLECTION OF
DR. CASH; CR. ACCOUNTS RECEIVABLE, SALES DISCOUNT
CUSTOMER'S ACCOUNT BEYOND THE DISCOUNT PERIOD
FORFEITED
UNDER NET METHOD
104041 - CLASSIFICATION OF SALES DISCOUNT FORFEITED OTHER INCOME
DR. SALES DISCOUNT; CR. ALLOWANCE FOR SALES
104042 - JOURNAL ENTRY TO RECORD EXPECTED SALES DISCOUNT
DISCOUNT (THIS ENTRY MAY BE REVERSED AT THE BEGINNING OF THE
NEXT PERIOD.)
104043 - IS AN EXPENSE THAT A BUSINESS INCURS ONCE
THE REPAYMENT OF CREDIT PREVIOUSLY EXTENDED TO A BAD DEBT
CUSTOMER IS ESTIMATED TO BE UNCOLLECTIBLE.
 104044 - METHODS OF ACCOUNTING FOR BAD DEBTS (2 1. ALLOWANCE METHOD
ITEMS) 2. DIRECT WRITEOFF METHOD
104045 - IS A METHOD OF ACCOUNTING FOR BAD DEBTS
WHICH REQUIRES THE RECOGNITION OF A BAD DEBT LOSS
IF THE ACCOUNTS ARE DOUBTFUL OF COLLECTION (I.E., A ALLOWANCE METHOD
PROVISION FOR DOUBTFUL ACCOUNTS IS REQUIRED AT THE
END OF REPORTING PERIOD).
104046 - IS A METHOD OF ACCOUNTING FOR BAD DEBTS
WHICH REQUIRES RECOGNITION OF A BAD DEBT LOSS ONLY
DIRECT WRITEOFF METHOD
WHEN THE ACCOUNTS ARE PROVED TO BE WORTHLESS OR
UNCOLLECTIBLE.
104047 - IS THE AMOUNT OF AN EXPENSE THAT AN ENTITY
ELECTS TO RECOGNIZE NOW, BEFORE IT HAS PRECISE
PROVISION
INFORMATION ABOUT THE EXACT AMOUNT OF THE
EXPENSE.
104048 - IS A REDUCTION IN THE RECORDED AMOUNT OF AN
ASSET WHICH OCCURS UPON THE REALIZATION THAT AN
ASSET NO LONGER CAN BE CONVERTED INTO CASH, CAN WRITEOFF
PROVIDE NO FURTHER USE TO A BUSINESS, OR HAS NO
MARKET VALUE.
104049 - JOURNAL ENTRY TO RECORD PROVISION FOR DR. DOUBTFUL ACCOUNTS EXPENSE; CR. ALLOWANCE FOR
DOUBTFUL ACCOUNTS UNDER ALLOWANCE METHOD DOUBTFUL ACCOUNTS
104050 - JOURNAL ENTRY TO RECORD WRITEOFF OF
DR. ALLOWANCE FOR DOUBTFUL ACCOUNTS; CR.
ACCOUNTS PROVED TO BE WORTHLESS OR UNCOLLECTIBLE
ACCOUNTS RECEIVABLE
UNDER ALLOWANCE METHOD
104051 - JOURNAL ENTRY TO RECORD RECOVERY AND
COLLECTION OF ACCOUNT PREVIOUSLY WRITTEN OFF DR. CASH; CR. ALLOWANCE FOR DOUBTFUL ACCOUNTS
UNDER ALLOWANCE METHOD
104052 - JOURNAL ENTRY TO RECORD WRITEOFF OF
ACCOUNTS PROVED TO BE WORTHLESS OR UNCOLLECTIBLE DR. BAD DEBTS EXPENSE; CR. ACCOUNTS RECEIVABLE
UNDER DIRECT WRITEOFF METHOD
104053 - JOURNAL ENTRY TO RECORD RECOVERY AND
COLLECTION OF ACCOUNT PREVIOUSLY WRITTEN OFF DR. CASH; CR. BAD DEBTS EXPENSE
UNDER ALLOWANCE METHOD
1. DISTRIBUTION COST - IF THE GRANTING OF CREDIT AND
COLLECTION OF ACCOUNTS ARE UNDER THE CHARGE OF
THE SALES MANAGER.
104054 - CLASSIFICATION OF DOUBTFUL ACCOUNTS OR BAD
2. ADMINISTRATIVE EXPENSE - IF THE GRANTING OF CREDIT
DEBTS EXPENSE IN THE INCOME STATEMENT (2 ITEMS)
AND COLLECTION OF ACCOUNTS ARE UNDER THE CHARGE
OF AN OFFICER OTHER THAN SALES MANGER.
(IF THE PROBLEM IS SILENT, ADMINISTRATIVE EXPENSE)
1. AGING OF ACCOUNTS RECEIVABLE
104055 - METHODS OF ESTIMATING DOUBTFUL ACCOUNTS (3
2. PERCENTAGE OF ACCOUNTS RECEIVABLE
ITEMS)
3. PERCENTAGE OF SALES
104056 - STATEMENT OF FINANCIAL POSITION APPROACHES 1. AGING OF ACCOUNTS RECEIVABLE
IN ESTIMATING DOUBTFUL ACCOUNTS (2 ITEMS) 2. PERCENGTAGE OF ACCOUNTS RECEIVABLE
104057 - INCOME STATEMENT APPROACH IN ESTIMATING
PERCENTAGE OF SALES
DOUBTFUL ACCOUNTS
104058 - REFERS TO THE METHOD OF ESTIMATING
DOUBTFUL ACCOUNTS WHERE THE RECEIVABLES ARE
CLASSIFIED BY DUE DATE. THE ALLOWANCE IS THEN
DETERMINED BY MULTIPLYING THE TOTAL OF EACH
AGING OF ACCOUNTS RECEIVABLE
CLASSIFICATION BY THE RATE OR PERCENT OF LOSS
EXPERIENCED BY THE ENTITY FOR EACH CATEGORY
(ACCURATE AND SCIENTIFIC; PRESENTS FAIRLY THE
ACCOUNTS RECEIVABLE AT NET REALIZABLE VALUE).
104059 - IS A METHOD OF ESTIMATING DOUBTFUL
ACCOUNTS WHERE A CERTAIN RATE IS MULTIPLIED BY THE
PERCENTAGE OF ACCOUNTS RECEIVABLE
OPEN ACCOUNTS AT THE END OF THE PERIOD IN ORDER TO
GET THE REQUIRED ALLOWANCE BALANCE.
104060 - IS A METHOD OF ESTIMATING DOUBTFUL
ACCOUNTS WHERE THE AMOUNT OF SALES FOR THE YEAR
PERCENTAGE OF SALES
IS MULTIPLIED BY A CERTAIN RATE TO GET THE DOUBTFUL
ACCOUNTS EXPENSE.
 104061 - RESULT OF USING AGING OF ACCOUNTS
ENDING ALLOWANCE FOR DOUBTFUL ACCOUNTS
RECEIVABLE
104062 - RESULT OF USING PERCENTAGE OF RECEIVABLES ENDING ALLOWANCE FOR DOUBTFUL ACCOUNTS
104063 - RESULT OF USING PERCENTAGE OF SALES DOUBTFUL ACCOUNTS EXPENSE FOR THE PERIOD
1. INADEQUATE ALLOWANCE - DR. DOUBTFUL ACCOUNTS
104064 - JOURNAL ENTRY TO RECORD CORRECTION IN
EXPENSE; CR. ALLOWANCE FOR DOUBTFUL ACCOUNTS
ALLOWANCE FOR DOUBTFUL ACCOUNT AS A CHANGE IN
2. EXCESSIVE ALLOWANCE - DR. ALLOWANCE FOR
ACCOUNTING ESTIMATE (2 ITEMS)
DOUBTFUL ACCOUNTS; CR. DOUBTFUL ACCOUNTS EXPENSE
104065 - IS THE LOSS ALLOWANCE REQUIRED TO BE
RECOGNIZED FOR EXPECTED CREDIT LOSSES ON FINANCIAL ALLOWANCE FOR IMPAIRMENT
ASSETS MEASURED AT AMORTIZED COST.
104066 - RULE ON ASSESSMENT FOR IMPAIRMENT THESE SHOULD BE CONSIDERED FOR IMPAIRMENT
REGARDING INDIVIDUALLY SIGNIFICANT ACCOUNTS SEPARATELY AND IF IMPAIRED, THE IMPAIRMENT LOSS IS
RECEIVABLE RECOGNIZED.
THESE SHOULD BE COLLECTIVELY ASSESSED FOR
104067 - RULE ON ASSESSMENT FOR IMPAIRMENT
IMPAIRMENT (USE OF A COMPOSITE RATE THAT CAN
REGARDING ACCOUNTS RECEIVABLE WHICH ARE NOT
APPROPRIATELY MEASURE IMPAIRMENT ON ALL ACCOUNTS
INDIVIDUALLY SIGNIFICANT
IN THE CATEGORY).
THESE SHOULD BE INCLUDED WITH OTHER ACCOUNTS
104068 - RULE ON ASSESSMENT FOR IMPAIRMENT
RECEIVABLE (THOSE NOT INDIVIDUALLY SIGNIFICANT) WITH
REGARDING INDIVIDUALLY SIGNIFICANT ACCOUNTS
SIMILAR CREDIT-RISK CHARACTERISTICS AND
RECEIVABLE
COLLECTIVELY ASSESSED FOR IMPAIRMENT.
104069 - JOURNAL ENTRY TO RECORD IMPAIRMENT LOSS ON DR. DOUBTFUL ACCOUNTS EXPENSE; CR. ALLOWANCE FOR
ACCOUNTS RECEIVABLE DOUBTFUL ACCOUNTS
104070 - IS AN UNCONDITIONAL PROMISE MADE IN WRITING
MADE BY ONE PERSON TO ANOTHER, SIGNED BY THE
MAKER, ENGAGING TO PAY ON DEMAND OR AT A FIXED OR NEGOTIABLE PROMISSORY NOTE
DETERMINABLE FUTURE TIME A SUM CERTAIN IN MONTY TO
ORDER OR TO BEARER.
104071 - IS THE STATUS OF A PROMISSORY NOTE THAT HAS
ALREADY MATURED BUT IS STILL UNPAID AFTER ITS DISHONORED
PRESENTMENT FOR PAYMENT.
THESE (FACE AMOUNT, INTEREST AND OTHER CHARGES)
104072 - TREATMENT FOR DISHONORED NOTES RECEIVABLE SHOULD BE REMOVED FROM THE NOTES RECEIVABLE
ACCOUNT AND TRANSFERRED TO ACCOUNTS RECEIVABLE.
FAIR VALUE PLUS TRANSACTION COSTS WHICH IS EQUAL
TO:
104073 - INITIAL MEASUREMENT OF NOTES RECEIVABLE GR: PRESENT VALUE
XPN:SHORT-TERM NOTES RECEIVABLE SHALL BE MEASURED
AT FACE VALUE.
104074 - IS THE SUM OF ALL FUTURE CASH FLOWS
DISCOUNTED USING THE PREVAILING MARKET RATE OF PRESENT VALUE
INTEREST FOR SIMILAR NOTES.
104075 - IS THE INTEREST RATE WRITTEN ON THE FACE OF
NOMINAL INTEREST RATE (FORM)
AN INSTRUMENT.
104076 - IS THE PREVAILING MARKET RATE OF INTEREST. EFFECTIVE INTEREST RATE (SUBSTANCE)
1. INTEREST-BEARING NOTE (NOMINAL RATE = EFFECTIVE
INTEREST RATE)
2. INTEREST-BEARING NOTE (NOMINAL RATE > EFFECTIVE
104077 - CLASSIFICATION OF NOTES RECEIVABLE AS TO THE
INTEREST RATE)
INTEREST THEY CONTAIN (4 ITEMS)
3. INTEREST-BEARING NOTE (NOMINAL RATE < EFFECTIVE
INTEREST RATE)
4. NONINTEREST-BEARING NOTE
104078 - TREATMENT FOR INTEREST-BEARING NOTE
IT IS RECORDED AT FACE VALUE (WHICH IS EQUAL TO ITS
RECEIVABLE WITH NOMINAL RATE EQUAL TO THE EFFECTIVE
PRESENT VALUE UPON ISSUANCE).
INTEREST RATE
104079 - TREATMENT FOR INTEREST-BEARING NOTE
IT IS RECORDED AT FACE VALUE (WHICH IS EQUAL TO ITS
RECEIVABLE WITH NOMINAL RATE GREATER THAN THE
PRESENT VALUE UPON ISSUANCE).
EFFECTIVE INTEREST RATE
104080 - TREATMENT FOR INTEREST-BEARING NOTE IT IS MEASURED AT PRESENT VALUE WHICH IS THE
RECEIVABLE WITH NOMINAL RATE LESS THAN THE DISCOUNTED VALUE OF FUTURE CASH FLOWS USING THE
EFFECTIVE INTEREST RATE EFFECTIVE INTEREST RATE.
 IT IS MEASURED AT PRESENT VALUE WHICH IS THE
104081 - TREATMENT FOR NON-INTEREST BEARING NOTE
DISCOUNTED VALUE OF FUTURE CASH FLOWS USING THE
RECEIVABLE
EFFECTIVE INTEREST RATE.
104082 - IS AN INTEREST RATE THAT IS NOT EXPLICITLY
IMPLICIT INTEREST RATE
STATED IN A DEBT AGREEMENT.
104083 - SUBSEQUENT MEASUREMENT OF NOTES AT AMORTIZED COST USING THE EFFECTIVE INTEREST
RECEIVABLE METHOD
INITIAL MEASUREMENT OF NOTE RECEIVABLE
- PRINCIPAL REPAYMENT
104084 - FORMULA FOR AMORTIZED COST OF NOTE
+/- CUMULATIVE AMORTIZATION
RECEIVABLE (EFFECTIVE INTEREST METHOD)
- REDUCTION FOR IMPAIRMENT OR UNCOLLECTIBILITY
= AMORTIZED COST OF NOTE RECEIVABLE
104085 - IS A FINANCIAL ASSET ARISING FROM A LOAN
GRANTED BY A BANK OR OTHER FINANCIAL INSTITUTION TO LOAN RECEIVABLE
A BORROWER OR CLIENT.
FAIR VALUE PLUS TRANSACTION COSTS THAT ARE
DIRECTLY ATTRIBUTABLE TO THE ACQUISITION OF THE
104086 - INITIAL MEASUREMENT OF LOAN RECEIVABLE
FINANCIAL ASSET (TRANSACTION PRICE + DIRECT
ORIGINATION COSTS - ORIGINATION FEE)
104087 - ARE INCREMENTAL DIRECT COSTS OF LOAN
ORIGINATION RESULTING FROM DEALINGS WITH
INDEPENDENT THIRD PARTIES FOR THAT LOAN AND
VARIOUS DIRECT COSTS FROM SPECIFIC ACTIVITIES OF THE DIRECT ORIGINATION COSTS
LENDER FOR THAT LOAN SUCH AS EVALUATING THE
PROSPECTIVE BUYER’S ECONOMIC CONDITION, EVALUATING
AND RECORDING GUARANTEES, ETC.
GR: INCLUDED IN THE INITIAL MEASUREMENT OF LOAN
RECEIVABLE.
104088 - TREATMENT FOR DIRECT ORIGINATION COSTS
XPN: EXPENSED OUTRIGHT IF THE LOAN DID NOT
MATERIALIZE.
104089 - ARE OPERATING COSTS OF A LENDING
INSTITUTION NOT DIRECTLY INCURRED FOR A SPECIFIC
LOAN SUCH AS ADMINISTRATIVE COST, RENT, INDIRECT ORIGINATION COSTS
DEPRECIATION AND ALL OTHER OCCUPANCY AND
EQUIPMENT COSTS.
104090 - TREATMENT FOR INDIRECT ORIGINATION COSTS EXPENSED AS INCURRED
104091 - IS AN UPFRONT FEE CHARGED BY A LENDER FOR
ORIGINATION FEE
PROCESSING OF A NEW LOAN APPLICATION.
IT IS RECOGNIZED AS UNEARNED INTEREST INCOME AND
104092 - TREATMENT FOR ORIGINATION FEE
AMORTIZED OVER THE TERM OF THE LOAN.
104093 - SUBSEQUENT MEASUREMENT OF LOAN AT AMORTIZED COST USING THE EFFECTIVE INTEREST
RECEIVABLE METHOD
INITIAL MEASUREMENT OF LOAN RECEIVABLE
- PRINCIPAL REPAYMENT
104094 - FORMULA FOR AMORTIZED COST OF LOAN
+/- CUMULATIVE AMORTIZATION
RECEIVABLE (EFFECTIVE INTEREST METHOD)
- REDUCTION FOR IMPAIRMENT OR UNCOLLECTIBILITY
= AMORTIZED COST OF LOAN RECEIVABLE
104095 - ARE THE PRESENT VALUE OF ALL CASH
SHORTFALLS FROM A LOAN RECEIVABLE OR ANY SIMILAR CREDIT LOSSES
FINANCIAL ASSET.
104096 - IS THE RISK THAT ONE PARTY TO A FINANCIAL
INSTRUMENT WILL CAUSE A FINANCIAL LOSS FOR THE CREDIT RISK
OTHER PARTY BY FAILING TO DISCHARGE AN OBLIGATION.
104097 - IS MEASURED AS THE DIFFERENCE BETWEEN THE
CARRYING AMOUNT AND THE PRESENT VALUE OF
IMPAIRMENT LOSS ON LOAN RECEIVABLE
ESTIMATED FUTURE CASH FLOWS DISCOUNTED AT THE
ORIGINAL EFFECTIVE RATE.
104098 - IS THE FINANCIAL FLEXIBILITY OR CAPABILITY OF AN
RECEIVABLE FINANCING
ENTITY TO RAISE MONEY OUT OF ITS RECEIVABLES.
1. PLEDGE OF ACCOUNTS RECEIVABLE
2. ASSIGNMENT OF ACCOUNTS RECEIVABLE
104099 - FORMS OF RECEIVABLE FINANCING (4 ITEMS)
3. FACTORING OF ACCOUNTS RECEIVABLE
4. DISCOUNTING OF NOTES RECEIVABLE
 104100 - IS A FORM OF RECEIVABLE FINANCING WHERE A
BUSINESS USES ITS ACCOUNTS RECEIVABLE AS PLEDGE OF ACCOUNTS RECEIVABLE
COLLATERAL ON A LOAN, USUALLY A LINE OF CREDIT.
104101 - IS THE PRESET BORROWING LIMIT THAT A
LINE OF CREDIT
BORROWER CAN USE AT ANY TIME.
104102 - EXISTS WHEN THE INTEREST FOR THE TERM OF
DISCOUNT ON NOTES PAYABLE
THE LOAN IS DEDUCTED IN ADVANCE.
104103 - JOURNAL ENTRY TO RECORD THE LOAN IN WHICH
DR. CASH, DISCOUNT ON NOTE PAYABLE (IF DISCOUNTED);
ACCOUNTS RECEIVABLE HAVE BEEN PLEDGED (EVIDENCED
CR. NOTE PAYABLE
BY A DISCOUNTED PROMISSORY NOTE)
104104 - JOURNAL ENTRY TO RECORD AMORTIZATION OF
DISCOUNT ON NOTE PAYABLE AT THE END OF REPORTING DR. INTEREST EXPENSE; CR. DISCOUNT ON NOT PAYABLE
PERIOD OR AT THE DATE OF SETTLEMENT
104105 - FORMULA FOR CARRYING AMOUNT OF DISCOUNTED NOTE PAYABLE - DISCOUNT ON NOTE PAYABLE = CARRYING
NOTE PAYABLE AMOUNT OF NOTE PAYABLE
104106 - JOURNAL ENTRY TO RECORD PAYMENT OF BANK
DR. NOTE PAYABLE; CR. CASH
LOAN
104107 - IS A FORM OF RECEIVABLE FINANCING WHERE A
BORROWER CALLED THE ASSIGNOR TRANSFER RIGHTS IN
ASSIGNMENT OF ACCOUNTS RECEIVABLE
SOME ACCOUNTS RECEIVABLE TO A LENDER CALLED THE
ASSIGNEE IN CONSIDERATION FOR A LOAN.
104108 - KINDS OF ASSIGNMENT OF ACCOUNTS RECEIVABLE
1. NONNOTIFICATION BASIS
AS TO THE REQUIREMENT TO INFORM CUSTOMERS ABOUT
2. NOTIFICATION BASIS
THE ASSIGNMENT (2 ITEMS)
104109 - IS A KIND OF ASSIGNMENT OF ACCOUNTS
RECEIVABLE WHERE THE CUSTOMERS ARE NOT INFORMED
NONNOTIFICATION BASIS
THAT THEIR ACCOUNTS HAVE BEEN ASSIGNED (MORE
COMMONLY PRACTICED).
104110 - IS A KIND OF ASSIGNMENT OF ACCOUNTS
RECEIVABLE WHERE THE CUSTOMERS ARE NOTIFIED THAT
NOTIFICATION BASIS
THEIR ACCOUNTS HAVE BEEN ASSIGNED TO HAVE THEM
MAKE THEIR PAYMENTS DIRECTLY TO THE ASSIGNEE.
104111 - IS THE INTEREST FOR THE LOAN THAT AN ASSIGNEE
SERVICE CHARGE, FINANCING CHARGE OR COMMISSION
CHARGES FOR THE ASSIGNMENT AGREEMENT.
104112 - IS THE DIFFERENCE BETWEEN THE ACCOUNTS
RECEIVABLE ASSIGNED AND THE NOTE PAYABLE FROM EQUITY IN ASSIGNED ACCOUNTS RECEIVABLE
BANK THAT SHALL BE DISCLOSED BY THE ENTITY.
104113 - JOURNAL ENTRY TO RECORD SEPARATION OF
DR. ACCOUNTS RECEIVABLE - ASSIGNED; CR. ACCOUNTS
ASSINGED ACCOUNTS RECEIVABLE (NONNOTIFICATION
RECEIVABLE
BASIS)
104114 - JOURNAL ENTRY TO RECORD THE LOAN FOR WHICH
SPECIFIC ACCOUNTS RECEIVABLE ARE ASSIGNED WITH DR. CASH, SERVICE CHARGE; CR. NOTE PAYABLE - BANK
SERVICE CHARGE (NONNOTIFICATION BASIS)
104115 - JOURNAL ENTRY TO RECORD THE ISSUANCE OF A
DR. SALES RETURN; CR. ACCOUNTS RECEIVABLE -
CREDIT MEMO FOR SALES RETURN TO A CUSTOMER WHOSE
ASSIGNED
ACCOUNT WAS ASSIGNED (NONNOTIFICATION BASIS)
104116 - JOURNAL ENTRY TO RECORD THE COLLECTION OF
DR. CASH, SALES DISCOUNT; CR. ACCOUNTS RECEIVABLE -
CASH FROM ASSIGNED ACCOUNTS RECEIVABLE LESS CASH
ASSIGNED
DISCOUNT (NONNOTIFICATION BASIS)
104117 - JOURNAL ENTRY TO RECORD THE REMITTANCE OF
COLLECTIONS FROM ASSIGNED ACCOUNTS RECEIVABLE TO
DR. NOTE PAYABLE - BANK, INTEREST EXPENSE; CR. CASH
THE BANK (ASSIGNEE) PLUS INTEREST (NONNOTIFICATION
BASIS)
104118 - JOURNAL ENTRY TO RECORD THE WRITEOFF OF
DR. ALLOWANCE FOR DOUBTFUL ACCOUNTS; CR.
ASSIGNED ACCOUNTS RECEIVABLE (NONNOTIFICATION
ACCOUNTS RECEIVABLE
BASIS)
104119 - JOURNAL ENTRY TO RECORD THE TRANSFER OF
ASSIGNED ACCOUNTS RECEIVABLE TO ACCOUNTS
DR. ACCOUNTS RECEIVABLE; CR. ACCOUNTS RECEIVABLE -
RECEIVABLE AFTER MAKING THE LAST REMITTANCE OF
ASSIGNED
COLLECTIONS PAYING OFF THE LOAN BALANCE PLUS
INTEREST (NONNOTIFICATION BASIS)
104120 - JOURNAL ENTRY TO RECORD SEPARATION OF DR. ACCOUNTS RECEIVABLE - ASSIGNED; CR. ACCOUNTS
ASSINGED ACCOUNTS RECEIVABLE (NOTIFICATION BASIS) RECEIVABLE
104121 - JOURNAL ENTRY TO RECORD RECEIPT OF NOTICE
FROM BANK ABOUT COLLECTION OF ACCOUNTS
DR. NOTE PAYABLE - BANK, SALES DISCOUNT; CR. CASH
RECEIVABLE ASSIGNED WITH CASH DISCOUNT
(NOTIFICATION BASIS)
104122 - JOURNAL ENTRY TO RECORD SENDING OF CHECK
TO BANK FOR INTEREST DUE ON LOAN FOR WHICH
DR. INTEREST EXPENSE; CR. CASH
ACCOUNTS RECEIVABLE WERE ASSIGNED (NOTIFICATION
BASIS)
104123 - JOURNAL ENTRY TO RECORD RECEIPT OF NOTICE
FROM BANK ABOUT COLLECTION OF ASSIGNED ACCOUNTS
RECEIVABLE ALLOWING FOR THE FINAL SETTLEMENT OF DR. CASH, INTEREST EXPENSE, NOTE PAYABLE - BANK; CR.
THE LOAN (WITH INTEREST) AND THE REMITTANCE OF ACCOUNTS RECEIVABLE - ASSIGNED
EXCESS COLLECTIONS AND RETURN OF UNCOLLECTED
ASSIGNED ACCOUNTS (NOTIFICATION BASIS)
104124 - JOURNAL ENTRY TO RECORD THE TRANSFER OF
ASSIGNED ACCOUNTS RECEIVABLE TO ACCOUNTS DR. ACCOUNTS RECEIVABLE; CR. ACCOUNTS RECEIVABLE -
RECEIVABLE AFTER THE LOAN HAS BEEN SETTLED ASSIGNED
(NOTIFICATION BASIS)
104125 - IS THE SELLING OF ACCOUNTS RECEIVABLES TO A
THIRD PARTY TO RAISE CASH (NOTIFICATION AND FACTORING OF ACCOUNTS RECEIVABLE
NONRECOURSE).
104126 - IS THE BANK OR FINANCE ENTITY TO WHICH THE
FACTOR
ACCOUNTS RECEIVABLE ARE SOLD IN FACTORING.
1. CASUAL FACTORING
104127 - FORMS OF FACTORING (2 ITEMS) 2. FACTORING AS A CONTINUING AGREEMENT - ALL
ACCOUNTS RECEIVABLE ARE PURCHASED
DR. CASH, ALLOWANCE FOR DOUBTFUL ACCOUNTS (IF ANY),
104128 - JOURNAL ENTRY TO RECORD THE FACTORING OF
LOSS ON FACTORING (BALANCING FIGURE); CR. ACCOUNTS
ACCOUNTS RECEIVABLE (CASUAL FACTORING)
RECEIVABLE
104129 - IS REQUIRED BEFORE A MERCHANDISE IS SHIPPED
TO A CUSTOMER WHEN THE REPORTING ENTITY'S
FACTOR'S CREDIT APPROVAL
ACCOUNTS RECEIVABLE ARE UNDER A FACTORING AS A
CONTINUING AGREEMENT.
104130 - IS CHARGED BY THE FACTOR FOR ITS SERVICES OF
CREDIT APPROVAL, BILLING, COLLECTING AND ASSUMING FACTORING FEE OR COMMISSION
UNCOLLECTIBLE FACTORED ACCOUNTS.
104131 - IS A PREDETERMINED AMOUNT WITHHELD BY THE
FACTOR AS A PROTECTION AGAINST CUSTOMER RETURNS FACTOR'S HOLDBACK
AND ALLOWANCES AND OTHER SPECIAL ADJUSTMENTS.
104132 - JOURNAL ENTRY TO RECORD FACTORING OF
ACCOUNTS RECEIVABLE (INVOICE IS SUBJECT TO CREDIT DR. CASH, SALES DISCOUNT, COMMISSION (BALANCING
TERMS ALLOWING FOR AVAILMENT OF CASH DISCOUNT) FIGURE), RECEIVABLE FROM FACTOR (FACTOR'S
WITH COMMISSION AND FACTOR'S HOLDBACK (CONTINUING HOLDBACK); CR. ACCOUNTS RECEIVABLE
AGREEMENT)
DR. SALES RETURNS AND ALLOWANCES (INVOICE PRICE OF
104133 - JOURNAL ENTRY TO RECORD RETURN OF
GOODS RETURNED); CR. SALES DISCOUNT (INVOICE PRICE *
MERCHANDISE BY CUSTOMER WHOSE ACCOUNT WAS
DISCOUNT RATE), RECEIVABLE FROM FACTOR (BALANCING
PREVIOUSLY FACTORED (CONTINUING AGREEMENT)
FIGURE)
104134 - JOURNAL ENTRY TO RECORD FINAL SETTLEMENT
WITH THE FACTOR AFTER ALL THE RECEIVABLES FACTORED DR. CASH; CR. RECEIVABLE FROM FACTOR
ARE COLLECTED BY HIM (CONTINUING AGREEMENT)
104135 - IS A PLASTIC CARD WHICH ENABLES THE HOLDER
TO OBTAIN CREDIT UP TO A PREDETERMINED LIMIT FROM
CREDIT CARD
THE ISSUER OF THE CARD FOR THE PIRCHASE OF GOODS
AND SERVICES (SOMEWHAT SIMILAR TO FACTORING).
DR. ACCOUNTS RECEIVABLE - CREDIT CARD COMPANY; CR.
104136 - JOURNAL ENTRY TO RECORD CREDIT CARD SALES
SALES
104137 - JOURNAL ENTRY TO RECORD PAYMENT FROM DR. CASH, CREDIT CARD SERVICE CHARGE; CR. ACCOUNTS
CREDIT CARD COMPANY RECEIVABLE - CREDIT CARD COMPANY
104138 - IS A FORM OF RECEIVABLE FINANCING WHERE A
NOTE RECEIVABLE IS CONVERTED INTO CASH BY SELLING DISCOUNTING OF NOTE RECEIVABLE
THEM TO A FINANCIAL INSTITUTION AT A DISCOUNT.
104139 - IS THE TRANSFER OF RIGHT TO A NEGOTIABLE
INSTRUMENT BY SIMPLY SIGNING AT THE BACK OF THE ENDORSEMENT
INSTRUMENT.
 104140 - MEANS THAT THE ENDORSER SHALL PAY THE
ENDORSEMENT WITH RECOURSE
ENDORSEE IF THE MAKER DISHONORS THE NOTE.
104141 - MEANS THAT THE ENDORSER AVOIDS FUTURE
LIABILITY EVEN IF THE MAKER REFUSES TO PAY THE ENDORSEMENT WITHOUT RECOURSE
ENDORSEE ON THE DATE OF MATURITY.
104142 - ASSUMPTION IF THE PROBLEM IS SILENT
REGARDING WHETHER AN ENDORSEMENT IS WITH OR WITH RECOURSE
WITHOUT RECOURSE
104143 - REFER TO THE DISCOUNTED VALUE OF THE NOTE
NET PROCEEDS
RECEIVED BY THE ENDORSER FROM THE ENDORSEE.
104144 - FORMULA FOR NET PROCEEDS NET PROCEEDS = MATURITY VALUE - DISCOUNT
104145 - IS THE AMOUNT DUE ON THE NOTE AT THE DATE OF
MATURITY VALUE
MATURITY.
MATURITY VALUE = PRINCIPAL + INTEREST OVER THE
104146 - FORMULA FOR MATURITY VALUE
WHOLE TERM OF THE NOTE
104147 - IS THE DATE ON WHICH THE NOTE SHOULD BE
MATURITY DATE
PAID.
104148 - IS THE AMOUNT APPEARING ON THE FACE OF THE
PRINCIPAL
NOTE (FACE VALUE).
104149 - IS THE AMOUNT OF INTEREST FOR THE FULL TERM
INTEREST
OF THE NOTE.
104150 - FORMULA FOR INTEREST INTEREST = PRINCIPAL * RATE * TIME
104151 - IS THE RATE APPEARING ON THE FACE OF THE
INTEREST RATE
NOTE.
104152 - IS THE PERIOD WITHIN THICH THE INTEREST SHALL
TIME
ACCRUE (DATE OF NOTE TO MATURITY DATE).
104153 - IS THE AMOUNT OF INTEREST DEDUCTED BY THE
DISCOUNT
BANK IN ADVANCE.
DISCOUNT = MATURITY VALUE * DISCOUNT RATE *
104154 - FORMULA FOR DISCOUNT
DISCOUNT PERIOD
104155 - IS THE RATE USED BY THE BANK IN COMPUTING
DISCOUNT RATE
THE DISCOUNT.
104156 - ASSUMPTION IF THE PROBLEM IS SILENT
THE INTEREST RATE CAN BE SAFELY ASSUMED AS THE
REGARDING WHETHER AN ENDORSEMENT IS WITH OR
DISCOUNT RATE.
WITHOUT RECOURSE
104157 - IS THE PERIOD OF TIME FROM DATE OF
DISCOUNTING TO MATURITY DATE (UNEXPIRED TERM OF DISCOUNT PERIOD
THE NOTE).
DISCOUNT PERIOD = TERM OF THE NOTE - EXPIRED
104158 - FORMULA FOR DISCOUNT PERIOD
PORTION UP TO THE DATE OF DISCOUNTING
DR. CASH, LOSS ON NOTE RECEIVABLE DISCOUNTING; CR.
104159 - JOURNAL ENTRY TO RECORD DISCOUNTING OF NOTE RECEIVABLE, INTEREST INCOME (PRINCIPAL *
NOTE RECEIVABLE WITHOUT RECOURSE INTEREST RATE * TIME FROM DATE OF NOTE TO DATE OF
DISCOUNTING)
104160 - ACCOUNTING TREATMENTS FOR DISCOUNTING OF 1. CONDITIONAL SALE (APPLICABLE BY DEFAULT)
NOTES RECEIVABLE WITH RECOURSE (2 ITEMS) 2. SECURED BORROWING
104161 - IS A WAY OF ACCOUNTING FOR NOTE RECEIVABLE
DISCOUNTING WHICH TREATS THE TRANSACTION AS THE
SALE OF NOTE RECEIVABLE SUBJECT TO A CONDITION (THE CONDITIONAL SALE
ENDORSER HAS TO REFUND THE ENDORSEE IN CASE THE
NOTE IS SUBSEQUENTLY DISHONORE
104162 - IS A WAY OF ACCOUNTING FOR NOTE RECEIVABLE
DISCOUNTING WHICH TREATS THE TRANSACTION AS THE
BORROWING OF CASH BY THE ENDORSER FROM THE SECURED BORROWING
ENDORSEE WITH THE NOTE RECEIVABLE HELD AS SECURITY
BY THE LATTER FOR SUCH BORROWING.
DR. CASH, LOSS ON NOTE RECEIVABLE DISCOUNTING
(BALANCING FIGURE); CR. NOTE RECEIVABLE DISCOUNTED
104163 - JOURNAL ENTRY TO RECORD THE DISCOUNTING OF
(A CONTRA-ASSET DEDUCTED FROM OTHER NOTES
NOTE RECEIVABLE (CONDITIONAL SALE)
RECEIVABLE, REQUIRES DISCLOSURE OF CONTINGENT
LIABILITY EQUAL TO THIS AMOUNT), INTEREST INCOME
104164 - JOURNAL ENTRY TO RECORD THE PAYMENT BY THE
DR. NOTE RECEIVABLE DISCOUNTED (CONTINGENT LIABILITY
MAKER OF DISCOUNTED NOTE RECEIVABLE ON MATURITY
IS EXTINGUISHED ALSO.); CR. NOTE RECEIVABLE
(CONDITIONAL SALE)
1. TO RECORD THE PAYMENT TO ENDORSEE: DR. ACCOUNTS
RECEIVABLE; CR. CASH
104165 - JOURNAL ENTRY TO RECORD THE DISHONOR OF
2. TO RECORD THE EXTINGUISHMENT OF CONTINGENT
DISCOUNTED NOTE BY THE MAKER (CONDITIONAL SALE)
LIABILITY: DR. NOTE RECEIVABLE DISCOUNTED; CR. NOTE
RECEIVABLE
DR. CASH, INTEREST EXPENSE (BALANCING FIGURE); CR.
104166 - JOURNAL ENTRY TO RECORD THE DISCOUNTING OF
LIABILITY FOR NOTE RECEIVABLE DISCOUNTED, INTEREST
NOTE RECEIVABLE (CONDITIONAL SALE)
INCOME
104167 - JOURNAL ENTRY TO RECORD THE PAYMENT BY THE
DR. LIABILITY FOR NOTE RECEIVABLE DISCOUNTED; CR.
MAKER OF DISCOUNTED NOTE RECEIVABLE ON MATURITY
NOTE RECEIVABLE
(SECURED BORROWING)
1. TO RECORD THE PAYMENT TO ENDORSEE: DR. ACCOUNTS
RECEIVABLE; CR. CASH
104168 - JOURNAL ENTRY TO RECORD THE DISHONOR OF
2. TO RECORD THE DERECOGNITION OF LIABILITY FOR NOTE
DISCOUNTED NOTE BY THE MAKER (SECURED BORROWING)
RECEIVABLE DISCOUNTED: DR. LIABILITY FOR NOTE
RECEIVABLE DISCOUNTED; CR. NOTE RECEIVABLE
104169 - IS THE DISCOUNTING OF A PROMISSORY NOTE
WHERE THE MAKER IS NOT A CUSTOMER BUT THE DISCOUNTING OF OWN NOTE
REPORTING ENTITY ITSELF.
DR. CASH, DISCOUNT ON NOTE PAYABLE; CR. NOTE
104170 - JOURNAL ENTRY TO RECORD DISCOUNTING OF
PAYABLE (PRIMARY LIABILITY INSTEAD OF CONTINGENT
OWN NOTE
LIABILITY)
 AFAR - PARTNERSHIP FORMATION (201001 - 201020)
BY THE CONTRACT OF __________, TWO OR MORE PERSONS
BIND THEMSELVES TO CONTRIBUTE MONEY, PROPERTY OR
PARTNERSHIP
INDUSTRY TO A COMMON FUND WITH THE INTENTION OF
DIVIDING THE PROFITS AMONG THEMSELVES. NTRACT OF __________, TWO OR MORE PERSONS BIND THEMSELVES TO CONTRIBUTE MONEY, PROPERTY OR INDUSTRY TO A COMMON FUND WITH THE INTENTION OF DIVIDING THE PROFITS AMONG THEMSELVES.
1. SEPARATE LEGAL PERSONALITY
2. EASE OF FORMATION
3. CO-OWNERSHIP OF PARTNERSHIP PROPERTY AND
CHARACTERISTICS OF A PARTNERSHIP AS A FORM OF
PROFITS
BUSINESS ORGANIZATION (6 ITEMS)
4. LIMITED LIFE
5. MUTUAL AGENCY
6. UNLIMITED LIABILITY ISTICS OF A PARTNERSHIP AS A FORM OF BUSINESS ORGANIZATION (6 ITEMS)
IS A CHARACTERISTIC OF PARTNERSHIPS WHICH REFERS
TO THE FACT THAT A PARTNERSHIP MAY ACQUIRE
SEPARATE LEGAL PERSONALITY
PROPERTY IN ITS OWN NAME AND MAY ENTER INTO
CONTRACTS. ACTERISTIC OF PARTNERSHIPS WHICH REFERS TO THE FACT THAT A PARTNERSHIP MAY ACQUIRE PROPERTY IN ITS OWN NAME AND MAY ENTER INTO CONTRACTS.
IS A CHARACTERISTIC OF PARTNERSHIPS WHICH REFERS
TO THE FACT THAT THE FORMATION OF A PARTNERSHIP
EASE OF FORMATION
DOES NOT REQUIRE AS MANY FORMALITUES AS A
CORPORATION. ACTERISTIC OF PARTNERSHIPS WHICH REFERS TO THE FACT THAT THE FORMATION OF A PARTNERSHIP DOES NOT REQUIRE AS MANY FORMALITUES AS A CORPORATION.
IS A CHARACTERISTIC OF PARTNERSHIPS WHICH REFERS
TO THE FACT THAT EACH PARTNER HAS A PROPRIETARY
CO-OWNERSHIP OF PARTNERSHIP PROPERTY AND PROFITS
INTEREST IN THE ASSETS AND PROFITS OF THE
PARTNERSHIP. ACTERISTIC OF PARTNERSHIPS WHICH REFERS TO THE FACT THAT EACH PARTNER HAS A PROPRIETARY INTEREST IN THE ASSETS AND PROFITS OF THE PARTNERSHIP.
IS A CHARACTERISTIC OF PARTNERSHIP WHICH REFERS TO
THE FACT THAT ANY CHANGE IN THE AGREEMENT OF THE
PARTNERS TERMINATES THE PARTNERSHIP. A
LIMITED LIFE
PARTNERSHIP MAY ALSO EXPIRE DUE TO CHANGES IN THE
RELATIONSHIP OF THE PARTNERS (DEATH, WITHDRAWAL,
ETC.). ACTERISTIC OF PARTNERSHIP WHICH REFERS TO THE FACT THAT ANY CHANGE IN THE AGREEMENT OF THE PARTNERS TERMINATES THE PARTNERSHIP. A PARTNERSHIP MAY ALSO EXPIRE DUE TO CHANGES IN THE RELATIONSHIP OF THE PARTNERS (DEATH, WITHDRAWAL, ETC.).
IS CHARACTERISTIC OF PARTNERSHIPS WHICH REFERS TO
THE FACT THAT EACH PARTNER HAS AN EQUAL RIGHT TO
ACT FOR THE PARTNERSHIP AND TO ENTER INTO MUTUAL AGENCY
CONTRACTS BINDING UPON IT, AS LONG AS HE ACTS WITHIN
THE NORMAL SCOPE OF BUSINESS OPERATIONS. TERISTIC OF PARTNERSHIPS WHICH REFERS TO THE FACT THAT EACH PARTNER HAS AN EQUAL RIGHT TO ACT FOR THE PARTNERSHIP AND TO ENTER INTO CONTRACTS BINDING UPON IT, AS LONG AS HE ACTS WITHIN THE NORMAL SCOPE OF BUSINESS OPERATIONS.
IS A CHARACTERISTIC OF PARTNERSHIPS WHICH REFERS
TO THE FACT THAT EACH PARTNER MAY BE HELD
UNLIMITED LIABILITY
PERSONALLY LIABLE FOR ALL THE DEBTS OF THE
PARTNERSHIP. ACTERISTIC OF PARTNERSHIPS WHICH REFERS TO THE FACT THAT EACH PARTNER MAY BE HELD PERSONALLY LIABLE FOR ALL THE DEBTS OF THE PARTNERSHIP.
1. CAPITAL ACCOUNTS
PARTNER'S LEDGER ACCOUNTS (3 ITEMS) 2. DRAWING OR PERSONAL ACCOUNTS
3. ACCOUNTS FOR LOANS TO OR FROM PARTNERS LEDGER ACCOUNTS (3 ITEMS)
1. ORIGINAL INVESTMENT
TRANSACTIONS WHERE A PARTNER'S CAPITAL ACCOUNT IS 2. ADDITIONAL INVESTMENT
CREDITED FOR (3 ITEMS) 3. PARTNER'S SHARE OF THE PROFITS (AFTER BEING
CLOSED TO THE DRAWING ACCOUNT) ONS WHERE A PARTNER'S CAPITAL ACCOUNT IS CREDITED FOR (3 ITEMS)
1. PERMANENT WITHDRAWAL OF CAPITAL
2. DEBIT BALANCE OF THE DRAWING ACCOUNT AT THE END
TRANSACTIONS WHERE A PARTNER'S CAPITAL ACCOUNT IS
OF THE PERIOD
DEBITED FOR (3 ITEMS)
3. PARTNER'S SHARE IN THE LOSSES (AFTER BEING CLOSED
TO THE DRAWING ACCOUNT) ONS WHERE A PARTNER'S CAPITAL ACCOUNT IS DEBITED FOR (3 ITEMS)
1. PARTNERSHIP OBLIGATIONS ASSUMED OR PAID BY A
PARTNER
TRANSACTIONS WHERE A PARTNER'S DRAWING ACCOUNT IS 2. PERSONAL FUNDS OR CLAIMS OF PARTNER COLLECTED
CREDITED FOR (3 ITEMS) AND RETAINED BY THE PARTNERSHIP
3. PERIODIC PARTNER'S SALARIES DEPENDING ON
AGREEMENT BY THE PARTNERS ONS WHERE A PARTNER'S DRAWING ACCOUNT IS CREDITED FOR (3 ITEMS)
1. WITHDRAWAL OF ASSETS BY THE PARTNERS IN
ANTICIPATION OF NET INCOME (TEMPORARY WITHDRAWALS)
TRANSACTIONS WHERE A PARTNER'S DRAWING ACCOUNT IS 2. PARTNER'S PERSONAL INDEBTEDNESS PAID OR ASSUMED
DEBITED FOR (3 ITEMS) BY THE PARTNERSHIP
3. FUNDS OR CLAIMS OF PARTNERSHIP COLLECTED AND
RETAINED BY THE PARTNER ONS WHERE A PARTNER'S DRAWING ACCOUNT IS DEBITED FOR (3 ITEMS)
IN ORDER OF PRIORITY:
RULE ON THE VALUATION OF ASSETS CONTRIBUTED BY 1. AGREED VALUE
PARTNERS 2. FAIR MARKET VALUE/APPRAISAL VALUE
NOTE: ASSESSED VALUE IS NEVER USED HE VALUATION OF ASSETS CONTRIBUTED BY PARTNERS
IF THE PROBLEM IS SILENT, THE PARTNERSHIP WILL NOT
RULE ON THE ASSUMPTION OF S PARTNER'S PERSONAL ASSUME SUCH LIABILITY. ASSUMPTION MUST BE EXPRESSLY
LIABILITY BY THE PARTNERSHIP STATED IN THE PROBLEM BEFORE SUCH LIABILITY IS
RECORDED IN THE PARTNERSHIP BOOKS. HE ASSUMPTION OF S PARTNER'S PERSONAL LIABILITY BY THE PARTNERSHIP
CONTRIBUTED ASSETS - LIABILITIES ASSUMED BY THE
FORMULA FOR CONTRIBUTED CAPITAL
PARTNERSHIP = CONTRIBUTED CAPITAL OR CONTRIBUTED CAPITAL
IS THE AMOUNT OF CAPITAL OF EACH PARTNER AFTER
INITIAL CAPITAL CREDIT
FORMATION. OUNT OF CAPITAL OF EACH PARTNER AFTER FORMATION.
IN ORDER OF PRIORITY:
RULE ON THE AMOUNT OF INITIAL CAPITAL CREDIT TO BE
1. AGREED CAPITAL (USING THE RATIO AGREED UPON)
RECEIVED BY A PARTNER
2. CONTRIBUTED CAPITAL HE AMOUNT OF INITIAL CAPITAL CREDIT TO BE RECEIVED BY A PARTNER
IS A METHOD USED WHEN PARTNERS AGREE ON CAPITAL
INTERESTS THAT ARE NOT EQUAL TO THEIR NET ASSETS.
THIS METHOD DOES NOT RECOGNIZE ANY ADDITIONAL
BONUS METHOD
GOODWILL NOR REVALUE ANY OF THE CONTRIBUTED
ASSETS BUT REFERS TO THE MERE TRANSFER OF CAPITAL
BETWEEN PARTNERS. OD USED WHEN PARTNERS AGREE ON CAPITAL INTERESTS THAT ARE NOT EQUAL TO THEIR NET ASSETS. THIS METHOD DOES NOT RECOGNIZE ANY ADDITIONAL GOODWILL NOR REVALUE ANY OF THE CONTRIBUTED ASSETS BUT REFERS TO THE MERE TRANSFER OF CAPITAL BETWEEN PARTNERS.
IS AN INTANGIBLE ASSET RECORDED ONLY AS A RESULT OF
AN ACQUISITION MADE BY A REPORTING ENTITY (BUSINESS GOODWILL
COMBINATION). ANGIBLE ASSET RECORDED ONLY AS A RESULT OF AN ACQUISITION MADE BY A REPORTING ENTITY (BUSINESS COMBINATION).
 AFAR - PARTNERSHIP OPERATIONS (202001 - 202017)
IN ORDER OF PRIORITY:
202001 - METHOD OF DIVISION OF PARTNERSHIP PROFITS 1. METHOD AS STIPULATED BY THE PARTNERS
AND LOSSES 2. IN PROPORTION TO THE ORIGINAL CAPITAL
CONTRIBUTION OF THE PARTNERS
202002 - IS THE RATIO IN WHICH PARTNERSHIP PROFITS AND
PROFIT AND LOSS RATIO (OR P/L RATIO)
LOSSES ARE DIVIDED
1. EQUALLY
2. UNEQUAL OR ARBITRARY RATIO
3. RATIO OF PARTNERS' CAPITAL ACCOUNT BALANCES ON A
PARTICULAR DATE
202003 - POSSIBLE METHODS OF DIVIDING NET INCOME OR
4. RATIO OF THE PARTNERS' AVERAGE CAPITAL ACCOUNT
LOSS AMONG PARTNERS (6 ITEMS)
BALANCES DURING THE YEAR
5. INTEREST
6. SALARIES
7. BONUS
202004 - FORMULA FOR SIMPLE AVERAGE CAPITAL BALANCE SIMPLE AVERAGE CAPITAL BALANCE = (BEGINNING CAPITAL
OF A PARTNER BALANCE + ENDING CAPITAL BALANCE) / 2
WEIGHTED AVERAGE CAPITAL BALANCE = SUMMATION OF
202005 - FORMULA FOR WEIGHTED AVERAGE CAPITAL (CAPITAL BALANCE AT EACH DATE OF PARTNER
BALANCE INVESTMENT OR WITHDRAWAL * FRACTION OF THE YEAR
UNCHANGED)
202006 - IS A SCHEDULE USED TO COMPUTE THE
PROFIT DISTRIBUTION SCHEDULE OR PROFIT DISTRIBUTION
DISTRIBUTION OF NET INCOME OR LOSS TO THE PARTNERS
TABLE
ACCORDING TO THEIR AGREEMENT.
202007 - IS AN INSTRUMENT OF DISTRIBUTING PROFITS TO
INTEREST
PARTNERS USED TO ENCOURAGE CAPITAL INVESTMENTS.
202008 - IS AN INSTRUMENT OF DISTRIBUTING PROFITS TO
PARTNERS FOR THE SERVICES THEY RENDER FOR THE SALARY
PARTNERSHIP.
202009 - IS AN INSTRUMENT OF DISTRIBUTING PROFITS TO
MANAGING PARTNERS EQUAL TO A SPECIFIED PERCENTAGE BONUS
OF INCOME.
1. BONUS AS PERCENTAGE OF NET INCOME
2. BONUS AS PERCENTAGE OF NET INCOME AFTER
SALARIES
202010 - FORMS OF BONUS THAT MAY BE ALLOWED TO
3. BONUS AS PERCENTAGE OF NET INCOME AFTER
MANAGING PARTNERS (4 ITEMS)
INTEREST
4. BONUS AS PERCENTAGE OF NET INCOME AFTER BONUS
5. COMBINATION OF ANY OF ITEMS 2-4
202011 - FORMULA FOR BONUS AS A PERCENTAGE OF NET
BONUS = BONUS RATE * (NET INCOME)
INCOME
202012 - FORMULA FOR BONUS AS A PERCENTAGE OF NET
BONUS = BONUS RATE * (NET INCOME - SALARIES)
INCOME AFTER SALARIES
202013 - FORMULA FOR BONUS AS A PERCENTAGE OF NET
BONUS = BONUS RATE * (NET INCOME - INTEREST)
INCOME AFTER INTEREST
202014 - FORMULA FOR BONUS AS A PERCENTAGE OF NET
BONUS = BONUS RATE * (NET INCOME - BONUS)
INCOME AFTER BONUS
202015 - IS A PHRASE THAT MEANS NO FURTHER
DISTRIBUTION OF PROFITS USING INTEREST, SALARY OR
UP TO THE EXTENT OF RANKING ONLY
BONUS SHALL BE MADE IF THE VALUE OF REMAINING NET
INCOME GOES BELOW ZERO.
1. ADJUST ALL ASSETS AND LIABILITIES TO REFLECT THEIR
FAIR VALUES.
2. RECORD ANY UNRECORDED ASSETS OR LIABILITIES, IF
202016 - PROCEDURE TO BE MADE IF THERE IS A CHANGE IN
ANY.
THE PROFIT AND LOSS RATIO OF THE PARTNERS
3. THESE SHOULD BE MADE TO THE PARTNERS' CAPITAL
ACCOUNT IN ACCORDANCE WITH THEIR OLD PROFIT AND
LOSS RATIO.
1. DETERMINE THE CORRECT NET INCOME OR LOSS OF THE
PRIOR PERIOD.
2. COMPUTE THE PROPER SHARE OF EACH PARTNER USING
THE PROFIT AND LOSS RATIO IN THE YEAR IN WHICH THE
202017 - PROCEDURE TO BE MADE TO CORRECT ERROR OCCURRED.
PARTNERSHIP NET INCOME OR LOSS OF PRIOR PERIOD 3. COMPUTE THE DIFFERENCE BETWEEN THE SHARE IN THE
PROFIT THAT EACH PARTNER ACTUALLY RECEIVED AND THE
SHARE EACH WOULD HAVE RECEIVED FROM NO. 2.
4. ADJUST THE PARTNERS' CAPITAL ACCOUNTS BY THE
AMOUNT IN NO. 3.
IS A PROCESS IN WHICH THE RELATIONSHIP BETWEEN THE PARTNERS
DISSOLUTION
ARE DISSOLVED OR TERMINATED WHICH MAY, AT TIMES, LEAD TO THE LIQUIDATION OF THE PARTNERSHIP BUSINESS.
IS THE PROCESS OF CLOSING THE PARTNERSHIP BUSINESS AND
LIQUIDATION
DISTRIBUTING ITS ASSETS TO CREDITORS AND THE PARTNERS.
1. ADMISSION OF A PARTNER
2. RETIREMENT OF A PARTNER
3. DEATH OF A PARTNER
CAUSES OF PARTNERSHIP DISSOLUTION DUE TO CHANGES IN 4.
INTERESTS
INCORPORATION
(4 ITEMS)
OF A PARTNERSHIP
1. PURCHASE OF ALL OR PART OF THE INTEREST OF ONE OR MORE OF THE EXISTING PARTNERS; OR
WAYS A NEW PARTNER MAY BE ADMITTED TO AN EXISTING PARTNERSHIP
2. INVESTMENT
(2 ITEMS)
OF ASSETS IN THE PARTNERSHIP BY THE INCOMING PARTNER.
TREATMENT FOR CASH PAID BY THE INCOMING PARTNER FOR THE PURCHASE OF INTEREST OF ONE OR MORE OF THE EXISTING PARTNERS
1. BONUS METHOD OR SIMPLE TRANSFER OF CAPITAL
METHODS OF ACCOUNTING FOR ADMISSION OF A NEW PARTNER
2. REVALUATION
BY PURCHASEOF
OFASSETS
INTEREST FROM EXISTING PARTNERS (2 ITEMS)
JOURNAL ENTRY TO RECORD SALE OF INTEREST TO INCOMING
DR.
PARTNER
EXISTING
TREATED
PARTNER(S),
AS SIMPLE
CAPITAL;
TRANSFER
CR. INCOMING
OF CAPITAL
PARTNER, CAPITAL
JOURNAL ENTRY TO RECORD SALE OF INTEREST TO INCOMING
DR.
PARTNER
IDENTIFIABLE
WITH UPWARD
ASSETS (BALANCING
REVALUATION
FIGURE
OF NET
ORASSETS
CAN BE GIVEN IN THE PROBLEM), EXISTING PARTNER(S) - CAPITAL (PERCENTAGE OF EXISTING INTEREST ACQUIRED BY INCOMING PARTNER); CR. INCOMING PARTNER - CAPITAL (CASH PAID BY INCOMING PARTNER)
1. DETERMINE THE AMOUNTS OF CAPITAL BALANCES TRANSFERRED BY THE EXISTING PARTNERS.
PROCEDURE ON THE DIVISION OF CASH PAID BY THE INCOMING
2. APPORTION
PARTNER AMONG
ANY EXCESS
THE SELLING
(OR DEFICIENCY)
PARTNERS IN
IF THERE
THE ORIGINAL
ARE MORE
PARTNERS'
THAN ONE
PROFIT
(2 ITEMS)
AND LOSS RATIO.
METHOD OF ACCOUNTING FOR THE ADMISSION OF A NEW PARTNER
SIMPLEBY
RECORDING
INVESTMENT
OFIFTHE
THEINVESTMENT
INVESTMENTAND
COST
RECOGNITION
EQUALS AGREED
OF INCOMING
CAPITALPARTNER'S
FOR THE INCOMING
CAPITAL PARTNER
EQUAL TO SUCH INVESTMENT.
1. REVALUATION OF NET ASSETS UP TO FAIR VALUE AND ALLOCATION TO OLD PARTNERS; OR
ALTERNATIVE METHODS OF ACCOUNTING FOR THE ADMISSION2.OF
ALLOCATION
A NEW PARTNER
OF BONUS
BY INVESTMENT
TO OLD PARTNERS.
IF THE INVESTMENT COST IS GREATER THAN THE AGREED CAPITAL FOR THE INCOMING PARTNER (2 ITEMS)
1. REVALUATION OF NET ASSETS DOWN TO FAIR VALUE AND ALLOCATION TO OLD PARTNERS; OR
ALTERNATIVE METHODS OF ACCOUNTING FOR THE ADMISSION2.OF
ASSIGNMENT
A NEW PARTNER
OF BONUS
BY INVESTMENT
TO NEW PARTNER.
IF THE INVESTMENT COST IS LESS THAN THE AGREED CAPITAL FOR THE INCOMING PARTNER (2 ITEMS)
1. THE REMAINING PARTNERS MAY BUY OUT THE RETIRING PARTNER'S INTEREST; OR
SETTLEMENT OPTIONS AVAILABLE IF A PARTNER RETIRES OR 2.
WITHDRAWS
THE PARTNERSHIP
(INCLUDING
MAYDEATH)
ACQUIRE
FROM
THETHE
RETIRING
PARTNERSHIP
PARTNER'S
(2 ITEMS)
INTEREST.
1. PROFIT OR LOSS FROM PARTNERSHIP OPERATIONS FROM THE LAST CLOSING DATE TO THE DATE OF HIS RETIREMENT; AND
ADJUSTMENTS TO THE CAPITAL BALANCE OF THE RETIRING PARTNER
2. CHANGES
TO COMPUTE
IN THE VALUATION
FOR HIS INTEREST
OF ALL ASSETS
(2 ITEMS)
AND LIABILITIES (BOOK VALUES TO FAIR VALUES).
METHOD OF ACCOUNTING FOR THE RETIREMENT OF A PARTNER
SIMPLE
WHERE
RECORDING
SETTLEMENT
OF THE
EQUALS
ASSETS
THEPAID
WITHDRAWING
TO RETIRING
PARTNER'S
PARTNERINTEREST
AND CLOSING OF HIS CAPITAL ACCOUNT (NO REVALUATION NOR BONUS).
1. REVALUATION OF NET ASSETS UP TO FAIR VALUE AND ALLOCATION TO ALL PARTNERS; OR
METHOD OF ACCOUNTING FOR THE RETIREMENT OF A PARTNER
2. ASSIGNMENT
WHERE SETTLEMENT
OF BONUSIS TO
GREATER
RETIRING
THAN
PARTNER..
THE WITHDRAWING PARTNER'S INTEREST
1. REVALUATION OF NET ASSETS DOWN TO FAIR VALUE AND ALLOCATION TO ALL PARTNERS; OR
METHOD OF ACCOUNTING FOR THE RETIREMENT OF A PARTNER
2. ALLOCATION
WHERE SETTLEMENT
OF BONUSISTO
LESS
REMAINING
THAN THE
PARTNERS..
WITHDRAWING PARTNER'S INTEREST
1. REVALUE THE ASSETS; AND
PROCEDURE TO BE FOLLOWED UPON INCORPORATION OF A PARTNERSHIP
2. CLOSE THE WHEN
PARTNERS'
THE PARTNERSHIP
CAPITAL ACCOUNTS
BOOKSTO
ARE
THE
RETAINED
CORPORATE
(2 ITEMS)
CAPITAL ACCOUNTS.
1. REVALUE THE ASSETS TO FAIR VALUE;
2. RECORD THE TRANSFER OF ASSETS AND LIABILITIES TO THE CORPORATION AND THE RECEIPT OF CAPITAL STOCKS BY THE PARTNERSHIP; AND
PROCEDURE TO BE FOLLOWED UPON INCORPORATION OF A PARTNERSHIP
3. RECORD THE
WHEN
DISTRIBUTION
NEW BOOKSOFARE
STOCKS
OPENED
TO THE
FORPARTNERS
THE CORPORATION
IN SETTLEMENT
(3 ITEMS)
OF THE BALANCES OF THEIR CAPITAL ACCOUNTS.
1. TO CONVERT THE PARTNERSHIP ASSETS TO CASH (REALIZATION OF ASSETS); AND
OBJECTIVES OF A PARTNERSHIP DURING THE LIQUIDATION PROCESS
2. TO PAY
(2 OFF
ITEMS)
PARTNERSHIP OBLIGATIONS AND TO DISTRIBUTE CASH AND ANY UNREALIZED ASSETS TO THE INDIVIDUAL PARTNERS.
1. FIRST, TO OUTSIDE CREDITORS;
2. SECOND, TO PARTNERS FOR LOAN ACCOUNTS; AND
ORDER OF PRIORITY IN THE DISTRIBUTION OF CASH TO PARTIES
3. THIRD,
(3 ITEMS)
TO PARTNERS FOR CAPITAL ACCOUNTS.
1. LUMP-SUM LIQUIDATION/TOTAL LIQUIDATION/SINGLE DISTRIBUTION
METHODS OF PARTNERSHIP LIQUIDATION (2 ITEMS) 2. INSTALLMENT LIQUIDATION/INSTALLMENT DISTRIBUTION
IS A METHOD OF PARTNERSHIP LIQUIDATION IN WHICH ALL THE
LUMP-SUM
ASSETS ARE
LIQUIDATION
CONVERTED INTO CASH WITHIN A VERY SHORT TIME, OUTSIDE CREDITORS ARE PAID, AND A SINGLE, LUMP-SUM PAYMENT IS MADE TO THE PARTNERS FOR THEIR TOTAL INTERESTS.
IS A SALE MADE BY A LIQUIDATING PARTNERSHIP IN WHICH ITSGOING-OUT-OF-BUSINESS
INVENTORY IS MARKED DOEN
SALEWELL BELOW NORMAL SELLING PRICE TO ENCOURAGE IMMEDIATE SALE.
1. HIS CAPITAL ACCOUNT BALANCE; AND
COMPONENTS OF A PARTNER'S INTEREST IN THE PARTNERSHIP
2. HIS
(2 ITEMS)
LOAN BALANCE(S).
TREATMENT FOR LOSS ON REALIZATION OF NONCASH ASSETSSUCH
SOLDLOSS
IN THE
SHALL
LIQUIDATION
BE ALLOCATED
PROCESS
AMONG THE PARTNERS (DEBIT TO CAPITAL ACCOUNTS) BASED ON THEIR PROFIT AND LOSS SHARING RATIO.
TREATMENT FOR LIQUIDATION EXPENSES INCURRED (E.G., LEGAL
SUCHAND
EXPENSES
ACCOUNTING
SHALLEXPENSES,
BE ALLOCATED
ETC.)AMONG THE PARTNERS (DEBIT TO CAPITAL ACCOUNTS) BASED ON THEIR PROFIT AND LOSS SHARING RATIO.
1. REALIZATION OF ASSETS AND DISTRIBUTION OF GAIN OR LOSS ON REALIZATION AMONG THE PARTNERS;
2. PAYMENT OF EXPENSES;
3. PAYMENT OF LIABILITIES;
4. ELIMINATION OF PARTNER'S CAPITAL DEFICIENCIES
5. PAYMENT TO PARTNERS OF THEIR LOAN ACCOUNT BALANCES; AND
LUMP-SUM LIQUIDATION PROCEDURES (6 ITEMS) 6. PAYMENT TO PARTNERS OF THEIR CAPITAL ACCOUNT BALANCES.
REFERS TO A CAPITAL ACCOUNT WITH A DEBIT OR NEGATIVE BALANCE.
CAPITAL DEFICIENCY
IN ORDER OF PRIORITY:
1. IF THE DEFICIENT PARTNER HAS A LOAN BALANCE, EXERCISE THE RIGHT OF OFFSET;
2. IF THE DEFICIENT PARTNER IS SOLVENT, MAKE HIM INVEST CASH TO ELIMINATE HIS DEFICIENCY; OR
METHODS OF ELIMINATING A PARTNER'S CAPITAL DEFICIENCY3.(3IFITEMS)
THE DEFICIENT PARTNER IS INSOLVENT, LET THE OTHER PARTNERS ABSORB HIS DEFICIENCY (BASED ON THEIR PROFIT/LOSS RATIO).
1. PREPARATION OF SCHEDULE OF SAFE PAYMENTS
METHODS OF DETERMINING INSTALLMENT CASH PAYMENTS TO
2. PARTNERS
PREPARATION
UNDER
OF CASH
INSTALLMENT
DISTRIBUTION
LIQUIDATION
PROGRAM(2 ITEMS)
OR CASH PRIORITY PROGRAM
IS A METHOD OF DETERMINING INSTALLMENT CASH PAYMENTS
PREPARATION
TO PARTNERS
OFWHEREBY
SCHEDULE
CASH
OF SAFE
IS DISTRIBUTED
PAYMENTSTO A PARTNER ONLY IF HE HAS AN EXCESS CREDIT BALANCE IN HIS PARTNERSHIP INTEREST AFTER ABSORPTION OF HIS SHARE OF THE MAXIMUM POSSIBLE LOSS THAT MAY OCCUR (JUST TO BE SAFE).
1. TOTAL VALUE OF REMAINING (UNREALIZED) NONCASH ASSETS
COMPONENTS OF MAXIMUM POSSIBLE LOSS (2 ITEMS) 2. CASH WITHHELD TO PAY FOR ANTICIPATED EXPENSES AND UNRECORDED LIABILITIES THAT MAY ARISE
FORMULA FOR COMPUTATION OF SAFE PAYMENTS TO PARTNERS
PARTNER'S INTEREST - ALLOCATED POSSIBLE LOSS = PAYMENT
IS A METHOD OF DETERMINING INSTALLMENT CASH PAYMENTS
PREPARATION
TO PARTNERS
OFWHEREBY
CASH DISTRIBUTION
SUCH PAYMENTS
PROGRAM
ARE PREDETERMINED
OR CASH PRIORITY
THROUGH
PROGRAM
A PLAN THAT IS DESIGNED TO ALLOW FOR THE SAFE DISTRIBUTION OF CASH WHEN IT BECOMES AVAILABLE.
1. COMPUTE THE LOSS ABSORPTION POTENTIAL OF EACH PARTNER;
2. DETERMINE THE PRIORITY OF PAYMENTS TO PARTNERS; AND
PROCEDURES TO PREPARE A CASH DISTRIBUTION PROGRAM (3
3. COMPUTE
ITEMS) THE AMOUNT OF CASH TO BE PAID TO THE PARTNERS UNDER EACH PRIORITY.
FORMULA FOR COMPUTATION OF A PARTNER'S LOSS ABSORPTION
PARTNER'S
POTENTIAL
INTEREST / PARTNER'S PROFIT AND LOSS PERCENTAGE = PARTNER'S LOSS ABSORPTION POTENTIAL
RULE IN THE DETERMINATION OF PRIORITY OF PAYMENTS TO PARTNERS
THE PARTNER WHO HAS THE BIGGEST LOSS ABSORPTION POTENTIAL HAS THE FIRST PRIORITY.
FORMULA FOR COMPUTATION OF AMOUNT OF CASH TO BE PAID
PARTNER'S
TO THE PARTNERS
EXCESS LOSS
UNDER
ABSORPTION
EACH PRIORITY
POTENTIAL OVER THE PARTNER WHOSE PRIORITY IS NEXT TO HIS * PARTNER'S PROFIT AND LOSS SHARE PERCENTAGE = CASH PRIORITIZED TO BE PAID TO PARTNER
TREATMENT FOR ANY AMOUNT IN EXCESS OF TOTAL PRIORITYSUCH
PAYMENTS
AMOUNT
AVAILABLE
SHALL BEFOR
PAID
CASH
TO THE
DISTRIBUTION
PARTNERS ACCORDING TO THEIR PROFIT AND LOSS SHARING AGREEMENT.
 AFAR - LONG TERM CONSTRUCTION CONTRACTS (204001 - 204???)
REFERS TO A CONTRACT SPECIFICALLY NEGOTIATED FOR
THE CONSTRUCTION OF AN ASSET OR A COMBINATION OF
ASSETS THAT ARE CLOSELY INTERRELATED OR CONSTRUCTION CONTRACT
INTERDEPENDENT IN TERMS OF THEIR DESIGN,
TECHNOLOGY OR THEIR ULTIMATE PURPOSE OR USE.
ARE CONSTRUCTION PROJECTS THAT EXTEND THRU MORE
LONG TERM CONSTRUCTION CONTRACTS
THAN ONE ACCOUNTING PERIOD.
1. FIXED PRICE CONTRACT
TYPES OF CONSTRUCTION CONTRACTS (2 ITEMS)
2. COST PLUS CONTRACT
IS A CONSTRUCTION CONTRACT IN WHICH THE
CONTRACTOR AGREES TO A FIXED CONTRACT PRICE, OR A
FIXED PRICE CONTRACT
FIXED RATE PER UNIT OF OUTPUT, WHICH IN SOME CASES IS
SUBJECT TO COST ESCALATION CLAUSES.
IS A CONSTRUCTION CONTRACT IN WHICH THE
CONTRACTOR IS REIMBURSED FOR ALLOWABLE OR
COST PLUS CONTRACT
OTHERWISE DEFINED COST, PLUS A PERCENTAGE OF
THESE COSTS OR A FIXED FEE.
MEASUREMENT OF REVENUE FROM LONG TERM FAIR VALUE OF THE CONSIDERATION RECEIVED OR
CONSTRUCTION CONTRACTS RECEIVABLE
1. CHANGE IN THE SCOPE OF WORK AS PER AGREEMENT
2. COST ESCALATION CLAUSES (INCREASE)
3. PENALTIES FOR DELAYS (DECREASE)
CAUSES OF CHANGES IN THE AMOUNT OF CONTRACT
4. CHANGE IN THE NUMBER OF UNITS IF THE CONTRACT
REVENUE FROM LONG TERM CONSTRUCTION CONTRACTS (5
INVOLVES A FIXED PRICE PER UNIT OF OUTPUT
ITEMS)
5. INCENTIVE PAYMENTS FOR EARLY COMPLETION OR
ATTAINMENT OF SPECIFIC PERFORMANCE STANDARDS
(INCREASE)
ARE COSTS THAT RELATE DIRECTLY TO THE SPECIFIC
CONTRACT; ARE ATTRIBUTABLE TO CONTRACT ACTIVITY IN
GENERAL AND CAN BE ALLOCATED TO THE CONTRACT; AND CONTRACT COSTS
ARE SPECIFICALLY CHARGEABLE TO THE CUSTOMER UNDER
THE TERMS OF THE CONTRACT.
1. COSTS INCURRED TO DATE (ALREADY INCURRED)
TYPES OF CONTRACT COSTS (2 ITEMS)
2. ESTIMATED COSTS TO COMPLETE (TO BE INCURRED)
ARE COSTS THAT INCLUDE PRECONTRACT COSTS AND
COSTS INCURRED AFTER CONTRACT ACCEPTANCE (UP TO COSTS INCURRED TO DATE
DATE).
ARE THE ANTICIPATED COST OF MATERIALS, LABOR,
SUBCONTRACTING COSTS AND INDIRECT COSTS
ESTIMATED COSTS TO COMPLETE
(OVERHEAD) REQUIRED TO COMPLETE A PROJECT AT A
SCHEDULED TIME.
COST INCURRED TO DATE = DIRECT MATERIALS + DIRECT
LABOR + OVERHEAD + DEPRECIATION OF NON-IDLE
CONSTRUCTION EQUIPMENT + ANY REIMBURSABLE COST +
COMPUTATION OF COST INCURRED TO DATE
BORROWING COSTS + UNUSED SUPPLIES OR MATERIALS
WITHOUT ALTERNATIVE USE - INCIDENTAL INCOME FROM
SALE OF SCRAP MATERIALS
ARE COSTS INCURRED BEFORE A CONTRACT HAS BEEN
ENTERED INTO (E.G., ARCHITECTURAL DESIGNS), WITH THE
EXPECTATION THAT THE CONTRACT WILL BE ACCEPTED PRECONTRACT COSTS
AND THESE COSTS WILL THEREBY BE RECOVERABLE
THROUGH BILLINGS.
1, THEY ARE CAPABLE OF BEING IDENTIFIED SEPARATELY.
CRITERIA FOR RECOGNITION OF PRECONTRACT COSTS (3
2. THEY CAN BE MEASURED RELIABLY.
ITEMS)
3. IT IS PROBABLE THAT THE CONTRACT WILL BE OBTAINED.
IS THE PRACTICE OF ASSIGNING, OR OUTSOURCING, PART
OF THE OBLIGATIONS AND TASKS UNDER A CONTRACT TO SUBCONTRACTING
ANOTHER PARTY KNOWN AS A SUBCONTRACTOR.
THE AMOUNT IS BILLED DIRECTLY TRACEABLE TO THE
TREATMENT FOR SUBCONTRACTOR COSTS
PROJECT (INCLUDED IN CIP ACCOUNT).
SUCH COSTS SHOULD NOT BE TREATED AS COSTS
TREATMENT FOR COST OF MATERIALS PURCHASED IN INCURRED FOR THE PURPOSES OF COMPUTING THE
ADVANCE OF THEIR USE PERCENTAGE OF COMPLETION RATIO UNTIL THE MATERIALS
HAVE BEEN PHYSICALLY USED IN PRODUCTION.
 IS DONE TO A GROUP OF CONTRACTS IF THEY ARE SO
CLOSELY RELATED THAT THEY ARE, IN SUBSTANCE, PARTS COMBINING OF CONTRACTS
OF A SINGLE PROJECT WITH AN OVERALL PROFIT MARGIN.
IS A PROCESS OF BREAKING UP A LARGER UNIT INTO
SEGMENTING A CONTRACT
SMALLER UNITS FOR ACCOUNTING PURPOSES.
METHODS OF ACCOUNTING FOR LONG TERM 1. PERCENTAGE-OF-COMPLETION METHOD
CONSTRUCTION CONTRACTS (2 ITEMS) 2. ZERO PROFIT METHOD
IS THE METHOD OF ACCOUNTING FOR LONG TERM
CONSTRUCTION CONSTRUCTION CONTRACTS TO BE USED
WHEN THE OUTCOME OF THE CONSTRUCTION CONTRACT
CAN BE ESTIMATED RELIABLY (I.E., THE ESTIMATE OF COSTS
PERCENTAGE-OF-COMPLETION METHOD
TO COMPLETE AND THE EXTENT OF PROGRESS TOWARD
COMPLETION OF LONG-TERM CONTRACTS ARE
REASONABLY DEPENDABLE). THIS IS USED WHEN THE
PROBLEM IS SILENT.
METHODS OF MEASURING THE PROGRESS OF THE 1. INPUT MEASURES OR COST TO COST METHOD
CONSTRUCTION (2 ITEMS) 2. OUTPUT MEASURES OR UNITS OF DELIVERY METHOD
IS A METHOD OF MEASURING THE PROGRESS OF
CONSTRUCTION WHERE THE DEGREE OF COMPLETION IS
DETERMINED BY COMPUTING THE RATIO OF THE COSTS INPUT MEASURES OR COST TO COST METHOD
ALREADY INCURRED TO THE TOTAL ESTIMATED COSTS TO
COMPLETE THE PROJECT.
PERCENTAGE OF COMPLETION = COSTS INCURRED TO DATE
/ TOTAL COST
FORMULA FOR PERCENTAGE OF COMPLETION UNDER THE
COST TO COST METHOD (INPUT MEASURES)
WHERE: TOTAL COST = COSTS INCURRED TO DATE +
ESTIMATED COSTS TO COMPLETE
IS A METHOD OF MEASURING THE PROGRESS OF
CONSTRUCTION WHERE REVENUE IS RECOGNIZED WHEN
CERTAIN PHASES OF THE PROJECT ARE COMPLETED AND OUTPUT MEASURES OR UNITS OF DELIVERY METHOD
ACCEPTED BY THE BUYER (E.G., CONSTRUCTION OF
SEVERAL CONDOMINIUM UNITS).
FORMULA FOR PERCENTAGE OF COMPLETION UNDER THE PERCENTAGE OF COMPLETION = TOTAL UNITS PRODUCED /
UNITS OF DELIVERY METHOD (OUTPUT MEASURES) TOTAL UNITS TO BE PRODUCED AS PER CONTRACT
IS A METHOD OF ACCOUNTING FOR LONG TERM
CONSTRUCTION CONTRACTS WHERE REVENUE IS
RECOGNIZED IN AN AMOUNT EXACTLY EQUAL TO COSTS ZERO PROFIT METHOD
INCURRED UNTIL REASONABLE OBJECTIVE ESTIMATES OF
THE PERCENTAGE OF COMPLETION ARE AVAILABLE.
IS A PERCENTAGE OF THE TOTAL CONTRACT PRICE
DEDUCTED FROM THE AMOUNT DUE AND RETAINED BY THE
CLIENT FOR THE PURPOSE OF ENSURING THAT THE RETENTION (OR CONTRACT RETENTION)
CONTRACTOR COMPLETES THE ACTIVITIES REQUIRED OF
THEM UNDER THE CONTRACT.
1. RECEIVABLE
TREATMENT FOR CONTRACT RETENTION (3 ITEMS) 2. DOES NOT HAVE AN INCOME ELEMENT
3. REDUCES COLLECTION
1. DR. CASH; CONTRACT RETENTION; CR. ACCOUNTS
RECEIVABLE
JOURNAL ENTRY FOR CONTRACT RETENTION (2 ITEMS)
2. UPON COMPLETION OF PROJECT: DR. CASH; CR.
CONTRACT RETENTION
IS A FEE CHARGED BY A CONTRACTOR THE PROCEEDS OF
WHICH ARE TO BE USED FOR THE ACTIVATION OF THE
MOBILIZATION FEE
CONTRACTOR'S PHYSICAL AND MANPOWER RESOURCES (E.
G., TRANSFER TO A CONSTRUCTION SITE).
TREATMENT FOR MOBILIZATION FEE IT DOES NOT HAVE AN INCOME ELEMENT.
JOURNAL ENTRY FOR MOBILIZATION FEE DR. CASH; CR. ADVANCES FROM CUSTOMERS
ADJUSTED PRICE BILLING = CONTRACT PRICE + ESCALATION
CLAUSE - DEESCALATION CLASUE - PENALTY CLAUSE +
COMPUTATION OF ADJUSTED PRICE BILLING
INCENTIVE PAYMENTS +/- MODIFICATION OR CHANGE
ORDER OR VARIATION
 AFAR - FRANCHISE ACCOUNTING (205001 - 205018)
IS A TYPE OF LICENSE THAT A PARTY (FRANCHISEE)
ACQUIRES TO ALLOW THEM TO HAVE ACCESS TO A
BUSINESS'S (FRANCHISOR) PROPRIETARY KNOWLEDGE,
FRANCHISE
PROCESSES, AND TRADEMARKS IN ORDER TO ALLOW THE
PARTY TO SELL A PRODUCT OR PROVIDE A SERVICE UNDER
THE BUSINESS'S NAME.
IS A FEE THAT A PERSON (FRANCHISEE) PAYS TO OPERATE
A FRANCHISE BRANCH OF A LARGER COMPANY FRANCHISE FEE
(FRANCHISOR) AND ENJOY THE PROFITS THEREFROM.
1. INITIAL FRANCHISE FEE
TYPES OF FRANCHISE FEES (2 ITEMS)
2. CONTINUING FRANCHISE FEE
IS A TYPE OF FRANCHISE FEE WHICH REPRESENTS THE
INITIAL PAYMENT FOR ESTABLISHING THE FRANCHISE
INITIAL FRANCHISE FEE
AGREEMENT, AND FOR PROVIDING CERTAIN INITIAL
SERVICES ASSOCIATED WITH THE AGREEMENT.
1. UPFRONT OR PAID IMMEDIATELY
PAYMENT SCHEMES FOR THE INTIAL FRANCHISE FEE (3 2. FOR AN EXTENDED PERIOD OF TIME
ITEMS) 3. DOWNPAYMENT WITH THE BALANCE PAYABLE FOR AN
EXTENDED PERIOD OF TIME
IS A TYPE OF FRANCHISE FEE WHICH REPRESENTS THE
CONTINUING PAYMENT TO THE FRANCHISOR FOR
PROVIDING SPECIFIC FUTURE SERVICES, SUCH AS
CONTINUING FRANCHISE FEE
ADVERTISING, AND FOR THE CONTINUED USE OF
INTANGIBLE RIGHTS BY THE FRANCHISEE. THIS IS USUALLY
BASED ON THE OPERATIONS OF FRANCHISES.
1. THE POINT AT WHICH THE FEE IS TO BE CONSIDERED
EARNED; AND
FACTORS TO BE CONSIDERED IN THE RECOGNITION OF
2. THE ASSURANCE OF COLLECTIBILITY OF ANY UNPAID
REVENUE FROM INITIAL FRANCHISE FEES (2 ITEMS)
PORTION OF THE FEEM IF THE TOTAL INITIAL FRANCHISE
FEE IS NOT PAID IN FULL.
AS A GENERAL RULE, UPON THE CONSUMMATION OF THE
POINT IN TIME AT WHICH THE FRANCHISOR IS ALLOWED TO TRANSACTION, WHICH OCCURS WHEN ALL MATERIAL
START RECOGNIZING REVENUE FROM FRANCHISE FEE SERVICES OR CONDITIONS OF THE SALE HAVE BEEN
SUBSTANTIALLY PERFORMED.
METHODS OF RECOGNIZING REVENUE FROM INITIAL
1. ACCRUAL BASIS
FRANCHISE FEE IF THE SAME IS PAYABLE OVER AN
2. INSTALLMENT BASIS OR COST RECOVERY METHOD
EXTENDED PERIOD OF TIME (2 ITEMS)
IS THE METHOD USED IN RECOGNIZING REVENUE FROM
INITIAL FRANCHISE FEE COLLECTIBLE OVER AN EXTENDED
PERIOD OF TIME WHEN THE COLLECTIBILITY OF THE UNPAID ACCRUAL BASIS
PORTION OF THE INITIAL FRANCHISE FEE IS REASONABLY
ASSURED.
IS THE METHOD USED IN RECOGNIZING REVENUE FROM
INITIAL FRANCHISE FEE COLLECTIBLE OVER AN EXTENDED
PERIOD OF TIME WHEN THE COLLECTIBILITY OF THE UNPAID INSTALLMENT BASIS OR COST RECOVERY METHOD
PORTION OF THE INITIAL FRANCHISE FEE IS NOT
REASONABLY ASSURED.
1. NON-REFUNDABLE DOWNPAYMENT - RECOGNIZED AS
REVENUE UPON RECEIPT
TREATMENT FOR THE RECEIPT OF DOWNPAYMENT BY THE
2. REFUNDABLE DOWNPAYMENT (ASSUMED TO BE TRUE IF
FRANCHISOR (2 ITEMS)
THE PROBLEM IS SILENT) - RECOGNIZED AS REVENUE
EITHER ON AN ACCRUAL OR INSTALLMENT BASIS
TREATMENT FOR DIRECT FRANCHISE COSTS OF INITIAL THESE COSTS SHALL BE DEFERRED UNTIL THE RELATED
SERVICES RENDERED BY THE FRANCHISOR REVENUE IS RECOGNIZED (MATCHING PRINCIPLE).
TREATMENT FOR INDIRECT COSTS INCURRED BY THE THESE COSTS SHOULD BE EXPENSED WHEN INCURRED
FRANCHISOR ON A REGULAR BASIS (OPERATING EXPENSES).
REVENUE FROM CONTINUING FRANCHISE FEES ARE
RECOGNITION OF REVENUE FROM CONTINUING FRANCHISE
RECOGNIZED AS REVENUE WHEN ACTUALLY EARNED AND
FEES
RECEIVABLE FROM THE FRANCHISEE.
PERCENTAGE-OF-COMPLETION METHOD:
(COST OF SERVICING EACH INDIVIDUAL FRANCHISE IN THE
RECOGNITION OF REVENUE FROM AREA FRANCHISE FEES ARE / TOTAL COST OF FRANCHISES THAT ARE EXPECTED TO
BE OPENED IN THE AREA) * TOTAL INITIAL FRANCHISE FEE =
REVENUE TO BE RECOGNIZED
 THE EXCESS OF FAIR MARKET VALUE OVER THE CARRYING
AMOUNT OF THE TANGIBLE PROPERTY IS RECOGNIZED AS
REVENUE WHEN TITLE TO SUCH PROPERTY PASSES TO THE
FRANCHISEE, EVEN THOUGH SUBSTANTIAL PERFORMANCE
TREATMENT FOR TANGIBLE ASSETS (E.G., INVENTORYM
HAS NOT OCCURED FOR OTHER SERVICES INCLUDED IN THE
SIGNS, EQUIPMENT, ETC.) SOLD WITH THE FRANCHISE (I.E.,
FRANCHISE AGREEMENT.
THE PRICE IS INCLUDED IN THE INITIAL FRANCHISE FEE)
DEFERRED REVENUE FROM IFF = TOTAL INITIAL FRANCHISE
FEE EXCLUDING INTEREST - CARRYING AMOUNT OF THE
TANGIBLE PROPERTY - EXCESS OF FAIR MARKET VALUE
OVER THE CARRYING OF THE TANGIBLE PROPERTY
THE INITIAL FRANCHISE FEE IS TO BE DEFERRED. WHEN THE
TREATMENT FOR THE OPTION TO PURCHASE THE OPTION IS EXERCISED AND THE FRANCHISOR ACQUIRES
FRANCHISE BUSINESS GRANTED TO THE FRANCHISOR AT THE FRANCHISE BUSINESS, THE DEFERRED REVENUE FROM
THE TIME THE FRANCHISE AGREEMENT WAS SIGNED THE INITIAL FRANCHISE FEE IS TREATED AS A REDUCTION
FROM THE FRANCHISOR'S INVESTMENT.
 AFAR - BUSINESS COMBINATION (207001 - 207???)
IS THE TERM APPLIED TO EXTERNAL EXPANSION IN WHICH
SEPARATE ENTERPRISES ARE BROUGHT TOGETHER INTO
ONE ECONOMIC ENTITY AS A RESULT OF ONE ENTERPRISE BUSINESS COMBINATION
OBTAINING CONTROL OVER THE NET ASSETS AND
OPERATIONS OF ANOTHER ENTERPRISE.
BUSINESS COMBINATION IS A TRANSACTION OR OTHER
EVENT IN WHICH A/AN __________ OBTAINS CONTROL OF
ACQUIRER; ACQUIREE
ONE OR MORE BUSINESSES REFERRED TO AS THE
__________.
IS AN INTEGRATED SET OF ACTIVITIES AND ASSETS THAT IS
CAPABLE OF BEING CONDUCTED AND MANAGED FOR THE
PURPOSE OF PROVIDING A RETURN IN THE FORM OF
BUSINESS
DIVIDENDS, LOWER COSTS OR OTHER ECONOMIC BENEFITS
DIRECTLY TO INVESTORS OR OTHER OWNERS, MEMBERS
OR PARTICULA
1. INPUTS
BASIC ELEMENTS OF A BUSINESS (3 ITEMS) 2. PROCESSES
3. OUTPUTS
IS ANY ECONOMIC RESOURCE THAT CREATES, OR HAS THE
ABILITY TO CREATE OUTPUTS WHEN ONE OR MORE INPUTS
PROCESSES ARE APPLIED TO IT.
IS ANY SYSTEM, STANDARD, PROTOCOL, CONVENTION OR
RULE THAT WHEN APPLIED TO AN INPUT OR INPUTS, PROCESS
CREATES OR HAS THE ABILITY TO CREATE OUTPUTS.
IS THE RESULT OF INPUTS AND PROCESS OR PROCESSES
APPLIED TO THOSE INPUTS THAT WILL PROVIDE OR HAVE
OUTPUT
THE ABILITY TO PROVIDE A RETURN IN THE FORM OF
DIVIDENDS.
1. ACQUISITION OF ASSETS - ACQUISITION OF ALL THE
ASSETS OF THE TARGET COMPANY
WAYS ON HOW CONTROL OVER ANOTHER COMPANY MAY BE
2. STOCK ACQUISITION - ACQUISITION OF A CONTROLLING
ACHIEVED (2 ITEMS)
INTEREST (USUALLY OVER 50 PERCENT) IN THE TARGET
COMPANY'S VOTING COMMON STOCK
REFERS TO THE ACQUISITION OF THE ASSETS AND
ASSUMPTION OF THE EXISTING LIABILITIES OF THE ACQUISITION OF NET ASSETS
ACQUIRED COMPANY.
1. STATUTORY COMBINATION
LEGAL FORMS OF BUSINESS COMBINATION (2 ITEMS)
2. STATUTORY MERGER
REFERS TO THE COMBINING OF TWO OR MORE EXISTING
STATUTORY COMBINATION
LEGAL ENTITIES INTO ONE NEW LEGAL ENTITY.
REFERS TO THE ABSORPTION OF ONE OR MORE EXISTING
LEGAL ENTITIES BY ANOTHER EXISTING COMPANY THAT STATUTORY MERGER
CONTINUES AS THE SOLE SURVIVING LEGAL ENTITY.
IS THE OTHER TERM FOR THE ACQUIRING COMPANY OR
PARENT
ACQUIRER IN STOCK ACQUISITION.
IS THE OTHER TERM FOR THE ACQUIRED COMPANY OR
SUBSIDIARY
ACQUIREE IN STOCK ACQUISITION.
IS THE METHOD MANDATED BY THE STANDARDS TO BE
ACQUISITION METHOD
USED IN ACCOUNTING FOR BUSINESS COMBINATIONS.
1. INDENTIFY THE ACQUIRER.
2. DETERMINE THE ACQUISITION DATE.
STEPS TO BE FOLLOWED IN THE APPLICATION OF THE 3. DETERMINE THE CONSIDERATION GIVEN (PRICE PAID) BY
ACQUISITION METHOD (4 ITEMS) THE ACQUIRER.
4. RECOGNIZE AND MEASURE SPECIFIC ACCOUNTS AS
PROVIDED BY IFRS 3.
1. MEASURE ANY TANGIBLE OR INTANGIBLE ASSETS AND
LIABILITIES THAT WERE ACQUIRED OR ASSUMED.
ACCOUNTS TO BE RECORDED AND MEASURED IN BUSINESS 2. MEASURE THE AMOUNT OF ANY NON-CONTROLLING
COMBINATION (4 ITEMS) INTEREST IN THE ACQUIRED BUSINESS (APPLICABLE ONLY
TO STOCK ACQUISITION).
3. MEASURE THE AMOUNT OF CONSIDERATION PAID
MEASUREMENT OF THE CONSIDERATION GIVEN BY THE
FAIR VALUE AT ACQUISITION DATE
ACQUIRER
1. ASSETS TRANSFERRED BY THE ACQUIRER
2. LIABILITIES INCURRED BY THE ACQUIRER TO FORMER OWNERS OF THE ACQUIREE
3. EQUITY INTERESTS ISSUED BY THE ACQUIRER
FORMS OF CONSIDERATION THAT CAN BE GIVEN BY THE ACQUIRER
4. CONTINGENT CONSIDERATION
IS AN OBLIGATION OF THE ACQUIRER TO TRANSFER ADDITIONAL
CONTINGENT
ASSETS ORCONSIDERATION
EQUITY INTERESTS TO THE FORMER OWNERS OF AN ACQUIREE AS PART OF THE EXCHANGE FOR CONTROL OF THE ACQUIREE IF SPECIFIED FUTURE EVENTS OCCUR OR CONSIDERATIONS ARE MET. HOWEVER, IT MAY ALSO GIV
1. FINANCIAL LIABILITY - PAYING ADDITIONAL CASH CONSIDERATION
CLASSIFICATION OF OBLIGATION TO PAY FOR A CONTINGENT CONSIDERATION
2. EQUITY INSTRUMENT
(2 ITEMS)
- ISSUING ADDITIONAL EQUITY INSTRUMENT
FAIR VALUE OF CONTINGENT CONSIDERATION EXPECTED VALUE BASED ON THE PROBABILITY THAT THE CONDITION(S) WILL OCCUR
ARE THE COSTS THE ACQUIRER INCURS TO EFFECT A BUSINESS
ACQUISITION-RELATED
COMBINATION, SUCHCOSTS
AS BROKER'S FEES; ACCOUNTING, LEGAL AND OTHER PROFESSIONAL FEES; GENERAL ADMINISTRATIVE COSTS, INCLUDING THE COSTS OF MAINTAINING AN INTERNAL ACQUISITION DEPARTMENT.
TREATMENT FOR ACQUISITION-RELATED COSTS INBUSINESS COMBINATIONS
THESE ARE NOT INCLUDED IN THE PRICE OF THE COMPANY ACQUIRED AND ARE EXPENSED.
GR: DEDUCTION FORM ADDITIONAL PAID-IN CAPITAL (APIC) OR SHARE PREMIUM FROM PREVIOUS SHARE ISSUANCE.
TREATMENT FOR STOCK ISSUANCE COSTS IN BUSINESS COMBINATIONS
XPN: IN CASE APIC IS REDUCED TO ZERO, THE REMAINING STOCK ISSUANCE COSTS IS TREATED AS A CONTRA ACCOUNT FROM RETAINED EARNINGS PRESENTED AS A SEPARATE LINE
MEASUREMENT OF IDENTIFIABLE ASSETS ACQUIRED AND LIABILITIES
FAIR VALUE
ASSUMED FROM THE ACQUIREE BY THE ACQUIRER
IS THE AMOUNT THAT AN ASSET OR LIABILITY WOULD BE BOUGHT
FAIROR
VALUE
SOLD FOR IN A CURRENT, NORMAL SALE BETWEEN WILLING PARTIES.
IS AN ASSET OF AN ACQUIRED COMPANY THAT CAN BE ASSIGNED
IDENTIFIABLE
A FAIR VALUE
ASSET
AND CAN BE REASONABLY EXPECTED TO PROVIDE A BENEFIT FOR THE PURCHASING COMPANY IN THE FUTURE.
IS AN UNIFENTIFIABLE INTANGIBLE ASSET THAT IS CREATED WHEN
GOODWILL
A COMPANY PURCHASES ANOTHER COMPANY FOR A PRICE HIGHER THAN THE FAIR MARKET VALUE OF THE TARGET COMPANY'S NET ASSETS.
IS RECORDED WHEN THE PRICE PAID BY THE ACQUIRER IS ACTUALLY
GAIN ONLESS
ACQUISITION
THAN THEOR
FAIR
GAIN
VALUE
ON BARGAIN
ASSIGNED
PURCHASE
TO THE NET ASSETS.
1. SHOULD BE RECORDED - NEW GOODWILL BASED ON THE PRICE PAID BY THE ACQUIRER
GOODWILL THAT IS RECORDED IN BUSINESS COMBINATIONS 2. SHOULD NOT BE RECORDED - GOODWILL THAT MAY EXIST ON THE ACQUIREE'S BOOKS
MEASUREMENT PERIOD FOR VALUATION OF IDENTIFIABLE ASSETS
IT TAKES
AND TIME
LIABILITIES
TO ESTABLISH THE MOST ACCURATE FAIR VALUE OF INDENTIFIABLE ASSETS AND LIABILITIES. THEREFORE, A MEASUREMENT PERIOD OF UP TO ONE YEAR IS ALLOWED FOR MEASUREMENT. TEMPORARY VALUES
FAIR VALUE OF CASH AND CASH EQUIVALENTS PAID AS CONSIDERATION
FACE VALUE
FOR
ORBUSINESS
NOMINAL VALUE
COMBINATION
IS A PORTION OF THE PURCHASE PRICE THAT IS PAYABLE BY THE
DEFERRED
BUYER CONSIDERATION
IN THE FUTURE.
FAIR VALUE OF DEFERRED CONSIDERATION PRESENT VALUE OF THE CONSIDERATION DISCOUNTED USING THE ACQUIRER'S CURRENT BORROWING COST
1. QUOTED EQUITY INSTRUMENTS - PUBLISHED PRICE AT THE DATE OF EXCHANGE (ACQUISITION DATE)
FAIR VALUE OF EQUITY INSTRUMENTS TRANSFERRED AS CONSIDERATION
2. UNQOTED EQUITY INSTRUMENTS - ESTIMATED USING CERTAIN METHODS
1. MARKET PRICES
2. ESTIMATED REALIZABLE VALUES
3. INDEPENDENT VALUATIONS
FAIR VALUE OF NON-FINANCIAL ASSETS TRANSFERRED AS CONSIDERATION
4. OTHER AVAILABLE INFORMATION RELEVANT TO THE VALUATION
TREATMENT WHEN THE FAIR VALUE OF NON-FINANCIAL ASSETTHE
TRANSFERRED
ACQUIRER REMEASURES
AS CONSIDERATION
THE CARRYING
DIFFERS AMOUNT
FROM THE
TOCARRYING
FAIR VALUE
AMOUNT
AND RECOGNIZES
AS AT THE ACQUISITION
THE RESULTING
DATE
GAIN OR LOSS IN PROFIT OR LOSS.
TREATMENT FOR FUTURE LOSSES OR OTHER COSTS EXPECTED
NOTTOTREATED
BE INCURRED
AS LIABILITIES
BY THE ACQUIRER
ASSUMED AS
BY ATHE
RESULT
ACQUIRER
OF A COMBINATION
IN EXCHANGE FOR CONTROL OF THE ACQUIREE, AND ARE NOT, THEREFORE, INCLUDED AS PART OF THE COST OF COMBINATION.
TREATMENT WHEN PROPERTY IS TRANSFERRED TO THE ACQUIREE
THE ACQUIRER
RATHER THAN
SHALL
TOMEASURE
ITS FORMER
THE SHAREHOLDERS
NON-MONETARY ASSETS TRANSFERRED AT THEIR CARRYING AMOUNTS RATHER THAN AT THEIR FAIR VALUE.
 AFAR - COST ACCOUNTING PART 1 (213001 - 213210)
213001 - IS A QUANTIFICATION OR MEASUREMENT OF THE
ECONOMIC SACRIFICE MADE TO ACHIEVE A GIVEN
OBJECTIVE. IT IS, THEREFORE, A MEASUREMENT OF THE COST
AMOUNT OF RESOURCES SACRIFICED IN ATTAINING A
SPECIFIED GOAL.
213002 - IS AN ACTIVITY FOR WHICH A SEPARATE MEASURE
COST OBJECT OR COST UNIT
OF COST IS DESIRED.
223003 - IS A MEMBER OF THE ACCOUNTING DEPARTMENT
RESPONSIBLE FOR COLLECTING PRODUCT COSTS AND
COST ACCOUNTANT
PREPARING ACCURATE AND TIMELY REPORTS TO EVALUATE
AND CONTROL COMPANY OPERATIONS.
223004 - IS AN ACTIVITY THAT USES ENGINEERING, TIME AND
MOTION STUDIES, TIMEKEEPER'S RECORDS AND PLANNING COST ANALYSIS
SCHEDULES FROM PRODUCTION SUPERVISORS.
223005 - IS A PART OF THE ORGANIZATION IN WHICH A
MANAGER WHO HAS A BUDGET IS MADE RESPONSIBLE FOR
RESPONSIBILITY CENTER
THE PLANS AND THE RESULTING INFORMATION ON THE
PERFORMANCE OF THE PLANS.
223006 - REFERS TO A PRODUCTION OR SERVICE
DEPARTMENT IN AN ORGANIZATION WHERE COSTS ARE
COST CENTER
INCURRED FOR THE PRODUCTION OF GOODS AND
SERVICES.
223007 - IS A PART OF ACCOUNTING THAT RELATES TO THE
PROVISION OF FINANCIAL INFORMATION TO PEOPLE AND
MANAGERS WITHIN THE ORGANIZATION TO AID IN THE
MANAGEMENT ACCOUNTING
EXECUTION OF MANAGEMENT FUNCTIONS SUCH AS
PLANNING, ORGANIZING, CONTROLLING, EVALUATION OF
PERFORMANCE AND DECISION
223008 - IS CONCERNED WITH THE PROVISION OF
INFORMATION TO PARTIES OUTSIDE THE ORGANIZATION.
THIS IS THE ANALYSIS, CLASSIFICATION AND RECORDING OF
FINANCIAL ACCOUNTING
FINANCIAL TRANSACTIONS AND THE ASCERTAINMENT OF
HOW SUCH INFORMATION WILL BE REPORTED FOR VARIOUS
USERS.
223009 - IS THE ARRANGEMENT OF COST ITEMS IN A
LOGICAL SEQUENCE HAVING REGARD TO THEIR NATURE COST CLASSIFICATION
AND PURPOSE TO BE FULFILLED.
223010 - COST OBJECTIVE: MANUFACTURING AND NON-
STOCK VALUATION
MANUFACTURING COSTS
223011 - COST OBJECTIVE: PERIOD AND PRODUCT COSTS STOCK VALUATION
223012 - COST OBJECTIVE: DIRECT AND INDIRECT COSTS STOCK VALUATION
223013 - COST OBJECTIVE: COST BEHAVIOR SUCH AS
DECISION MAKING
VARIABLE, FIXED AND SEMI-VARIABLE
223014 - COST OBJECTIVE: RELEVANCE, OPPORTUNITY,
DECISION MAKING
SUNK COST, HISTORICAL COST, STANDARD COST
223015 - COST OBJECTIVE: CONTROLLABLE AND NON-
CONTROL PURPOSES
CONTROLLABLE COSTS
223016 - COST OBJECTIVE: AVOIDABLE AND NON-AVOIDABLE
CONTROL PURPOSES
COSTS
223017 - ARE THE COSTS INCURRED TO PRODUCE A
MANUFACTURING COSTS
PRODUCT.
1. DIRECT MATERIALS COST
223018 - ELEMENTS OF MANUFACTURING COSTS (3 ITEMS) 2. DIRECT LABOR COST
3. OVERHEAD COST
223019 - ARE EXPENSES INCURRED FOR A PARTICULAR JOB,
PROJECT OR SERVICE. THEY ARE TRACEABLE TO THAT DIRECT EXPENSES
SPECIFIC JOB.
223020 - REFERS TO ALL PHYSICAL INPUTS INTO THE
MATERIAL
PRODUCTION PROCESS.
223021 - ARE THOSE MATERIALS THAT CAN BE EASILY
TRACED TO A PRODUCT WITHOUT ANY EXTRA COST OR DIRECT MATERIALS
INCONVENIENCE.
223022 - ARE MATERIALS THAT BECAME AN INTEGRAL PART
OF THE FINISHED PRODUCT BUT MAY BE TRACEABLE INTO INDIRECT MATERIALS
THE PRODUCT ONLY AT GREAT COST OR INCONVENIENCE.
223023 - IS THE PHYSICAL AND MENTAL HUMAN INPUT IN A
LABOR
PRODUCTION PROCESS.
223024 - REFERS TO WAGES PAID TO WORKERS WHO ARE
DIRECTLY INVOLVED IN THE PRODUCTION OF EACH ITEM
DIRECT LABOR
PRODUCED. SUCH COST CAN BE PHYSICALLY TRACED TO
THE CREATION OF PRODUCT WITHOUT UNDUE COST.
223025 - REFERS TO WAGES PAID TO WORKERS WHOSE
EFFORTS CANNOT BE READILY INDENTIFIED WITH SPECIFIC INDIRECT LABOR
PRODUCT UNITS OR BATCHES.
223026 - INCLUDE ALL COSTS OF MANUFACTURING EXCEPT
DIRECT MATERIALS AND DIRECT LABOR. THEY INCLUDE
INDIRECT MATERIALS, INDIRECT LABOR AND OTHER OVERHEAD COSTS
INDIRECT EXPENSES THAT CANNOT BE TRACED DIRECTLY
TO A PRODUCT.
223027 - ARE COSTS INCURRED BY ALL ACTIVITIES THAT
NON-MANUFACTURING COSTS
SUPPORT THE PRODUCTION OF GOODS AND SERVICES.
223028 - IS THE SUM OF COSTS ASSOCIATED WITH THE
OVERALL MANAGEMENT OF THE ENTERPRISE, WHICH
ADMINISTRATIVE COST
CANNOT BE READILY IDENTIFIED WITH ONE OF THE MAJOR
FUNCTIONAL AREAS.
223029 - IS THE SUM OF COSTS ASSOCIATED WITH THE
SELLING COST
SECURING OF ORDERS FROM CUSTOMERS.
223030 - ARE COSTS ASSOCIATED WITH WAREHOUSING THE
PRODUCTS AND THEIR DELIVERY TO CUSTOMERS. THEY
DISTRIBUTION COSTS
ARE INCURRED IN GETTING THE FINISHED PRODUCT TO
CUSTOMERS.
223031 - ARE COSTS INCURRED TO SECURE FUNDS TO
FINANCE COSTS
FINANCE THE ORGANIZATION'S ACTIVITIES.
223032 - ARE COSTS THAT ARE INCURRED TO INVENT NEW
PRODUCTS OR TO MODIFY EXISTING ONES, AS WELL AS
RESEARCH AND DEVELOPMENT COSTS
COSTS INCURRED TO ACQUIRE MORE INFORMATION ON
SUCH PRODUCTS.
223033 - MEANS HOW COSTS WILL RESPOND TO CHANGES IN
COST BEHAVIOR
THE ACTIVITY LEVEL.
223034 - ARE COSTS THAT INCREASE OR DECREASE, IN
TOTAL, IN DIRECT PROPORTION TO CHANGES IN THE TOTAL VARIABLE COSTS
LEVEL OF ACTIVITY OR NUMBER OF UNITS PRODUCED.
223035 - ARE COSTS WITH BOTH A FIXED AND VARIABLE
SEMI-VARIABLE COSTS
COST COMPONENTS.
223036 - ARE COSTS THAT DO NOT CHANGE WITH THE LEVEL
OF OUTPUT. IN OTHER WORDS, THEY REMAIN THE SAME FIXED COSTS
IRRESPECTIVE OF THE ACTIVITY LEVEL.
223037 - ARE COSTS WHICH ARE CONSTANT WITHIN A
CERTAIN PRODUCTION BAND BUT EVENTUALLY INCREASE
AT SOME CRITICAL POINT BY A CONSTANT AMOUNT TO
SEMI-FIXED COSTS OR STEPPED COSTS
ANOTHER FIXED LEVEL ONCE THE OUTPUT BAND CHANGES.
THIS IS A CLEAR ILLUSTRATION OF HOW FIXED COSTS
BEHAVE IN THE LONG RUN.
223038 - EXIST WHERE COSTS DO NOT VARY IN DIRECT
PROPORTION TO THE LEVEL OF ACTIVITY THUS GIVING A CURVILINEAR COSTS
NON-LINEAR FUNCTION.
223039 - ARE COSTS THAT CAN BE TRACED SPECIFICALLY
AND IDENTIFIED TO THE END PRODUCT OF THE
DIRECT COSTS
PRODUCTION PROCESS WITHOUT ANY EXTRA COST OR
INCONVENIENCE.
223040 - ARE COSTS THAT WILL NOT BE DIRECTLY
INDIRECT COSTS
ATTRIBUTABLE TO A SPECIFIC PRODUCT.
223041 - IS COMPOSED OF DIRECT MATERIALS AND DIRECT
PRIME COST
LABOR.
223042 - IS COMPOSED OF DIRECT LABOR AND
CONVERSION COST
MANUFACTURING OVERHEAD.
223043 - REFERS TO THE COST WHICH CAN BE INFLUENCED
BY THE ACTIONS OF A PERSON IN WHOM AUTHORITY FOR CONTROLLABLE COST
SUCH CONTROL IS VESTED.
223044 - IS A COST WHICH CANNOT BE INFLUENCED BY A
PERSON IN WHOM AUTHORITY FOR SUCH CONTROL IS NON-CONTROLLABLE COST
VESTED.
223045 - ARE COSTS THAT ARE EXPECTED TO BE INCURRED
NORMAL OR STANDARD COSTS
GIVEN A SPECIFIC LEVEL OF PRODUCTION.
223046 - ARE COSTS ABOVE THE NORMAL COSTS GIVEN A
ABNORMAL COSTS
SPECIFIC LEVEL OF ACTIVITY.
223047 - ARE COSTS THAT WERE INCURRED AT A GIVEN TIME
HISTORICAL COSTS
IN THE PAST.
223048 - ARE ESTIMATED COSTS THAT HAVE BEEN
PREDETERMINED COSTS
ESTIMATED FOR THE PURPOSES OF DECISION MAKING.
223049 - ARE ALL THE COSTS INCURRED IN THE
PRODUCTION OF UNITS DURING A TIME PERIOD
PRODUCT COSTS
(CAPITALIZED AND EXPENSED ONLY WHEN THE
MANUFACTURER SELLS INVENTORY).
223050 - ARE COSTS MAINLY INCURRED IN THE ORDINARY
PERIOD COSTS
RUNNING OF THE BUSINESS ENTERPRISE.
223051 - ARE THE COSTS WHICH HAVE ALREADY BEEN
INCURRED. THEY CANNOT BE CHANGED BY ANY DECISION
SUNK COSTS
MADE AFTER INCURRENCE (IRRELEVANT FOR DECISION
MAKING).
223052 - IS THE ADDITIONAL COST OF PRODUCING AN EXTRA
MARGINAL COST
UNIT OF OUTPUT.
223053 - IS DEFINED AS THE COST OF THE NEXT BEST
FORGONE ALTERNATIVE OR THE POTENTIAL BENEFIT THAT
OPPORTUNITY COST
IS LOST BY TAKING ONE COURSE OF ACTION AND GIVING UP
THE OTHER.
223054 - ARE COSTS THAT DIFFER AMONG ALTERNATIVES
DIFFERENTIAL COST/INCREMENTAL COST
(RELEVANT FOR DECISION MAKING).
223055 - IS AN EXPENSE NOT INCURRED DIRECTLY, BUT
IMPUTED COST
ACTUALLY BORNE.
223056 - IS THE AMOUNT THAT IT WOULD COST TO REPLACE
REPLACEMENT COST
AN ASSET AT CURRENT MARKET PRICES.
223057 - IS A MANAGEMENT TOOL USED TO ESTIMATE THE
OVERALL COST OF PRODUCTION, ASSUMING NORMAL STANDARD COST
OPERATIONS.
223058 - IS THE COST ESTIMATED TO BE INCURRED AND
BUDGETED COST
USED FOR BUDGETING PURPOSES.
223059 - ARE INVENTORIES KEPT BY FIRMS TO PROTECT
THEMSELVES AGAINST UNCERTAINTIES OF DEMAND AND BUFFER INVENTORIES
SUPPLY.
223060 - ARE INVENTORIES KEPT BY FIRMS IN ANTICIPATION
ANTICIPATION INVENTORY
THAT FUTURE DEMAND FOR THEM WILL HAPPEN.
223061 - ARE INVENTORIES HELD BY FIRMS IN ANTICIPATION
APPRECIATION INVENTORY
OF AN INCREASE IN PRICE.
223062 - IS THE LEVEL BELOW WHICH STOCKS (OF
MINIMUM STOCK LEVEL
INVENTORY) SHOULD NOT BE ALLOWED TO FALL.
MINIMUM STOCK LEVEL = REORDER LEVEL - (NORMAL
223063 - FORMULA FOR MINIMUM STOCK LEVEL
CONSUMPTION * NORMAL REORDER POINT)
223064 - IS A SITUATION IN WHICH THERE ARE NO GOODS
(RAW MATERIALS) OF A PARTICULAR KIND AVAILABLE FOR STOCK OUT
SALE (OR USE).
223065 - IS THE PERIOD OF TIME IN DAYS, WEEKS OR
MONTHS THAT ELAPSES BEFORE AN ORDER MADE IS REORDER PERIOD OR LEAD TIME
RECEIVED AND READY FOR USE.
223066 - IS THE UPPER LIMIT ABOVE WHICH STOCKS (OF
MAXIMUM STOCK LEVEL
INVENTORY) SHOULD NOT BE ALLOWED TO EXCEED.
MAXIMUM STOCK LEVEL = REORDER LEVEL + REORDER
223067 - FORMULA FOR MAXIMUM STOCK LEVEL QUANTITY - (MINIMUM CONSUMPTION * MINIMUM REORDER
POINT)
 223068 - IS A POINT THAT LIES BETWEEN MINIMUM AND
MAXIMUM STOCK LEVELS AT WHICH PURCHASE ORDERS
MUST BE PLACED TO ENSURE THAT GOODS ORDERED ARE REORDER LEVEL
RECEIVED BEFORE THE MINIMUM STOCK LEVEL IS
REACHED.
REORDER LEVEL = MAXIMUM CONSUMPTION * MAXIMUM
223069 - FORMULA FOR REORDER LEVEL
REORDER PERIOD
223070 - IS THE QUANTITY OF STOCK ORDERED ONCE THE
REORDER QUANTITY
RE-ORDER POINT IS REACHED.
REORDER QUANTITY = MAXIMUM STOCK LEVEL - REORDER
223071 - FORMULA FOR REORDER QUANTITY
LEVEL + (MINIMUM USAGE * MINIMUM REORDER PERIOD)
1. PURCHASE COST
223072 - COSTS ASSOCUATED WITH MATERIALS (3 ITEMS) 2. CARRYING OR HOLDING COST
3. ORDERING AND PROCUREMENT COSTS
223073 - IS THE PRICE CHARGED BY THE SUPPLIER OF AN
PURCHASE COST
ITEM OF INVENTORY.
PURCHASE COST = ACQUISITION PRICE PER UNIT * NUMBER
223074 - FORMULA FOR PURCHASE COST
OF UNITS
223075 - IS THE COST INCURRED BECAUSE FIRMS OWN AND
CARRYING OR HOLDING COST
MAINTAIN INVENTORIES.
CARRYING COST = HANDLING COST PER UNIT PER ANNUM *
223076 - FORMULA FOR CARRYING COST AVERAGE STOCK QUANTITY ; WHERE AVERAGE STOCK
QUANTITY =
223077 - IS THE COST OF GETTING AN ITEM INTO THE FIRM'S
INVENTORY (E.G., CLERICAL COSTS OF PREPARING
ORDERING AND PROCUREMENT COSTS
PURCHASE ORDERS, RECEIVING DELIVERIES AND PAYING
INVOICES).
223078 - ARE COSTS INCURRED AS A RESULT OF AN ITEM
STOCK OUT COSTS
NOT BEING IN STOCK.
ORDERING COST = NUMBER OF ORDERS MADE PER YEAR *
COST PER ORDER; WHERE NUMBER OF ORDERS PER YEAR
223079 - FORMULA FOR ORDERING COST
= ANNUAL DEMAND / NUMBER OF UNITS ORDERED EACH
TIME
223080 - IS A SIMPLE MODEL THAT HELPS MANAGERS TO
DETERMINE THE OPTIMUM QUANTITY OF STOCK TO ORDER ECONOMIC ORDER QUANTITY (EOQ) MODEL
SO AS TO KEEP THE TOTAL COST AT A MINIMUM.
EOQ = SQ. ROOT OF [(2 * ANNUAL DEMAND * ORDERING
223081 - FORMULA FOR ECONOMIC ORDER QUANTITY (EOQ)
COST) / CARRYING COST]
223082 - IS SIMILAR TO ECONOMIC ORDER QUANTITY (EOQ)
EXCEPT THAT IT IS ONLY APPLICABLE IN A MANUFACTURING
ENTITY WHERE PRODUCTION AND CONSUMPTION OCCUR ECONOMIC BATCH QUANTITY
SIMULTANEOUSLY WITH PRODUCTION RATE BEING HIGHER
THAN THE CONSUMPTION RATE.
1. ABC SYSTEM OR PARETO ANALYSIS
223083 - STOCK CONTROL SYSTEMS (3 ITEMS) 2. PERIODIC ORDER SYSTEM
3. CONTINUOUS REVIEW SYSTEM
223084 - IS A STOCK CONTROL SYSTEM WHERE ITEMS ARE
CATEGORIZED INTO THREE CLASSES: CLASS A (HIGH COST,
FAST MOVING AND HIGH USAGE ITEMS, HIGHLY CONTROL),
ABC SYSTEM OR PARETO ANALYSIS
CLASS B (MEDIUM MOVING GOODS, MODERATELY
CONTROLLED), CLASS C (SLOW MOVING LOW VALUE ITEMS,
LEAST CONTROLLED)
223085 - IS A STOCK CONTROL SYSTEM WHERE STOCK
LEVELS ARE REVIEWED AT FIXED INTERVALS AND A PERIODIC ORDER SYSTEM
REPLENISHMENT ORDER IS ISSUED WHERE NECESSARY.
223086 - IS A STOCK CONTROL SYSTEM WHERE THE FIRM
PLACES ORDERS AT REGULAR INTERVALS BUT THE ORDER
QUANTITY VARIES ACCORDING TO HOW MUCH A FIRM CONTINUOUS REVIEW SYSTEM
REQUIRES TO BRING THE LEVEL TO SOME PREDETERMINED
SIZE OR VALUE.
 1. FIRST IN FIRST OUT (FIFO)
2. LAST IN FIRST OUT (LIFO) - OBSOLETE
223087 - METHODS OF MATERIAL INVENTORY VALUATION (5
3. WEIGHTED AVERAGE METHOD (WAM)
ITEMS)
4. STANDARD COSTING
5. REPLACEMENT COSTING
223088 - IS A LOGICAL PRICING METHOD WHICH PROBABLY
REPRESENTS WHAT IS HAPPENING IN PRACTICE, OLDEST FIRST IN FIRST OUT (FIFO)
ITEMS ARE USUALLY ISSUED FIRST OUT.
223089 - IS A MATERIAL INVENTORY VALUATION METHOD
THAT ASSUMES THAT MATERIALS ARE ISSUED OUT OF
STOCK IN THE REVERSE ORDER TO WHICH THEY WERE LAST IN FIRST OUT (LIFO)
DELIVERED (I.E., THEY ARE VALUED AT THE PRICE OF UNITS
RECEIVED FIRST).
223090 - IS A MATERIAL INVENTORY VALUATION METHOD
WHERE THE ISSUE PRICE IS RECALCULATED AFTER EACH
WEIGHTED AVERAGE METHOD (WAM)
RECEIPT OF STOCKS TAKING INTO ACCOUNT BOTH
QUANTITIES AND MONEY VALUE OF THE STOCKS RECEIVED.
223091 - IS A MATERIAL INVENTORY VALUATION METHOD
WHERE ALL ISSUES ARE VALUED AT A PREDETERMINED
STANDARD COSTING
STANDARD PRICE WHICH MAY NOT BE THE SAME AS THE
ACTUAL PRICE FOR THE MATERIALS DELIVERED.
223092 - IS A MATERIAL INVENTORY VALUATION METHOD
WHERE MATERIAL ISSUES AND CLOSING STOCK ARE
REPLACEMENT COSTING
VALUED AT A COST AT WHICH IDENTICAL MATERIALS CAN BE
BOUGHT.
SALARY IS PAID ON A FIXED BASIS, WHILE WAGES ARE PAID
223093 - DIFFERENCE BETWEEN SALARY AND WAGE
ON A PER HOUR BASIS.
223094 - REFERS TO THE PARTICULAR AMOUNT OF MONEY
AN EMPLOYEE IS PAID PRIOR TO THE APPLICATION OF ANY BASIC SALARY OR WAGES
ADDITIONS.
1. FIXED RATE OR FIXED SALARY PER MONTH OR PER
223095 - METHODS BY WHICH BASIC WAGES CAN BE PAID ANNUM
OUT (2 ITEMS) 2. PIECE RATE OR PIECE WORK
3. TIME RATE OR TIME WORK
223096 - IS A METHOD OF PAYING BASIC WAGES WHERE THE
EMPLOYEES EARN A FIXED AMOUNT DESPITE THE AMOUNT FIXED RATE OR FIXED SALARY PER MONTH OR PER ANNUM
OF WORK DONE.
223097 - IS A METHOD OF PAYING BASIC WAGES WHERE THE
EARNINGS DEPEND ON THE LEVEL OF ACTIVITY OR OUTPUT PIECE RATE OR PIECE WORK
ACHIEVED.
223098 - IS A PIECE RATE METHOD OF PAYING BASIC WAGES
WHERE THE BASIC RATE PER UNIT REMAINS CONSTANT STRAIGHT PIECE RATE
IRRESPECTIVE OF THE NUMBER OF UNITS PRODUCED.
223099 - FORMULA FOR EARNINGS UNDER STRAIGHT PIECE
EARNINGS = OUTPUT IN UNITS * BASIC RATE PER UNIT
RATE
223100 - IS A PIECE RATE METHOD OF PAYING BASIC WAGES
WHERE , ALTHOUGH THE EMPLOYEE IS PAID ON THE
NUMBER OF UNITS PRODUCED, ONE IS GUARANTEED OF
STRAIGHT PIECE RATE WITH A GUARANTEED MINIMUM PAY
SOME MAIN WAGE SINCE THERE ARE OCCASIONS WHEN
PRODUCTION DOES NOT TAKE PLACE DUE TO POWER
FAILURES, MACHINE BREAKDOWNS, ETC.
223101 - IS A PIECE RATE METHOD OF PAYING BASIC WAGES
WHERE THE EMPLOYEES' BASIC RATE OF PAY PER UNIT
DIFFERENTIAL PIECE RATE
CHANGES AS THE LEVEL OF ACTIVITY CHANGES (USUALLY
DIRECT RELATIONSHIP).
223102 - IS A METHOD OF PAYING BASIC WAGES WHERE
EMPLOYEES' EARNINGS DEPEND ON THE TIME SPENT ON TIME RATE OR TIME WORK
THE JOB.
223103 - IS A TIME RATE METHOD OF PAYING BASIC WAGES
WHERE THE BASIC RATE PER HOUR REMAINS CONSTANT FLAT TIME RATE
IRRESPECTIVE OF THE NUMBER OF HOURS WORKED.
223104 - IS A TIME RATE METHOD OF PAYING BASIC WAGES
WHERE, ALTHOUGH THE EMPLOYEE IS PAID ON THE BASIS
OF THE NUMBER OF HOURS WORKED, BEFORE SUCH MEASURED DAY RATE
PAYMENT IS MADE, ONE MUST HAVE COMPLETED A GIVEN
PIECE OF ASSIGNMENT.
223105 - IS THE COPENSATION PAID TO EMPLOYEES IN
ADDITION TO NORMAL WAGES FOR HOURS WORKED IN
OVERTIME PREMIUM
EXCESS OF NORMAL WORKING HOURS (TREATED AS
INDIRECT LABOR).
223106 - IS THE PAYMENT OF LABOR OVER AND ABOVE THE
STANDARD RATE WHEN THEY WORK ON SHIFTS ESPECIALLY
SHIFT PREMIUM
DURING NIGHTS OR PERIODS OUTSIDE THE NORMAL
WORKING HOURS (TREATED AS INDIRECT LABOR).
223107 - IS A PAYMENT IN ADDITION TO THE AMOUNT
CONTRACTED FOR (BASIC PAY), IN MOST CASES BASED ON
BONUS PAYMENTS
THE LEVEL OF PERFORMANCE OR PROFITABILITY. IT IS PAID
TO ENCOURAGE EMPLOYEES TO BE MORE EFFICIENT.
223108 - IS THE NONPRODUCTIVE TIME PAID FOR (E.G.,
WORKERS ARE STILL PAID THOUGH NO PRODUCTION IS
IDLE TIME
CONTINUING DUE TO POWER FAILURE OR MACHINE
BREAKDOWN). IT IS TREATED AS PERIOD COST.
223109 - FORMULA FOR IDLE TIME RATIO IDLE TIME RATIO = IDLE TIME / TOTAL HOURS WORKED
223110 - IS THE NUMBER OF EMPLOYEES LEAVING OR BEING
LABOR TURNOVER
RECRUITED IN A PERIOD OF TIME.
LABOR TURNOVER = REPLACEMENT / AVERAGE NUMBER OF
223111 - FORMULA FOR LABOR TURNOVER
EMPLOYEES IN A PERIOD
223112 - ARE COSTS OF LABOR TURNOVER WHICH REFER TO
COSTS INCURRED AS A RESULT OF HIRING A NEW REPLACEMENT COSTS
EMPLOYEE.
223113 - ARE COSTS OF LABOR TURNOVER WHICH REFER TO
COSTS INCURRED IN ORDER TO PREVENT EMPLOYEES PREVENTIVE COSTS
FROM LEAVING THE ORGANIZATION.
223114 - IS ONE OF THE DEPARTMENTS INVOLVED IN THE
ACCUMULATION OF LABOR COSTS AND IS THE ONE
RESPONSIBLE FOR ENGAGEMENT, DISCHARGE, AND PERSONNEL DEPARTMENT
TRANSFER OF EMPLOYEES, CLASSIFICATION AND METHOD
OF REMUNERATION.
223115 - IS ONE OF THE DEPARTMENTS INVOLVED IN THE
ACCUMULATION OF LABOR COSTS AND IS THE ONE
PRODUCTION PLANNING DEPARTMENT
RESPONSIBLE FOR SCHEDULING WORK AND ISSUING JOB
ORDERS TO THE PRODUCTION DEPARTMENT.
223116 - IS ONE OF THE DEPARTMENTS INVOLVED IN THE
ACCUMULATION OF LABOR COSTS AND IS THE ONE
RESPONSIBLE FOR RECORDING THE ATTENDANCE TIME AND TIME KEEPING DEPARTMENT
JOB TIME (I.E., TIME SPENT BY EACH WORKER IN A FACTORY
AND TIME SPENT BY EACH WORKER ON EACH JOB).
223117 - IS A DOCUMENT ON WHICH THE STARTING AND
FINISHING TIME OF AN EMPLOYEE IS RECORDED FOR THE CLOCK CARD
ASCERTAINMENT OF HIS TOTAL ACTUAL ATTENDANCE TIME.
223118 - IS A DOCUMENT THAT RECORDS TIME SPENT ON A
JOB CARD
JOB.
223119 - IS A RECORD OF HOW A PERSON'S TIME HAS BEEN
SPENT DAILY OR WEEKLY (COMMONLY USED BY INDIRECT TIME SHEET
WORKERS).
223120 - IS ONE OF THE DEPARTMENTS INVOLVED IN THE
ACCUMULATION OF LABOR COSTS AND IS THE ONE
WAGES DEPARTMENT
RESPONSIBLE FOR PREPARING THE PAYROLL AND THE
PAYMENT OF WAGES.
223121 - IS ONE OF THE DEPARTMENTS INVOLVED IN THE
ACCUMULATION OF LABOR COSTS AND IS THE ONE
COST ACCOUNTING DEPARTMENT
RESPONSIBLE FOR THE ACCUMULATION AND
CLASSIFICATION OF ALL COSTS.
223122 - IS THE FIRST STEP IN DETERMINING HOW TO TREAT
OVERHEAD ANALYSIS
OVERHEADS.
223123 - IS THE PROCESS BY WHICH OVERHEADS (WHETHER
VARIABLE OR FIXED) ARE ABSORBED INTO PRODUCTION ABSORPTION COSTING
(FULL COSTING).
223124 - ARE DEPARTMENTS THAT PROVIDE SERVICES TO
PRODUCTION DEPARTMENTS. THEY DO NOT PROVIDE SERVICE COST CENTERS OR DEPARTMENTS
PRODUCTS TO BE USED EXTERNALLY.
1. STOCK VALUATION
223125 - REASONS FOR COMPILING PRODUCT COSTS (3
2. PRODUCT PRICING
ITEMS)
3. DECISION MAKING
223126 - POSSIBLE BASIS OF APPORTIONMENT:
MACHINE TIME OR NUMBER OF HOURS SPENT
MAINTENANCE
223127 - POSSIBLE BASIS OF APPORTIONMENT:
VALUE OF ASSETS AND EXPOSURE TO RISK
INSURANCE/DEPRECIATION OF ASSETS
223128 - POSSIBLE BASIS OF APPORTIONMENT: RENT SIZE OF THE SPACE OCCUPIED (FLOOR AREA)
223129 - POSSIBLE BASIS OF APPORTIONMENT: SALARIES NUMBER OF EMPLOYEES
223130 - POSSIBLE BASIS OF APPORTIONMENT: CANTEEN
NUMBER OF PEOPLE
COSTS
223131 - POSSIBLE BASIS OF APPORTIONMENT: STORES
NUMBER OF REQUESTS
COST
223132 - POSSIBLE BASIS OF APPORTIONMENT: INSPECTION NUMBER OF HOURS SPENT
223133 - IS THE PROCESS BY WHICH THE WHOLE COST
ITEMS ARE CHARGED DIRECTLY TO A COST UNIT OR AS A ALLOCATION OF OVERHEADS
COST CENTER.
223134 - OCCURES WHERE THE TOTAL VALUE OF AN
OVERHEAD ITEM IS SHARED BETWEEN TWO OR MORE COST APPORTIONMENT OF OVERHEADS
CENTERS THAT USE THE OVERHEADS.
1. DIRECT METHOD
223135 - METHODS OF ALLOCATION AND APPORTIONMENT 2. ALGEBRAIC APPROACH
OF OVERHEAD COSTS (3 ITEMS) 3. ELIMINATION METHOD OR STEPWISE (STEP DOWN)
METHOD
223136 - IS A METHOD OF ALLOCATION AND
APPORTIONMENT OF OVERHEAD COSTS WHERE COSTS OF
DIRECT METHOD
EACH SERVICE DEPARTMENT ARE ONLY CHARGED TO
PRODUCTION CENTERS.
223137 - IS A METHOD OF ALLOCATION AND
APPORTIONMENT OF OVERHEAD COSTS THAT RECOGNIZES
ALGEBRAIC METHOD
THE RECIPROCAL NATURE OF SERVICE DEPARTMENTS AND
EXPRESSES IT AS AN EQUATION.
223138 - IS A METHOD OF ALLOCATION AND
APPORTIONMENT OF OVERHEAD COSTS WHICH MHICH
ALLOCATES SERVICE COSTS TO OPERATING DEPARTMENTS
AND OTHER SERVICE DEPARTMENTS IN A SEQUENTIAL
ELIMINATION METHOD OR STEPWISE METHOD
PROCESS (I.E., SERVICE DEPARTMENT WITH HIGHEST TO
LOWEST COST NOT ALLOWING COSTS TO BE ALLOCATED
BACK TO A DEPARTMENT THAT HAS ALREADY HAD ALL OF
ITS COSTS ALLOCATED).
223139 - ARISES WHEN THE ABSORBED OVERHEADS ARE
MORE THAN THE ACTUAL OVERHEADS INCURRED
OVER ABSORPTION
(OVERESTIMATION OF OVERHEAD USED TO CALCULATE THE
ABSORPTION RATE).
223140 - OCCURS WHEN THE OVERHEADS CHARGED TO THE
COST OF SALES ARE LESS THAN THE ACTUAL OVERHEADS UNDER ABSORPTION
INCURRED.
1. PURCHASE OF RAW MATERIALS
223141 - MAIN ACTIVITIES OF A MANUFACTURING CONCERN
2. CONVERSION OF RAW MATERIALS INTO FINISHED GOODS
(3 ITEMS)
3. SALE OF THE FINISHED GOODS
1. DIRECT MATERIALS
223142 - ELEMENTS OF PRODUCTION COST (3 ITEMS) 2. DIRECT LABOR
3. FACTORY OVERHEAD
1. ACTUAL
223143 - COSTING SYSTEMS (3 ITEMS) 2. NORMAL
3. STANDARD
 223144 - IS A COSTING SYSTEM WHERE ALL PRODUCTION
ACTUAL COST SYSTEM
COSTS ARE MEASURED AT ACTUAL COSTS.
223145 - IS A COSTING SYSTEM WHERE DIRECT MATERIALS
AND DIRECT LABOR ARE MEASURED AT ACTUAL COSTS
NORMAL COST SYSTEM
WHILE FACTORY OVERHEAD IS MEASURED USING A
PREDETERMINED RATE (APPLIED).
223146 - IS A COSTING SYSTEM WHERE ALL PRODUCTION
STANDARD COST SYSTEM
COSTS ARE MEASURED AT STANDARD COSTS
1. FORMS
223147 - COMPONENTS OF AN ACCOUNTING SYSTEM (3 2. EQUIPMENT
ITEMS) 3. PROCEDURES
4. PEOPLE
223148 - ARE THE DOCUMENTS ON WHICH DATA IS
FORMS
RECORDED (E.G., INVOICES, CHECKS, JOURNALS, ETC.).
223149 - CONSISTS OF DEVICES AND MACHINES SUCH AS
PENS, FILE CABINETS, ADDING MACHINES, CASH REGISTERS EQUIPMENT
AND COMPUTERS.
223150 - ARE SERIES OF OPERATIONS OR STEPS THAT MUST
PROCEDURES
BE PERFORMED TO COMPLETE A TASK.
223151 - IS A LISTING OF ALL ACCOUNTS USED IN THE
CHART OF ACCOUNTS
GENERAL LEDGER OF AN ORGANIZATION.
223152 - IS AN ACCOUNT USED TO RECORD THE BALANCES
ON A NUMBER OF SUBSIDIARY ACCOUNTS AND TO PROVIDE CONTROL ACCOUNT
A CROSS-CHECK ON THEM.
223153 - IS ONE OF THE MEANS OF ESTABLISHING INTERNAL
CONTROL OVER THE EXPENDITURES OF THE BUSINESS.
UNDER IT, DIFFERENT PERSONS ARE RESPONSIBLE FOR VOUCHER SYSTEM
AUTHORIZING THE EXPENDITURE, RECEIVING THE ASSETS
OR SERVICES, PREPARING AND SIGNING THE CHECKS.
223154 - IS A FORM OR DOCUMENT WHICH CONTAINS A
DESCRIPTION OF TRANSACTION INVOLVING THE PAYMENT
OF CASH IMMEDIATELY OR IN THE FUTURE, AND THE VOUCHER
AUTHORIZATION TO MAKE THE PAYMENT AND TO
JOURNALIZE THE TRANSACTION.
1. PAID VOUCHERS FILE
223155 - FILES KEPT FOR THE VOUCHERS (2 ITEMS)
2. UNPAID VOUCHERS FILE
223156 - ARE VOUCHERS USUALLY FILED IN NUMERICAL
PAID VOUCHERS
ORDER.
223157 - ARE VOUCHERS FILED PREFERABLY ACCORDING TO
THE DATE ON WHICH THE DISCOUNT PERIOD ENDS OR UNPAID VOUCHERS
PAYMENT IS DUE.
223158 - IS A COLUMNAR SPECIAL JOURNAL OR BOOK OF
ORIGINAL ENTRY IN WHICH EVERY VOUCHER AND ITS VOUCHER REGISTER
DISTRIBUTION ARE RECORDED.
223159 - IS THE BASIS OF PREPARING A VOUCHER. INVOICE OR OTHER BUSINESS DOCUMENT
223160 - IS THE BASIS OFOR MAKING AN ENTRY IN THE
VOUCHER
VOUCHER REGISTER.
223161 - IS REPLACED BY THE VOUCHER REGISTER UNDER
PURCHASES JOURNAL
THE VOUCHER SYSTEM.
223162 - IS A RECORD OF ALL CHECKS ISSUED. CHECK REGISTER
223163 - IS REPLACED BY THE CHECK REGISTER UNDER THE
CASH PAYMENTS JOURNAL
VOUCHER SYSTEM.
223164 - CONTROL ACCOUNT : MATERIALS, SUBSIDIARY
MATERIALS LEDGER CARDS (PERPETUAL INVENTORY)
LEDGER OR RECORD : __________
223165 - CONTROL ACCOUNT : FACTORY OVERHEAD, EXPENSE LEDGER OR DEPARTMENT EXPENSE SHEET
SUBSIDIARY LEDGER OR RECORD : __________ ANALYSIS
223166 - CONTROL ACCOUNT : WORK-IN-PROCESS, - COST SHEETS (JOB ORDER COSTING)
SUBSIDIARY LEDGER OR RECORD : __________ - PRODUCTION REPORT (PROCESS COSTING)
223167 - CONTROL ACCOUNT : FINISHED GOODS,
FINISHED GOODS LEDGER CARDS
SUBSIDIARY LEDGER OR RECORD : __________
223168 - CONTROL ACCOUNT : MACHINERY AND EQUIPMENT,
PLANT LEDGERS
SUBSIDIARY LEDGER OR RECORD : __________
 223169 - JOURNAL ENTRY FOR PURCHASE OF RAW
DR. MATERIALS; CR. VOUCHERS PAYABLE
MATERIALS
223170 - JOURNAL ENTRY FOR PURCHASE RETURNS AND
DR. VOUCHERS PAYABLE; CR. MATERIALS
ALLOWANCES
223171 - JOURNAL ENTRY FOR PAYMENT OF ACCOUNTS
DR. VOUCHERS PAYABLE; CR. MATERIALS, CASH
WITH DISCOUNT
223172 - JOURNAL ENTRY FOR FREIGHT-IN FOR RAW
DR. MATERIALS; CR. VOUCHERS PAYABLE
MATERIALS
223173 - JOURNAL ENTRY FOR ISSUANCE OF DIRECT DR. WORK-IN-PROCESS CONTROL - DIRECT MATERIALS; CR.
MATERIALS TO PRODUCTION MATERIALS
223174 - JOURNAL ENTRY FOR ISSUANCE OF INDIRECT
DR. FACTORY OVERHEAD CONTROL; CR. MATERIALS
MATERIALS TO PRODUCTION
223175 - JOURNAL ENTRY FOR EXCESS RAW MATERIALS DR. MATERIALS; CR. WORK-IN-PROCESS CONTROL - DIRECT
RETURNED TO STORE ROOM FROM PRODUCTION MATERIALS
DR. PAYROLL; CR. WITHHOLDING TAX PAYABLE, SSS AND
223176 - JOURNAL ENTRY FOR PAYROLL ASSEMBLY
MEDICARE PREMIUMS PAYABLE, VOUCHERS PAYABLE
DR. WORK-IN-PROCESS CONTROL - DIRECT LABOR,
223177 - JOURNAL ENTRY FOR PAYROLL ACCOUNT FACTORY OVERHEAD CONTROL, SELLING EXPENSES
DISTRIBUTION CONTROL, ADMINISTRATIVE EXPENSES CONTROL; CR.
PAYROLL
223178 - TREATMENT FOR OVERTIME PREMIUM IF THE JOB IS
OVERTIME PREMIUM IS CHARGED TO PRODUCT (DR. WORK-
TAKEN AS A RUSH ORDER WITH THE KNOWLEDGE THAT
IN-PROCESS; CR. PAYROLL)
OVERTIME WILL BE NECESSARY
223179 - TREATMENT FOR OVERTIME PREMIUM WHEN THE OVERTIME PREMIUM IS CHARGED TO FACTORY OVERHEAD
REGULAR ORDERS CANNOT BE COMPLETED WITHIN CONTROL ACCOUNT (DR. FACTORY OVERHEAD CONTROL;
REGULAR WORKING HOURS CR. PAYROLL)
223180 - JOURNAL ENTRY FOR APPLIED FACTORY DR. WORK-IN-PROCESS CONTROL - FACTORY OVERHEAD;
OVERHEAD CR. APPLIED FACTORY OVERHEAD
DR. FACTORY OVERHEAD CONTROL; CR. VOUCHERS
223181 - JOURNAL ENTRY FOR ACTUAL FACTORY OVERHEAD
PAYABLE
223182 - JOURNAL ENTRY FOR COST OF COMPLETED GOODS
DR. FINISHED GOODS; CR. WORK-IN-PROCESS CONTROL
FOR THE PERIOD
223183 - JOURNAL ENTRY FOR SALES OF GOODS ON
DR. ACCOUNTS RECEIVABLE; CR. SALES
ACCOUNT
223184 - JOURNAL ENTRY FOR RECOGNITION OF COST OF
DR. COST OF GOODS SOLD; CR. FINISHED GOODS
GOODS SOLD
DR. APPLIED FACTORY OVERHEAD, UNDER-APPLIED
223185 - JOURNAL ENTRY FOR CLOSING OF OVERHEAD FACTORY OVERHEAD (BALANCING FIGURE); CR. FACTORY
ACCOUNTS OVERHEAD CONTROL, OVER-APPLIED FACTORY OVERHEAD
(BALANCING FIGURE)
223186 - JOURNAL ENTRY FOR CLOSING OF UNDER-APPLIED DR. COST OF GOODS SOLD; CR. UNDER-APPLIED FACTORY
FACTORY OVERHEAD OVERHEAD
223187 - JOURNAL ENTRY FOR CLOSING OF OVER-APPLIED DR. OVER-APPLIED FACTORY OVERHEAD; CR. COST OF
FACTORY OVERHEAD GOODS SOLD
THE OVER- OR UNDER-APPLICATION SHOULD BE CLOSED
NOT ONLY TO THE COST OF GOODS SOLD BUT ALSO TO
223188 - RULE IF OVER- OR UNDER-APPLICATION OF
FINISHED GOODS AND WORK-IN-PROCESS IN PROPORTION
FACTORY OVERHEAD IS MATERIAL
TO THEIR BALANCES BEFORE THE CLOSING OF OVER- OR
UNDER-APPLICATION OF FACTORY OVERHEAD.
223189 - SYSTEMS USED IN THE ACCUMULATION OF COSTS 1. JOB ORDER COSTING
(2 ITEMS) 2. PROCESS COSTING
223190 - IS A SYSTEM USED IN ACCUMULATION OF COSTS
WHERE EACH JOB IS TRATED AS AN ACCOUNTING UNIT IN
WHICH MATERIALS, LABOR AND FACTORY OVERHEAD
JOB ORDER COSTING
COSTS ARE ASSIGNED BY MEANS OF JOB ORDER NUMBERS
(USUALLY USED BY LOW VOLUME, HIGH VARIETY
MANUFACTURING COMPANIES).
223191 - IS A DOCUMENT WHERE THE COST OF EACH ORDER
FOR A GIVEN CUSTOMER OR THE COST OF EACH LOT TO BE JOB COST SHEET
PLACED IN STOCK IS RECORDED.
1. PREVENTION COSTS
223192 - CLASSIFICATIONS OF QUALITY COSTS (3 ITEMS) 2. APPRAISAL COSTS
3. FAILURE COSTS
 223193 - ARE COSTS INCURRED TO PREVENT PRODUCT
PREVENTION COSTS
FAILURE.
223194 - ARE COSTS INCURRED IN ORDER TO DETECT
APPRAISAL COSTS
PRODUCT FAILURE.
223195 - ARE COSTS INCURRED WHEN A PRODUCT FAILS
AND DOES NOT MEET THE REQUIRED STANDARDS FOR FAILURE COSTS
QUALITY.
223196 - CONSISTS OF RECYCLABLE MATERIALS LEFT OVER
SCRAP MATERIALS
FROM PRODUCT MANUFACTURING OR CONSUMPTION.
223197 - JOURNAL ENTRY FOR SCRAP SALES VIEWED AS DR. CASH (OR ACCOUNTS RECEIVABLE); CR. SCRAP SALES
ADDITIONAL REVENUE (OR OTHER INCOME)
223198 - JOURNAL ENTRY FOR SCRAP SALES VIEWED AS A DR. CASH (OR ACCOUNTS RECEIVABLE); CR. COST OF
REDUCTION OF COST OF GOODS SOLD DURING THE PERIOD GOODS SOLD
223199 - JOURNAL ENTRY FOR SCRAP SALES VIEWED AS A
DR. CASH; (OR ACCOUNTS RECEIVABLE) CR. FACTORY
REDUCTION OF THE FACTORY OVERHEAD INCURRED FOR
OVERHEAD CONTROL
THE PERIOD
223200 - JOURNAL ENTRY FOR SCRAP SALES WHEN SCRAP DR, CASH (OR ACCOUNTS RECEIVABLE); CR. WORK-IN-
IS DIRECTLY TRACEABLE TO A PARTICULAR JOB PROCESS
223201 - ARE GOODS THAT HAVE BEEN DESTROYED (AT
SOME POINT IN THE PRODUCTION PROCESS OR AFTER SPOILED GOODS
COMPLETION) AND CANNOT BE REPAIRED.
223202 - IS THE PROCESS OF CORRECTING DEFECTIVE
GOODS IN ORDER TO BRING THEM INTO A SALEABLE REWORK
CONDITION
223203 - ACCOUNTING TREATMENT FOR SPOILED GOODS 1. CHARGED TO A PARTICULAR JOB
AND REWORK (2 ITEMS) 2. CHARGED TO ALL PRODUCTION
223204 - NORMALLY CAUSED BY SOME ACTION TAKEN BY
THE CUSTOMER SUCH AS MODIFICATIONS AFTER THE JOB
SPOILAGE OR REWORK CHARGED TO A PARTICULAR JOB
WAS BEGAN OR AN IMPOSITION OF HIGH QUALITY
STANDARDS BY THE CUSTOMER.
223205 - NORMALLY ARISES BECAUES OF INTERNAL FAILURE
SUCH AS AN EMPLOYEE ERROR OR WORN-OUT MACHINERY SPOILAGE OR REWORK CHARGED TO ALL PRODUCTION
WHICH HAPPENED DURING THE PRODUCTION.
223206 - MEASUREMENT OF SPOILED GOODS INVENTORY MEASURED AT SCRAP VALUE
DR. SPOILED GOODS INVENTORY, FINISHED GOODS (COST
223207 - JOURNAL ENTRY FOR COMPLETION OF JOB WITH
OF JOB - SCRAP VALUE OF SPOILED GOODS); CR. WORK-IN-
SPOILED GOODS CHARGED TO A PARTICULAR JOB
PROCESS
DR. SPOILED GOODS INVENTORY, FACTORY OVERHEAD
223208 - JOURNAL ENTRY FOR COMPLETION OF JOB WITH
CONTROL (COST OF SPOILED GOODS - SCRAP VALUE),
SPOILED GOODS CHARGED TO ALL PRODUCTION
FINISHED GOODS INVENTORY; CR. WORK-IN-PROCESS
223209 - JOURNAL ENTRY FOR REWORK CHARGED TO A DR. WORK-IN-PROCESS; CR. MATERIALS, PAYROLL, APPLIED
PARTICULAR JOB FACTORY OVERHEAD
223210 - JOURNAL ENTRY FOR REWORK CHARGED TO ALL DR. FACTORY OVERHEAD CONTROL; CR. MATERIALS,
PRODUCTION PAYROLL, APPLIED FACTORY OVERHEAD
223211 - IS A SYSTEM USED IN ACCUMULATION OF COSTS
USED WHEN PRODUCTS ARE MANUFACTURED UNDER
PROCESS COSTING
CONDITIONS OF CONTINUOUS PROCESSING OR UNDER
MASS PRODUCTION METHODS.
1. SEQUENTIAL
223212 - FORMS OF PRODUCTION FLOW (3 ITEMS) 2. PARALLEL
3. SELECTIVE
223213 - IS A FORM OF PRODUCTION FLOW WHERE EACH
ITEM MANUFACTURED GOES THROUGH THE SAME SET OF SEQUENTIAL PRODUCTION FLOW
OPERATIONS.
223214 - IS A FORM OF PRODUCTION FLOW WHERE CERTAIN
PORTIONS OF THE WORK ARE DONE SIMULTANEOUSLY AND
THEN BROUGHT TOGETHER IN A FINAL PROCESS OR PARALLEL PRODUCTION FLOW
PROCESSES FOR COMPLETION AND TRANSFER TO FINISHED
GOODS INVENTORY.
223215 - IS A FORM OF PRODUCTION FLOW WHERE THE
PRODUCT MOVES TO DIFFERENT DEPARTMENTS WITHIN
SELECTIVE PRODUCTION FLOW
THE PLANT, DEPENDING UPON THE DESIRED FINAL
PRODUCT.
223216 - JOURNAL ENTRY FOR ISSUANCE OF MATERIALS TO
DR. WORK-IN-PROCESS - DEPARTMENT A; CR. MATERIALS
A DEPARTMENT UNDER PROCESS COSTING
223217 - JOURNAL ENTRY FOR LABOR COSTS UNDER
DR. WORK-IN-PROCESS - DEPARTMENT A; CR. PAYROLL
PROCESS COSTING
223218 - JOURNAL ENTRY FOR FACTORY OVERHEAD COSTS DR. WORK-IN-PROCESS - DEPARTMENT A; CR. FACTORY
UNDER PROCESS COSTING OVERHEAD CONTROL
223219 - JOURNAL ENTRY FOR TRANSFER OF PRODUCT
DR. WORK-IN-PROCESS - DEPARTMENT B; CR. WORK-IN-
UNITS FROM ONE DEPARTMENT TO ANOTHER UNDER
PROCESS - DEPARTMENT A
PROCESS COSTING
223220 - JOURNAL ENTRY FOR TRANSFER FROM ONE DR. WORK-IN-PROCESS DEPARTMENT - B, FACTORY
DEPARTMENT TO ANOTHER WITH ABNORMAL SPOILAGE OVERHEAD CONTROL - ABNORMAL SPOILAGE; CR. WORK-IN-
UNDER PROCESS COSTING PROCESS - DEPARTMENT A
223221 - JOURNAL ENTRY FOR TRANSFER OF COMPLETED
DR. FINISHED GOODS; CR. WORK-IN-PROCESS -
PRODUCT UNITS FROM FINAL PROCESSING DEPARTMENT
DEPARTMENT B
TO FINISHED GOODS
223222 - SUMMARIZES THE PRODUCTION AND COST
ACTIVITY WITHIN A DEPARTMENT FOR A REPORTING COST OF PRODUCTION REPORT
PERIOD.
223223 - MAIN PARTS OF A COST OF PRODUCTION REPORT (2 1. QUANTITY SCHEDULE
ITEMS) 2. COST ANALYSIS
Dataset ID ID2 Topic Topic2 Front Front2 Back
1 101001 101001 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
THERE
CYCLE
ARE __________
THERE BASIC
ARE __________
STEPS
10;INRECORDING;
THE
BASIC
ACCOUNTING
STEPS
SUMMARIZING
IN THE
CYCLE,
ACCOUNTING
WHICH INCLUDES
CYCLE, WHICH
2 PHASES
INCLUDES
KNOWN2 AS
PHASES
__________
KNOWNAND
AS __________
__________.AND __________.
1. ANALYZING THE TRANSACTION
2. JOURNALIZING
3. POSTING
4. UNADJUSTED TRIAL BALANCE
5. ADJUSTING ENTRIES
6. ADJUSTED TRIAL BALANCE
7. FINANCIAL STATEMENTS
8. CLOSING ENTRIES
9. POST-CLOSING TRIAL BALANCE
2 101002 101002 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
STEPS
CYCLE
IN THE SUMMARIZING
STEPS IN THEPHASE
SUMMARIZING
10.
OFREVERSING
ACCOUNTING
PHASE
ENTRIES
OF
CYCLE
ACCOUNTING
(7 ITEMS) CYCLE (7 ITEMS)
3 101003 101003 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
THIS
CYCLE
IS WHERE THE
THIS
ACCOUNTANT
IS WHERE THE
GATHERS
ANALYZING
ACCOUNTANT
INFORMATION
THE TRANSACTION
GATHERS
FROM
INFORMATION
SOURCE DOCUMENTS
FROM SOURCE
ANDDOCUMENTS
DETERMINESAND
THEDETERMINES
IMPACT OF THE
THETRANSACTION
IMPACT OF THE
ONTRANSACTION
THE FINANCIAL
ONPOSITION.
THE FINANCIAL POSITION.
4 101004 101004 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
THIS
CYCLE
IS THE PROCESS
THISOF
IS RECORDING
THE PROCESS
JOURNALIZING
THE
OF TRANSACTIONS
RECORDING THEINTRANSACTIONS
THE APPROPRIATE
IN THE
JOURNALS.
APPROPRIATE JOURNALS.
5 101005 101005 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
IS ACYCLE
CHRONOLOGICAL
IS A CHRONOLOGICAL
RECORD OF TRANSACTIONS
JOURNAL
RECORD OFALSO
TRANSACTIONS
KNOWN AS ALSO
THE BOOK
KNOWN
OF ORIGINAL
AS THE BOOK
ENTRY.
OF ORIGINAL ENTRY.
6 101006 101006 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
IS ACYCLE
JOURNAL WHERE
IS A JOURNAL
ALL TRANSACTIONS
WHERE
GENERAL
ALLCOULD
TRANSACTIONS
JOURNAL
BE RECORDED.
COULD BE RECORDED.
7 101007 101007 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
ARE
CYCLE
JOURNALS USED
ARE IN
JOURNALS
RECORDING
USED
SPECIAL
LARGE
IN RECORDING
JOURNALS
NUMBERSLARGE
OF LIKENUMBERS
TRANSACTIONS.
OF LIKE TRANSACTIONS.
1. SALES JOURNAL
2. CASH RECEIPTS JOURNAL
3. PURCHASES JOURNAL
8 101008 101008 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
USUAL
CYCLE
EXAMPLESUSUAL
OF SPECIAL
EXAMPLES
JOURNALS
4.
OFCASH
SPECIAL
(4 DISBURSEMENTS
ITEMS)
JOURNALS (4 JOURNAL
ITEMS)
9 101009 101009 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
IS ACYCLE
SPECIAL JOURNAL
IS A SPECIAL
WHEREJOURNAL
ONLY
SALES
SALES
WHERE
JOURNAL
OF MERCHANDISE
ONLY SALES OF
ONMERCHANDISE
ACCOUNT AREON
RECORDED.
ACCOUNT ARE RECORDED.
10 101010 101010 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
IS ACYCLE
SPECIAL JOURNAL
IS A SPECIAL
WHEREJOURNAL
ALL CASH
TYPESWHERE
RECEIPTS
OF CASH
ALLJOURNAL
RECEIPTS
TYPES OFARE
CASH
RECORDED.
RECEIPTS ARE RECORDED.
11 101011 101011 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
IS ACYCLE
SPECIAL JOURNAL
IS A SPECIAL
USED TOJOURNAL
RECORD
PURCHASES
USED
ALL PURCHASES
TO
JOURNAL
RECORDON
ALLACCOUNT
PURCHASES
OF ON
MERCHANDISE,
ACCOUNT OFEQUIPMENT,
MERCHANDISE,
SUPPLIES,
EQUIPMENT,
ETC. SUPPLIES, ETC.
12 101012 101012 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
IS ACYCLE
SPECIAL JOURNAL
IS A SPECIAL
WHEREJOURNAL
ALL CASH
PAYMENTS
WHERE
DISBURSEMENTS
OFALL
CASH
PAYMENTS
FOR
JOURNAL
ANYOF
PURPOSE
CASH FOR
ARE
ANY
RECORDED.
PURPOSE ARE RECORDED.
1. SIMPLE JOURNAL ENTRY
13 101013 101013 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
TYPES
CYCLE
OF JOURNAL
TYPES
ENTRIES
OF JOURNAL
ACCORDING
2.ENTRIES
COMPOUND
TO FORM
ACCORDING
JOURNAL
(2 ITEMS)
TOENTRY
FORM (2 ITEMS)
14 101014 101014 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
IS ACYCLE
TYPE OF JOURNAL
IS A TYPE
ENTRY
OF WHICH
JOURNAL
SIMPLE
CONTAINS
ENTRY
JOURNAL
WHICH
A SINGLE
ENTRY
CONTAINS
DEBIT AND
A SINGLE
A SINGLE
DEBIT
CREDIT
AND AELEMENT.
SINGLE CREDIT ELEMENT.
15 101015 101015 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
IS ACYCLE
TYPE OF JOURNAL
IS A TYPE
ENTRY
OF WHICH
JOURNAL
COMPOUND
HAS
ENTRY
TWOWHICH
JOURNAL
OR MORE
HASENTRY
ELEMENTS
TWO OR MORE
IN EITHER
ELEMENTS
OR BOTH
IN EITHER
DEBIT AND
OR BOTH
CREDIT
DEBIT
SIDESAND
ANDCREDIT
OFTENSIDES
REPRESENTS
AND OFTEN
TWOREPRESENTS
OR MORE TRANSACTIONS.
TWO OR MORE TRANSACTIONS.
16 101016 101016 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
ARE
CYCLE
THE STORAGEARE
UNITS
THEOF
STORAGE
ACCOUNTING
ACCOUNTS
UNITS OF
INFORMATION
ACCOUNTING
AND
INFORMATION
USED TO SUMMARIZE
AND USEDCHANGES
TO SUMMARIZE
IN ASSETS,
CHANGES
LIABILITIES
IN ASSETS,
AND EQUITY
LIABILITIES
INCLUDING
AND EQUITY
INCOME
INCLUDING
AND EXPENSES.
INCOME AND EXPENSES.
17 101017 101017 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
ARE
CYCLE
THE STATEMENT
ARE OF
THEFINANCIAL
STATEMENT
REAL
POSITION
OF
ACCOUNTS
FINANCIAL
OR SO CALLED
POSITION
PERMANENT
OR SO CALLED
ACCOUNTS.
PERMANENT
THESEACCOUNTS.
ACCOUNTSTHESE
ARE NOT
ACCOUNTS
CLOSED ARE
ANDNOT
CARRYOVER
CLOSED AND
TO THE
CARRYOVER
NEXT ACCOUNTING
TO THE NEXT
PERIOD.
ACCOUNTING
(EX. CASH,
PERIOD.
AR AND
(EX.
PPE)
CASH, AR AND PPE)
18 101018 101018 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
ARE
CYCLE
THE INCOMEARE
STATEMENT
THE INCOME
OR TEMPORARY
NOMINAL
STATEMENT
ACCOUNTS
CAPITAL
OR TEMPORARY
ACCOUNTS.
CAPITAL
THESEACCOUNTS.
ACCOUNTSTHESE
ARE CLOSED
ACCOUNTS
AT THE
AREEND
CLOSED
OF THE
AT ACCOUNTING
THE END OF THE
PERIOD.
ACCOUNTING
(EX. SALES
PERIOD.
AND EXPENSES)
(EX. SALES AND EXPENSES)
19 101019 101019 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
WHILE
CYCLE
STILL UNADJUSTED,
WHILE STILL
REPRESENTS
UNADJUSTED,
MIXEDA ACCOUNT
COMBINATION
REPRESENTS AOFCOMBINATION
REAL AND NOMINAL
OF REALACCOUNTS.
AND NOMINAL
(EX. PREPAID
ACCOUNTS.
EXPENSES)
(EX. PREPAID EXPENSES)
20 101020 101020 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
IS THE
CYCLE
GENERAL LEDGER
IS THE GENERAL
ACCOUNTLEDGER
CONTROL
THAT SUMMARIZES
ACCOUNT
ACCOUNT
THAT
THESUMMARIZES
DETAILED INFORMATION
THE DETAILED
ININFORMATION
A SUBSIDIARY LEDGER.
IN A SUBSIDIARY LEDGER.
21 101021 101021 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
IS AN
CYCLE
ACCOUNT THAT
IS ANHOLDS
ACCOUNT
TEMPORARILY
THAT
SUSPENSE
HOLDS
CERTAIN
ACCOUNT
TEMPORARILY
INFORMATION
CERTAIN
PENDING
INFORMATION
FOR DISPOSITION.
PENDING FOR DISPOSITION.
22 101022 101022 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
HAS
CYCLE
A COUNTERPART
HAS AINCOUNTERPART
ANOTHERRECIPROCAL
BOOK
INWITH
ANOTHER
ACCOUNT
IN THE
BOOK
ENTITY
WITHORIN
INTHE
ANOTHER
ENTITYLEDGER
OR IN ANOTHER
OR ANOTHER
LEDGER
ENTITY.
OR ANOTHER ENTITY.
23 101023 101023 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
IS THE
CYCLE
PROCESS OF
IS TRANSFERRING
THE PROCESS OF
POSTING
DATA
TRANSFERRING
FROM THE JOURNAL
DATA FROM
TO THE
THE JOURNAL
APPROPRIATE
TO THE
ACCOUNTS
APPROPRIATE
IN THEACCOUNTS
GENERAL LEDGER
IN THE GENERAL
AND SUBSIDIARY
LEDGER AND
LEDGER.
SUBSIDIARY
THIS PROCESS
LEDGER.
CLASSIFIES
THIS PROCESS
ALL ACCOUNTS
CLASSIFIESTHAT
ALL ACCOUNTS
WERE RECORDED
THAT WERE
IN THERECORDED
JOURNALS.IN THE JOURNALS.
24 101024 101024 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
INCLUDES
CYCLE ALL THEINCLUDES
ACCOUNTS
ALLAPPEARING
THEGENERAL
ACCOUNTS
ONLEDGER
THE
APPEARING
FINANCIAL
ONSTATEMENTS.
THE FINANCIAL STATEMENTS.
25 101025 101025 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
AFFORDS
CYCLE ADDITIONAL
AFFORDS
DETAIL
ADDITIONAL
IN SUPPORT
SUBSIDIARY
DETAIL
OF CERTAIN
LEDGER
IN SUPPORT
GENERAL
OF CERTAIN
LEDGERGENERAL
ACCOUNTS.
LEDGER ACCOUNTS.
26 101026 101026 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
A LIST
CYCLE
OF GENERAL
A LIST
LEDGER
OF GENERAL
ACCOUNTS
TRIAL
LEDGER
WITH
BALANCE
ACCOUNTS
THEIR RESPECTIVE
WITH THEIR
DEBITRESPECTIVE
OR CREDIT DEBIT
BALANCE.
OR CREDIT BALANCE.
27 101027 101027 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
ARE
CYCLE
JOURNAL ENTRIES
ARE JOURNAL
MADE ATENTRIES
THE
ADJUSTING
ENDMADE
OF AN
ENTRIES
ATACCOUNTING
THE END OF AN
CYCLE
ACCOUNTING
TO UPDATECYCLE
CERTAIN
TO UPDATE
REVENUECERTAIN
AND EXPENSE
REVENUE
ACCOUNTS
AND EXPENSE
AND TO
ACCOUNTS
MAKE SURE
ANDYOU
TO COMPLY
MAKE SURE
WITH
YOU
THE
COMPLY
MATCHING
WITHPRINCIPLE.
THE MATCHING PRINCIPLE.
1. USUALLY REFER TO TRANSACTIONS THAT HAVE EFFECTS ON MORE THAN ONE ACCOUNTING PERIOD;
2. INCLUDE AT LEAST 1 NOMINAL ACCOUNT AND 1 REAL ACCOUNT; AND
28 101028 101028 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
CHARACTERISTICS
CYCLE CHARACTERISTICS
OF ADJUSTING ENTRIES
3.OFARE
ADJUSTING
GENERALLY
(3 ITEMS)ENTRIES
NOT BASED
(3 ITEMS)
ON SOURCE DOCUMENTS.
1. PREPAYMENTS
2. DEFERRALS
3. ACCRUED EXPENSES
4. ACCRUED INCOME
5. ESTIMATES
29 101029 101029 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
TYPICAL
CYCLEADJUSTING
TYPICAL
ENTRYADJUSTING
CLASSIFICATIONS
6. ENDING
ENTRY CLASSIFICATIONS
(5INVENTORY
ITEMS) (5 ITEMS)
30 101030 101030 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
ARE
CYCLE
EXPENSE ITEMS
AREALREADY
EXPENSEPAID
ITEMS
PREPAYMENTS
FOR
ALREADY
BUT NOT
PAID
YETFOR
INCURRED.
BUT NOT YET INCURRED.
1. ASSET METHOD (DR. PREPAID EXPENSE; CR. CASH)
31 101031 101031 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
METHODS
CYCLE OF INITIALLY
METHODSRECORDING
OF INITIALLY
2.PREPAYMENTS
EXPENSE
RECORDING
METHOD
(2PREPAYMENTS
ITEMS)
(DR. EXPENSE;
(2 CR.
ITEMS)
CASH)
32 101032 101032 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
PRO-FORMA
CYCLE ADJUSTING
PRO-FORMA
ENTRIES
ADJUSTING
FOR
DR. PREPAYMENTS
EXPENSE
ENTRIES
- "EXPIRED
FOR
WHEN
PREPAYMENTS
PORTION";
THE ASSETCR.
WHEN
METHOD
PREPAID
THEWAS
ASSET
EXPENSE
USED
METHOD
IN INTIALLY
WAS USED
RECORDING
IN INTIALLY
THE TRANSACTION
RECORDING THE TRANSACTION
33 101033 101033 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
PRO-FORMA
CYCLE ADJUSTING
PRO-FORMA
ENTRIES
ADJUSTING
FOR
DR. PREPAYMENTS
PREPAID
ENTRIES
EXPENSE
FOR
WHEN
PREPAYMENTS
- "REMAINING
THE EXPENSE
WHEN
PORTION";
METHOD
THE EXPENSE
CR.
WASEXPENSE
USED
METHOD
IN INTIALLY
WAS USED
RECORDING
IN INTIALLY
THE TRANSACTION
RECORDING THE TRANSACTION
34 101034 101034 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
ARE
CYCLE
INCOME ITEMS
AREALREADY
INCOMECOLLECTED
ITEMS
DEFERRALS
ALREADY
IN CASH
(DEFERRED
COLLECTED
BUT NOT
INCOME)
IN
YET
CASH
EARNED.
BUT NOT YET EARNED.
1. LIABILITY METHOD (DR. CASH; CR. UNEARNED INCOME)
35 101035 101035 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
METHODS
CYCLE OF INITIALLY
METHODSRECORDING
OF INITIALLY
2.DEFERRALS
INCOME
RECORDING
METHOD
(2 ITEMS)
DEFERRALS
(DR. CASH;
(2CR.
ITEMS)
INCOME)
36 101036 101036 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
PRO-FORMA
CYCLE ADJUSTING
PRO-FORMA
ENTRYADJUSTING
FOR
DR.
DEFERRALS
UNEARNED
ENTRYWHEN
FOR
INCOME;
DEFERRALS
LIABILITY
CR. INCOME
METHOD
WHEN LIABILITY
- "EXPIRED
WAS USED
METHOD
PORTION"
IN INITIALLY
WAS USED
RECORDING
IN INITIALLY
THE TRANSACTION
RECORDING THE TRANSACTION
37 101037 101037 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
PRO-FORMA
CYCLE ADJUSTING
PRO-FORMA
ENTRYADJUSTING
FOR
DR.
DEFERRALS
INCOME;
ENTRYCR.
WHEN
FORUNEARNED
DEFERRALS
THE INCOME
INCOME
WHEN
METHOD
THE
- "REMAINING
INCOME
WAS USED
METHOD
PORTION"
IN INITIALLY
WAS USED
RECORDING
IN INITIALLY
THE TRANSACTION
RECORDING THE TRANSACTION
38 101038 101038 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
OCCUR
CYCLEIN TRANSACTIONS
OCCUR INWHERE
TRANSACTIONS
EXPENSE
ACCRUEDWHERE
HAS
EXPENSE
ALREADY
EXPENSE
BEEN
HAS
INCURRED
ALREADY BUT
BEENNOT
INCURRED
YET PAID
BUT
FORNOT
IN CASH.
YET PAID FOR IN CASH.
39 101039 101039 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
PRO-FORMA
CYCLE ADJUSTING
PRO-FORMA
ENTRYADJUSTING
FOR
DR.
ACCRUED
EXPENSE;
ENTRY
EXPENSES
CR.
FORPAYABLE
ACCRUED EXPENSES
40 101040 101040 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
OCCUR
CYCLEIN TRANSACTIONS
OCCUR INWHERE
TRANSACTIONS
INCOME
ACCRUEDHAS
WHERE
INCOME
BEEN
INCOME
ALREADY
HASEARNED
BEEN ALREADY
BUT NOTEARNED
YET COLLECTED
BUT NOTINYET
CASH.
COLLECTED IN CASH.
41 101041 101041 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
PRO-FORMA
CYCLE ADJUSTING
PRO-FORMA
ENTRYADJUSTING
FOR
DR.
ACCRUED
RECEIVABLE;
ENTRY
INCOME
FORCR.ACCRUED
INCOME INCOME
42 101042 101042 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
ARE
CYCLE
ADJUSTING ENTRIES
ARE ADJUSTING
THAT DOENTRIES
ESTIMATES
NOT INVOLVE
THAT DO
CASH
NOT
FLOWS.
INVOLVE CASH FLOWS.
1. PROVISION FOR DOUBTFUL ACCOUNTS
43 101043 101043 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
COMMON
CYCLE EXAMPLES
COMMON
OF ESTIMATES
EXAMPLES
2.THAT
DEPRECIATION
OF ESTIMATES
REQUIRE ADJUSTING
THAT REQUIRE
ENTRIES
ADJUSTING
(2 ITEMS)ENTRIES (2 ITEMS)
44 101044 101044 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
IS THE
CYCLE
ESTIMATEDISAMOUNT
THE ESTIMATED
OF BAD
PROVISION
AMOUNT
DEBT THAT
OF
FOR
WILL
BAD
DOUBTFUL
ARISE
DEBT THAT
FROM
ACCOUNTS
WILL
ACCOUNTS
ARISE FROM
RECEIVABLE
ACCOUNTS
THATRECEIVABLE
HAVE BEENTHAT
ISSUED
HAVE
BUTBEEN
NOT YET
ISSUED
COLLECTED.
BUT NOT YET COLLECTED.
45 101045 101045 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
IS THE
CYCLE
SYSTEMATIC
IS THE
ALLOCATION
SYSTEMATIC
OF
DEPRECIATION
THE
ALLOCATION
COST OF AOFFIXED
THE COST
ASSETOF
OVER
A FIXED
ITS USEFUL
ASSET OVER
LIFE. ITS USEFUL LIFE.
46 101046 101046 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
IS AN
CYCLE
ADJUSTMENT
IS AN
USED
ADJUSTMENT
TO SET UP
ENDING
THE
USEDYEAR-END
INVENTORY
TO SET UP
COUNT
THE YEAR-END
OF THE INVENTORY.
COUNT OF THE
THISINVENTORY.
ONLY APPLIES
THIS
IF THE
ONLYPERIODIC
APPLIESINVENTORY
IF THE PERIODIC
SYSTEM
INVENTORY
IS USED. SYSTEM IS USED.
47 101047 101047 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
IS THE
CYCLE
MOST IMPORTANT
IS THE MOST
PARTIMPORTANT
OFPREPARING
THE SUMMARIZING
PART
THEOFFINANCIAL
THEPHASE.
SUMMARIZING
STATEMENTS.
THIS IS WHERE
PHASE.
THE
THIS
PROCESSED
IS WHEREINFORMATION
THE PROCESSED
IS INFORMATION
COMMUNICATED
IS COMMUNICATED
TO USERS. TO USERS.
1. STATEMENT OF FINANCIAL POSITION
2. INCOME STATEMENT OR STATEMENT OF COMPREHENSIVE INCOME
3. STATEMENT OF CHANGES IN EQUITY
4. STATEMENT OF CASH FLOWS
48 101048 101048 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
BASIC
CYCLE
FINANCIAL BASIC
STATEMENTS
FINANCIAL
(5 ITEMS)
STATEMENTS
5. NOTES AND(5DISCLOSURES
ITEMS)
49 101049 101049 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
ARE
CYCLE
RECORDED AND
AREPOSTED
RECORDED
FORAND
THE
CLOSING
POSTED
PURPOSE
ENTRIES
FOR
OF THE
CLOSING
PURPOSE
ALL NOMINAL
OF CLOSING
ORALL
TEMPORARY
NOMINALACCOUNTS
OR TEMPORARY
TO THE
ACCOUNTS
INCOME SUMMARY
TO THE INCOME
ACCOUNT
SUMMARY
AND THE
ACCOUNT
RESULTING
ANDNET
THEINCOME
RESULTING
OR LOSS
NET INCOME
IS AFTERWARDS
OR LOSSCLOSED
IS AFTERWARDS
TO THE CAPITAL
CLOSEDOR
TORETAINED
THE CAPITAL
EARNINGS
OR RETAINED
ACCOUNT.
EARNINGS ACCOUNT.
50 101050 101050 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
ARE
CYCLE
MADE AT THEARE
BEGINNING
MADE ATOF
THETHE
REVERSING
BEGINNING
NEW ACCOUNTING
ENTRIES
OF THE NEW
PERIOD
ACCOUNTING
TO REVERSE
PERIOD
CERTAIN
TO REVERSE
ADJUSTING
CERTAIN
ENTRIES
ADJUSTING
FROM THE
ENTRIES
PRECEDING
FROMACCOUNTING
THE PRECEDING
PERIOD.
ACCOUNTING PERIOD.
1. PREPAYMENTS WHEN EXPENSE METHOD IS USED
2. DEFERRALS WHEN INCOME METHOD IS USED
3. ACCRUED EXPENSE
51 101051 101051 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
ADJUSTING
CYCLE ENTRIES
ADJUSTING
THAT MAY
ENTRIES
BE REVERSED
4. ACCRUED
THAT MAY
(4INCOME
ITEMS)
BE REVERSED (4 ITEMS)
1. ALL TRIAL BALANCES
52 101052 101052 FAR - ACCOUNTING
FARCYCLE
- ACCOUNTING
OPTIONAL
CYCLE STEPS OPTIONAL
IN THE ACCOUNTING
STEPS IN
2. THE
REVERSING
CYCLE
ACCOUNTING
(2 ITEMS)
ENTRIES
CYCLE (2 ITEMS)
53 102001 102001 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
THE PURPOSE
FRAMEWORK
OF THE
_________
PURPOSE
IS TO
OF CONCEPTUAL
ASSIST
_________
THE IASB
IS FRAMEWORK
TOIN
ASSIST
DEVELOPING
THE IASBAND
IN DEVELOPING
REVISING IFRSS
ANDTHAT
REVISING
ARE BASED
IFRSS THAT
ON CONSISTENT
ARE BASED CONCEPTS,
ON CONSISTENT
TO HELP
CONCEPTS,
PREPARERS
TO HELP
TO DEVELOP
PREPARERS
CONSISTENT
TO DEVELOP
ACCOUNTING
CONSISTENT
POLICIES
ACCOUNTING
FOR AREAS
POLICIES
THAT FOR
ARE AREAS
NOT COVERED
THAT ARE
BYNOT
A STANDARD
COVEREDOR
BY WHERE
A STANDARD
THEREOR
IS CHOICE
WHERE THERE
OF ACCIS CHOICE OF ACC
54 102002 102002 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
EXPLAIN: “THE
FRAMEWORK
FRAMEWORK
EXPLAIN: “THE
IS NOT
FRAMEWORK
KAPAG
A STANDARD
ANGISSTANDARDS
NOT
OF ITSELF.”
A STANDARD
(IFRS AND
OF IAS)
ITSELF.”
AY NAGLALAMAN NG RULES NA KONTRA SA SINASABI NG CONCEPTUAL FRAMEWORK, MAS DAPAT SUNDIN ANG STANDARDS. GAGAMITIN LANG ANG CONCEPTUAL FRAMEWORK KAPAG WALANG SPECIFIC NA RULES NA IBINIGAY ANG STANDARDS NA APPLICABLE SA TRAN
55 102003 102003 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
THE MAIN OBJECTIVE
FRAMEWORK
THE MAIN
OF __________
OBJECTIVE
GENERAL
ISOF
TO__________
PROVIDE
PURPOSETHE
FINANCIAL
IS TO
FINANCIAL
PROVIDE
REPORTS
INFORMATION
THE FINANCIAL
ABOUT
INFORMATION
THE REPORTING
ABOUTENTITY
THE REPORTING
THAT IS USEFUL
ENTITYTO
THAT
EXISTING
IS USEFUL
ANDTO
POTENTIAL:
EXISTING AND
INVESTORS,
POTENTIAL:
LENDERS,
INVESTORS,
AND OTHER
LENDERS,
CREDITORS
AND OTHER
TO HELP
CREDITORS
THEM MAKE
TO HELP
VARIOUS
THEMDECISIONS.
MAKE VARIOUS DECISIONS.
56 102004 102004 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
MEANS THAT
FRAMEWORK
THEMEANS
EVENTSTHAT
SHOULD
THEACCRUAL
BE
EVENTS
REFLECTED
SHOULD
ACCOUNTING
IN BE
THEREFLECTED
REPORTS IN
IN THE
THE PERIODS
REPORTSWHEN
IN THETHE
PERIODS
EFFECTS
WHEN
OF TRANSACTIONS
THE EFFECTS OFOCCUR,
TRANSACTIONS
REGARDLESS
OCCUR,
THEREGARDLESS
RELATED CASH
THE
FLOWS.
RELATED CASH FLOWS.
1. CONTRIBUTE TO TRANSPARENCY
2. STRENGTHEN ACCOUNTABILITY
57 102005 102005 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
MISSION OFFRAMEWORK
THE IASB
MISSION
IN DEVELOPING
OF THE IASB
3. CONTRIBUTE
ACCOUNTING
IN DEVELOPING
TOSTANDARDS
ECONOMIC
ACCOUNTING
(3EFFICIENCY
ITEMS)
STANDARDS (3 ITEMS)
1. FUNDAMENTAL QUALITATIVE CHARACTERISTICS
58 102006 102006 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
TYPES OF QUALITATIVE
FRAMEWORK
TYPES CHARACTERISTICS
OF QUALITATIVE
2. ENHANCING
CHARACTERISTICS
OF FINANCIAL
QUALITATIVE
INFORMATION
OF FINANCIAL
CHARACTICS
UNDER
INFORMATION
THE CONCEPTUAL
UNDER THE
FRAMEWORK
CONCEPTUAL
(2 ITEMS)
FRAMEWORK (2 ITEMS)
59 102007 102007 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
ARE QUALITATIVE
FRAMEWORK
ARE
CHARACTERISTICS
QUALITATIVEFUNDAMENTAL
CHARACTERISTICS
OF FINANCIALQUALITATIVE
INFORMATION
OF FINANCIAL
CHARACTERISTICS
THAT
INFORMATION
ARE FOCUSED
THAT
ONARE
THEFOCUSED
CONTENTON
ORTHE
SUBSTANCE
CONTENTOF
ORFINANCIAL
SUBSTANCE
INFORMATION.
OF FINANCIAL INFORMATION.
60 102008 102008 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
ARE QUALITATIVE
FRAMEWORK
ARE
CHARACTERISTICS
QUALITATIVEENHANCING
CHARACTERISTICS
OF FINANCIAL
QUALITATIVE
INFORMATION
OF FINANCIAL
CHARACTERISTICS
THAT
INFORMATION
ARE FOCUSED
THAT
ONARE
THEFOCUSED
PRESENTATION
ON THEOR
PRESENTATION
FORM OF REPORT
OR FORM
OF FINANCIAL
OF REPORT
INFORMATION.
OF FINANCIAL INFORMATION.
1. RELEVANCE
61 102009 102009 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
FUNDAMENTAL
FRAMEWORK
QUALITATIVE
FUNDAMENTALCHARACTERISTICS
QUALITATIVE
2. FAITHFUL CHARACTERISTICS
REPRESENTATION
OF FINANCIAL INFORMATION
OF FINANCIAL
(2INFORMATION
ITEMS) (2 ITEMS)
62 102010 102010 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS THE CAPABILITY
FRAMEWORK
ISOF
THE
FINANCIAL
CAPABILITY
INFORMATION
RELEVANCE
OF FINANCIAL
TOINFORMATION
MAKE A DIFFERENCE
TO MAKE
IN A
THE
DIFFERENCE
USERS' DECISIONS.
IN THE USERS' DECISIONS.
1. PREDICTIVE VALUE
63 102011 102011 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
ELEMENTS OF
FRAMEWORK
RELEVANCE
ELEMENTS(2OF
ITEMS)
RELEVANCE
2. CONFIRMATORY
(2 ITEMS) VALUE
64 102012 102012 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
HELPS USERS
FRAMEWORK
IN PREDICTING
HELPS USERS
ORINANTICIPATING
PREDICTING
PREDICTIVE OR
VALUE
FUTURE
ANTICIPATING
OUTCOMES.
FUTURE OUTCOMES.
65 102013 102013 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
ENABLES USERS
FRAMEWORK
TO
ENABLES
CHECK USERS
AND CONFIRM
TO
CONFIRMATORY
CHECK
EARLIER
AND CONFIRM
PREDICTIONS
VALUE EARLIER
OR PREDICTIONS
EVALUATIONS.OR EVALUATIONS.
66 102014 102014 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS AN ASPECT
FRAMEWORK
OF RELEVANCE
IS AN ASPECT
DEFINED
OF RELEVANCE
MATERIALITY
AS THE THRESHOLD
DEFINED AS ABOVE
THE THRESHOLD
WHICH MISSING
ABOVE OR
WHICH
INCORRECT
MISSINGINFORMATION
OR INCORRECT
ININFORMATION
FINANCIAL STATEMENTS
IN FINANCIAL
IS CONSIDERED
STATEMENTSTO
IS HAVE
CONSIDERED
AN IMPACT
TO HAVE
ON THE
ANDECISION
IMPACT ON
MAKING
THE DECISION
OF USERS.
MAKING OF USERS.
67 102015 102015 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
REQUIRES THAT
FRAMEWORK
TRANSACTIONS
REQUIRES THATAND
TRANSACTIONS
FAITHFUL
EVENTSREPRESENTATION
SHOULD
AND BE
EVENTS
ACCOUNTED
SHOULDFOR
BE ACCOUNTED
IN A MANNER
FOR
THAT
IN AREPRESENT
MANNER THAT
THEIRREPRESENT
TRUE ECONOMIC
THEIR TRUE
SUBSTANCE
ECONOMIC
RATHER
SUBSTANCE
THAN THE
RATHER
MERE LEGAL
THAN THE
FORM.
MERE LEGAL FORM.
1. COMPLETENESS
2. NEUTRALITY
68 102016 102016 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
COMPONENTS
FRAMEWORK
OFCOMPONENTS
FAITHFUL REPRESENTATION
OF3.
FAITHFUL
FREE FROM
REPRESENTATION
(3 ITEMS)
ERROR (3 ITEMS)
69 102017 102017 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
DEALS WITHFRAMEWORK
WHETHER
DEALSALL
WITHTRANSACTIONS
WHETHER
COMPLETENESS
ALLAND
TRANSACTIONS
ACCOUNTS THAT
AND ACCOUNTS
SHOULD BETHAT
IN THE
SHOULD
FINANCIAL
BE INSTATEMENTS
THE FINANCIAL
ARESTATEMENTS
INCLUDED. ARE INCLUDED.
70 102018 102018 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
MEANS THAT
FRAMEWORK
INFORMATION
MEANS THAT
CONTAINED
INFORMATION
NEUTRALITY
IN THE
CONTAINED
FINANCIALINSTATEMENTS
THE FINANCIAL
MUSTSTATEMENTS
BE FREE FROM
MUST
BIAS.
BE FREE FROM BIAS.
71 102019 102019 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
MEANS THERE
FRAMEWORK
ARE
MEANS
NO ERRORS
THEREAND
ARE
FREE
INACCURACIES
NOFROM
ERRORS
ERROR
ANDININACCURACIES
THE DESCRIPTION
IN THE
OF THE
DESCRIPTION
PHENOMENON
OF THEAND
PHENOMENON
NO ERRORS MADE
AND NO
INERRORS
THE PROCESS
MADEBYIN WHICH
THE PROCESS
THE FINANCIAL
BY WHICHINFORMATION
THE FINANCIAL
WAS
INFORMATION
PRODUCED. WAS PRODUCED.
1. COMPARABILITY
2. VERIFIABILITY
3. TIMELINESS
72 102020 102020 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
ENHANCINGFRAMEWORK
QUALITATIVE
ENHANCINGCHARACTERISTICS
QUALITATIVE
4. UNDERSTANDABILITY
CHARACTERISTICS
OF FINANCIAL INFORMATION
OF FINANCIAL
(4INFORMATION
ITEMS) (4 ITEMS)
73 102021 102021 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
MEANS THAT
FRAMEWORK
INFORMATION
MEANS THAT
SHOULD
INFORMATION
COMPARABILITY
BE COMPARABLE
SHOULD BE
BETWEEN
COMPARABLE
DIFFERENT
BETWEEN
ENTITIES
DIFFERENT
OR TIMEENTITIES
PERIODS.OR TIME PERIODS.
1. HORIZONTAL COMPARABILITY
74 102022 102022 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
TYPES OF COMPARABILITY
FRAMEWORK
TYPES OF (2
COMPARABILITY
ITEMS)2. DIMENSIONAL
(2 ITEMS)COMPARABILITY
75 102023 102023 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS A TYPE OFFRAMEWORK
COMPARABILITY
IS A TYPE OF WHICH
COMPARABILITY
HORIZONTAL
REFERS TOWHICH
COMPARABILITY
THE COMPARISON
REFERS TO THE
WITHIN
COMPARISON
AN ENTITY
WITHIN
FROMAN
ONE
ENTITY
PERIOD
FROM
TO THE
ONENEXT.
PERIOD TO THE NEXT.
76 102024 102024 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS A TYPE OFFRAMEWORK
COMPARABILITY
IS A TYPE OF WHICH
COMPARABILITY
DIMENSIONAL
REFERS TOWHICH
THE
COMPARABILITY
COMPARISON
REFERS TO THE
BETWEEN
COMPARISON
TWO ORBETWEEN
MORE ENTITIES
TWO ORINMORE
THE SAME
ENTITIES
INDUSTRY.
IN THE SAME INDUSTRY.
77 102025 102025 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
MEANS THAT
FRAMEWORK
INDEPENDENT
MEANS THAT
AND
INDEPENDENT
KNOWLEDGEABLE
VERIFIABILITY
AND KNOWLEDGEABLE
OBSERVERS SHOULD
OBSERVERS
BE ABLE SHOULD
TO VERIFY
BETHE
ABLE
INFORMATION.
TO VERIFY THE INFORMATION.
1. DIRECT VERIFICATION - E.G., COUNTING CASH ITEMS
78 102026 102026 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
TYPES OF VERIFICATION
FRAMEWORK
TYPES OF
(2 ITEMS)
VERIFICATION
2. INDIRECT
(2 ITEMS)
VERIFICATION - E.G., COMPUTING INVENTORY USING FIFO
79 102027 102027 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
MEANS THAT
FRAMEWORK
INFORMATION
MEANS THAT
SHOULD
INFORMATION
TIMELINESS
BE AVAILABLE
SHOULD
IN TIME
BE AVAILABLE
TO INFLUENCE
IN TIME
THE
TODECISIONS
INFLUENCEOFTHE
USERS.
DECISIONS OF USERS.
80 102028 102028 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
MEANS THAT
FRAMEWORK
INFORMATION
MEANS THAT
SHALL
INFORMATION
UNDERSTANDABILITY
BE CLASSIFIED,
SHALLPRESENTED
BE CLASSIFIED,
CLEARLY
PRESENTED
AND CONSISELY.
CLEARLY AND CONSISELY.
81 102029 102029 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS A CONSTRAINT
FRAMEWORK
IS
INCLUDED
A CONSTRAINT
IN THECOST-BENEFIT
INCLUDED
CONCEPTUAL
IN THE
CONSTRAINT
FRAMEWORK
CONCEPTUAL
WHICH
FRAMEWORK
ASSERTS THAT
WHICHTHE
ASSERTS
BENEFIT
THAT
OF THE
THEINFORMATION
BENEFIT OF THE
MUST
INFORMATION
BE GREATER
MUST
THAN
BETHE
GREATER
COST OF
THAN
PROVIDING
THE COST
IT.OF PROVIDING IT.
82 102030 102030 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS THE SPANFRAMEWORK
OF TIME
IS THE
COVERED
SPAN OFBYTIME
REPORTING
A SET
COVERED
OF FINANCIAL
PERIOD
BY A SET
STATEMENTS.
OF FINANCIAL STATEMENTS.
83 102031 102031 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
(ALSO KNOWN
FRAMEWORK
AS(ALSO
PERIODICITY
KNOWNASSUMPTION)
ASTIME
PERIODICITY
PERIOD
IS ASSUMPTION
AN
ASSUMPTION)
ACCOUNTING
IS AN
PRINCIPLE
ACCOUNTING
WHICHPRINCIPLE
STATES THAT
WHICH
THESTATES
LIFE OFTHAT
A BUSINESS
THE LIFE
CAN
OF BE
A BUSINESS
DIVIDED INTO
CAN BE
EQUAL
DIVIDED
TIMEINTO
PERIODS.
EQUAL TIME PERIODS.
84 102032 102032 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS AN ACCOUNTING
FRAMEWORK
IS AN
PRINCIPLE
ACCOUNTING
THAT
MONETARY
ASSUMES
PRINCIPLEUNIT
THAT
THATASSUMPTION
BUSINESS
ASSUMESTRANSACTIONS
THAT BUSINESSOR
TRANSACTIONS
EVENTS CAN BE
ORMEASURED
EVENTS CAN
AND
BE EXPRESSED
MEASUREDINAND
TERMS
EXPRESSED
OF MONETARY
IN TERMS
UNITS
OF MONETARY
AND THAT UNITS
THE MONETARY
AND THATUNITS
THE MONETARY
ARE STABLEUNITS
AND ARE
DEPENDABLE.
STABLE AND DEPENDABLE.
85 102033 102033 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS AN ASSUMPTION
FRAMEWORK
IS AN
THAT
ASSUMPTION
AN ENTITY
GOING
WILL
THATCONCERN
CONTINUE
AN ENTITYTO
WILL
OPERATE
CONTINUE
FOR TO
THEOPERATE
FORESEEABLE
FOR THE
FUTURE
FORESEEABLE
(USUALLYFUTURE
12 MONTHS
(USUALLY
AFTER12THE
MONTHS
REPORTING
AFTERDATE).
THE REPORTING DATE).
86 102034 102034 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS AN ACCOUNTING
FRAMEWORK
IS AN
PRINCIPLE
ACCOUNTING
THAT
ECONOMIC
STATES
PRINCIPLE
THAT
ENTITY
THAT
ALL ASSUMPTION
STATES
TRANSACTIONAL
THAT ALL TRANSACTIONAL
DATA ASSOCIATED
DATA
WITH
ASSOCIATED
A SPECIFIC ENTITY
WITH AISSPECIFIC
ASSUMED ENTITY
TO BEIS CLEARLY
ASSUMED ATTRIBUTED
TO BE CLEARLY
TO THE
ATTRIBUTED
ENTITY, AND
TO THE
DOESENTITY,
NOT INCLUDE
AND DOES
OTHER
NOTTRANSACTIONAL
INCLUDE OTHER TRANSACTIONAL
DATA ASSOCIATED
DATA
WITH
ASSOCIATED
THE ENTITY'S
WITH
OWNERS
THE ENTITY'S
OR BUSINESS
OWNERS
PARTNERS.
OR BUSINESS PARTNERS.
87 102035 102035 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS AN ENTITY
FRAMEWORK
WHO
IS MUST
AN ENTITY
OR CHOOSES
WHO
REPORTING
MUST
TO PREPARE
OR CHOOSES
ENTITY
FINANCIAL
TO PREPARE
STATEMENTS.
FINANCIAL STATEMENTS.
1. SINGLE ENTITY
2. PORTION OF AN ENTITY (E.G., DIVISION)
88 102036 102036 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
TYPES OF REPORTING
FRAMEWORK
TYPES
ENTITIES
OF REPORTING
(3 ITEMS)
3. MORE
ENTITIES
THAN (3ONE
ITEMS)
ENTITIES (E.G., PARENT AND SUBSIDIARY(IES))
1. CONSOLIDATED
2. UNCONSOLIDATED
89 102037 102037 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
TYPES OF FINANCIAL
FRAMEWORK
TYPES
STATEMENTS
OF FINANCIAL
ACCORDING
3. COMBINED
STATEMENTS
TO THE
ACCORDING
TYPE OF REPORTING
TO THE TYPE
ENTITY
OF REPORTING
(3 ITEMS) ENTITY (3 ITEMS)
90 102038 102038 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS A TYPE OFFRAMEWORK
FINANCIAL
IS A TYPE
STATEMENT
OF FINANCIAL
CONSOLIDATED
CREATED
STATEMENT
WHEN
FINANCIAL
ACREATED
PARENT
STATEMENT
WHEN
AND SUBSIDIARIES
A PARENT ANDREPORT
SUBSIDIARIES
AS A SINGLE
REPORT
ENTITY.
AS A SINGLE ENTITY.
91 102039 102039 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS A TYPE OFFRAMEWORK
FINANCIAL
IS A TYPE
STATEMENT
OF FINANCIAL
UNCONSOLIDATED
CREATED
STATEMENT
WHEN AFINANCIAL
CREATED
PARENT WHEN
ALONE
STATEMENT
APROVIDES
PARENT ALONE
THE REPORT.
PROVIDES THE REPORT.
92 102040 102040 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS A TYPE OFFRAMEWORK
FINANCIAL
IS A TYPE
STATEMENT
OF FINANCIAL
COMBINED
CREATED
STATEMENT
FINANCIAL
WHEN THE
CREATED
STATEMENT
REPORTING
WHENENTITY
THE REPORTING
COMPRISES
ENTITY
TWO COMPRISES
OR MORE ENTITIES
TWO ORNOT
MORE
LINKED
ENTITIES
BY PARENT-SUBSIDIARY
NOT LINKED BY PARENT-SUBSIDIARY
RELATIONSHIP. RELATIONSHIP.
1. ASSET
2. LIABILITY
3. EQUITY
4. INCOME
93 102041 102041 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
BASIC ELEMENTS
FRAMEWORK
BASIC
OF FINANCIAL
ELEMENTS
STATEMENTS
OF
5. EXPENSES
FINANCIAL
(5 ITEMS)
STATEMENTS (5 ITEMS)
94 102042 102042 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS A PRESENT
FRAMEWORK
ECONOMIC
IS A PRESENT
RESOURCE
ECONOMIC
ASSET
CONTROLLED
RESOURCE
BY THE
CONTROLLED
ENTITY ASBY
A RESULT
THE ENTITY
OF PAST
AS A EVENTS.
RESULT OF PAST EVENTS.
95 102043 102043 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS A PRESENT
FRAMEWORK
OBLIGATION
IS A PRESENT
OF THE
OBLIGATION
ENTITY
LIABILITY
TOOF
TRANSFER
THE ENTITY
AN TO
ECONOMIC
TRANSFER
RESOURCE
AN ECONOMIC
AS A RESULT
RESOURCE
OF PAST
AS A EVENTS.
RESULT OF PAST EVENTS.
96 102044 102044 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS THE RESIDUAL
FRAMEWORK
INTEREST
IS THE RESIDUAL
IN THE ASSETS
INTEREST
EQUITYOFIN
THE
THE
ENTITY
ASSETS
AFTER
OF THE
DEDUCTING
ENTITY AFTER
ALL ITS
DEDUCTING
LIABILITIES.
ALL ITS LIABILITIES.
97 102045 102045 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS COMPOSED
FRAMEWORK
OFISINCREASES
COMPOSEDIN OF
ASSETS
INCOME
INCREASES
OR DECREASES
IN ASSETS
INOR
LIABILITIES
DECREASESRESULTING
IN LIABILITIES
IN INCREASES
RESULTING
IN EQUITY
IN INCREASES
OTHERIN
THAN
EQUITY
CONTRIBUTIONS
OTHER THAN FROM
CONTRIBUTIONS
EQUITY HOLDERS.
FROM EQUITY HOLDERS.
98 102046 102046 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS COMPOSED
FRAMEWORK
OFISDECREASES
COMPOSED INOF
ASSETS
EXPENSES
DECREASES
OR INCREASES
IN ASSETS
IN OR
LIABILITIES
INCREASESRESULTING
IN LIABILITIES
IN DECREASES
RESULTING
IN IN
EQUITY
DECREASES
OTHERIN
THAN
EQUITY
DISTRIBUTIONS
OTHER THANTO
DISTRIBUTIONS
EQUITY HOLDERS.
TO EQUITY HOLDERS.
99 102047 102047 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS THE PROCESS
FRAMEWORK
OF
IS INCORPORATING
THE PROCESS OF
RECOGNITION
INCORPORATING
IN THE BALANCE SHEET
IN THEAN
BALANCE
ITEM THAT
SHEET
MEETS
AN ITEM
THE THAT
DEFINITION
MEETSOF
THE
ANDEFINITION
ELEMENT AND
OF AN
SATISFIES
ELEMENT THE
AND
REQUIRED
SATISFIES
CRITERIA.
THE REQUIRED CRITERIA.
1. IT IS PROBABLE THAT ANY FUTURE ECONOMIC BENEFIT ASSOCIATED WITH THE ITEM WILL FLOW TO OR FROM THE ENTITY; AND
100 102048 102048 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
CRITERIA FOR
FRAMEWORK
RECOGNITION
CRITERIA FOR
(2 ITEMS)
RECOGNITION
2. THE ITEM'S
(2 ITEMS)
COST OR VALUE CAN BE MEASURED WITH RELIABILITY.
101 102049 102049 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
MEANS REMOVAL
FRAMEWORK
MEANS
OF AN REMOVAL
ASSET ORDERECOGNITION
LIABILITY
OF AN ASSET
FROM
ORTHE
LIABILITY
STATEMENT
FROM OF
THEFINANCIAL
STATEMENTPOSITION
OF FINANCIAL
AND NORMALLY
POSITION IT
AND
HAPPENS
NORMALLY
WHEN
IT THE
HAPPENS
ITEM NO
WHEN
LONGER
THE ITEM
MEETS
NOTHE
LONGER
DEFINITION
MEETSOF
THE
ANDEFINITION
ASSET OR AOFLIABILITY.
AN ASSET OR A LIABILITY.
102 102050 102050 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
INVOLVES THE
FRAMEWORK
ASSIGNMENT
INVOLVES THE
OF ASSIGNMENT
MONETARY
MEASUREMENT
AMOUNTS
OF MONETARY
AT WHICH
AMOUNTS
THE ELEMENTS
AT WHICHOFTHE
FINANCIAL
ELEMENTS
STATEMENTS
OF FINANCIAL
ARESTATEMENTS
TO BE RECOGNIZED
ARE TOOR
BE REPORTED.
RECOGNIZED OR REPORTED.
1. HISTORICAL COST
103 102051 102051 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
BASIC MEASUREMENT
FRAMEWORK
BASICBASES
MEASUREMENT
IN THE2.CONCEPTUAL
CURRENT
BASES IN
VALUE
THE
FRAMEWORK
CONCEPTUAL
(2 ITEMS)
FRAMEWORK (2 ITEMS)
104 102052 102052 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS A MEASUREMENT
FRAMEWORK
IS ABASED
MEASUREMENT
ON THEHISTORICAL
TRANSACTION
BASED ONCOST
THE
PRICE
TRANSACTION
AT THE TIME
PRICE
OF RECOGNITION
AT THE TIME OF
OFRECOGNITION
THE ELEMENTOF
(ANTHE
ENTRY
ELEMENT
PRICE).(AN ENTRY PRICE).
105 102053 102053 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS A MEASUREMENT
FRAMEWORK
IS ABASIS
MEASUREMENT
THAT ISCURRENT
UPDATED
BASIS THAT
VALUE
TO REFLECT
IS UPDATED
THE CONDITIONS
TO REFLECT THE
AT THE
CONDITIONS
MEASUREMENT
AT THEDATE.
MEASUREMENT DATE.
1. FAIR VALUE
2. VALUE IN USE
3. CURRENT COST
106 102054 102054 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
TYPES OF CURRENT
FRAMEWORK
TYPES
VALUE
OF MEASUREMENT
CURRENT
4. VALUE
FULFILLMENT
BASES
MEASUREMENT
(4VALUE
ITEMS) BASES (4 ITEMS)
107 102055 102055 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS THE PRICEFRAMEWORK
THATISWOULD
THE PRICE
BE THAT
RECEIVED
FAIR
WOULD
VALUE
TO SELL
BE RECEIVED
AN ASSETTO
ORSELL
PAIDAN
TOASSET
TRANSFER
OR PAID
A LIABILITY
TO TRANSFER
IN ANAORDERLY
LIABILITYTRANSACTION
IN AN ORDERLY
BETWEEN
TRANSACTION
MARKETBETWEEN
PARTICIPANTS
MARKET(AN
PARTICIPANTS
EXIT PRICE). (AN EXIT PRICE).
108 102056 102056 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS THE PRESENT
FRAMEWORK
VALUE
IS THEOF
PRESENT
THE CASH
VALUE
VALUE
FLOWS
OF
INTHE
USE
EXPECTED
CASH FLOWS
TO BE DERIVED
EXPECTEDFROM
TO BETHE
DERIVED
USE AND
FROM
ULTIMATE
THE USEDISPOSAL
AND ULTIMATE
OF AN ASSET
DISPOSAL
(AN OF
EXIT
ANPRICE).
ASSET (AN EXIT PRICE).
109 102057 102057 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS THE COSTFRAMEWORK
OF REPLACING
IS THE COST
ANOF
ASSET
REPLACING
CURRENT
AT THISCOST
AN
TIME
ASSET
(ANAT
ENTRY
THIS PRICE)
TIME (AN ENTRY PRICE)
110 102058 102058 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS THE PRESENT
FRAMEWORK
VALUE
IS THEOF
PRESENT
THE CASH
VALUE
FULFILLMENT
EXPECTED
OF THETO
CASH
VALUE
BE TRANSFERRED
EXPECTED TO BE
FORTRANSFERRED
THE PAYMENT
FOR
OFTHE
A LIABILITY.
PAYMENT OF A LIABILITY.
111 102059 102059 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS THE PROCESS
FRAMEWORK
OF
IS IDENTIFYING
THE PROCESSTRANSACTIONS
OF
REVENUE
IDENTIFYING
RECOGNITION
TO
TRANSACTIONS
BE RECORDEDTO
AS BE
REVENUE
RECORDED
IN AN
ASACCOUNTING
REVENUE IN AN
PERIOD.
ACCOUNTING PERIOD.
1. AT THE POINT OF SALE
2. DURING PRODUCTION
112 102060 102060 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
METHODS OF
FRAMEWORK
RECOGNIZING
METHODS OF
REVENUE
RECOGNIZING
3. AT
(3THE
ITEMS)
END
REVENUE
OF PRODUCTION
(3 ITEMS)
113 102061 102061 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
REQUIRES THAT
FRAMEWORK
REVENUES
REQUIRES AND
THATANY
REVENUES
MATCHING
RELATED
AND
PRINCIPLE
EXPENSES
ANY RELATED
BE RECOGNIZED
EXPENSESTOGETHER
BE RECOGNIZED
IN THETOGETHER
SAME REPORTING
IN THE SAME
PERIOD.
REPORTING PERIOD.
1. SYSTEMATIC AND RATIONAL ALLOCATION (DEPRECIATION)
2. CAUSE AND EFFECT ASSOCIATION (COST OF SALE)
114 102062 102062 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
ACCEPTABLE
FRAMEWORK
BASES
ACCEPTABLE
FOR THE RECOGNITION
BASES
3. FOR
IMMEDIATE
THE
OFRECOGNITION
EXPENSE
RECOGNITION
(3 ITEMS)
OF EXPENSE
(RANDD EXPENSE)
(3 ITEMS)
1. GROUP SIMILAR ITEMS AND SEPARATE DISSIMILAR ITEMS.
2. AGGREGATE INFORMATION, BUT DO NOT PROVIDE UNNECESSARY DETAIL.
115 102063 102063 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
REQUIREMENTS
FRAMEWORK
FOR
REQUIREMENTS
EFFECTIVE COMMUNICATION
FOR
3. AVOID
EFFECTIVE
EXCESSIVE
COMMUNICATION
OF INFORMATION
AGGREGATIONOF
INTO
INFORMATION
THE
OBSCURE
FINANCIAL
THE
INSTATEMENTS
INFORMATION.
THE FINANCIAL
(3 ITEMS)
STATEMENTS (3 ITEMS)
1. FINANCIAL CAPITAL
116 102064 102064 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
CONCEPTS OF
FRAMEWORK
CAPITAL
CONCEPTS
IN THE
OFCONCEPTUAL
CAPITAL
2. PHYSICAL
IN THE
FRAMEWORK
CAPITAL
CONCEPTUAL
(2 ITEMS)
FRAMEWORK (2 ITEMS)
117 102065 102065 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS A CONCEPT
FRAMEWORK
OF IS
CAPITAL
A CONCEPT
SYNONYMOUS
OF FINANCIAL
CAPITAL
WITH
SYNONYMOUS
CAPITAL
THE NET ASSETS
WITHOR
THEEQUITY
NET ASSETS
OF THE
ORENTITY.
EQUITY OF THE ENTITY.
118 102066 102066 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
IS A CONCEPT
FRAMEWORK
OF IS
CAPITAL
A CONCEPT
THATOF
REFERS
PHYSICAL
CAPITAL
TO THE
THAT
CAPITAL
PRODUCTIVE
REFERS TO THE
CAPACITY
PRODUCTIVE
OF THECAPACITY
ENTITY BASED
OF THE
ON,ENTITY
FOR EXAMPLE,
BASED ON,
UNITS
FOR OF
EXAMPLE,
OUTPUTUNITS
PER DAY.
OF OUTPUT PER DAY.
119 102067 102067 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
UNDER THEFRAMEWORK
_________
UNDERTHE
THEPROFIT
_________
FINANCIAL
IS EARNED
THE PROFIT
CAPITAL
ONLY WHEN
ISMAINTENANCE
EARNED
THE ONLY
AMOUNT
WHEN
OFTHE
THEAMOUNT
NET ASSETS
OFAT
THE
THE
NET
END
ASSETS
OF THE
AT PERIOD
THE ENDISOF
GREATER
THE PERIOD
THANISTHE
GREATER
AMOUNT
THAN
OFTHE
NETAMOUNT
ASSETS INOF
THE
NET
BEGINNING
ASSETS INAFTER
THE BEGINNING
EXCLUDINGAFTER
CONTRIBUTIONS
EXCLUDING FROM
CONTRIBUTIONS
AND DISTRIBUTIONS
FROM ANDTO
DISTRIBUTIONS
EQUITY HOLDERS
TO EQUITY
(MANDATED
HOLDERS
BY STANDARD
(MANDATED BY STANDARD
120 102068 102068 FAR - REVISED CONCEPTUAL
FAR - REVISED
FRAMEWORK
CONCEPTUAL
UNDER THEFRAMEWORK
_________
UNDERTHE
THEPROFIT
_________
PHYSICAL
IS EARNED
THECAPITAL
PROFIT
IF PHYSICAL
IS
MAINTENANCE
EARNED
PRODUCTIVE
IF PHYSICAL
CAPACITY
PRODUCTIVE
INCREASES
CAPACITY
DURING
INCREASES
THE PERIOD
DURING
AFTER
THE
EXCLUDING
PERIOD AFTER
THE MOVEMENTS
EXCLUDING THE
WITH
MOVEMENTS
EQUITY HOLDERS.
WITH EQUITY HOLDERS.
121 103001 103001 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
IS THEEQUIVALENTS
STANDARDISMEDIUM
THE STANDARD
OF EXCHANGE
MONEY
MEDIUM
IN OF
BUSINESS
EXCHANGE
TRANSACTIONS.
IN BUSINESSITTRANSACTIONS.
REFERS TO THEITCURRENCY
REFERS TOAND
THECOINS
CURRENCY
WHICH
AND
ARECOINS
IN CIRCULATION
WHICH ARE AND
IN CIRCULATION
LEGAL TENDER.
AND LEGAL TENDER.
122 103002 103002 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
(IN THE
EQUIVALENTS
CONTEXT(IN
OF THE
ACCOUNTING)
CONTEXTCASH
OF
INCLUDES
ACCOUNTING)
MONEYINCLUDES
AND ANYMONEY
OTHER NEGOTIABLE
AND ANY OTHER
INSTRUMENT
NEGOTIABLE
THAT
INSTRUMENT
IS PAYABLE THAT
IN MONEY
IS PAYABLE
AND ACCEPTABLE
IN MONEY AND
BY THE
ACCEPTABLE
BANK FORBY
DEPOSIT
THE BANK
ANDFOR
IMMEDIATE
DEPOSIT AND
CREDIT.
IMMEDIATE CREDIT.
123 103003 103003 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
IS A DOCUMENT
EQUIVALENTS
THAT
IS A DOCUMENT
ORDERS A BANK
THAT
CHECKTO
ORDERS
(IF
PAY
PAYABLE
AASPECIFIC
BANK
TOTOTHE
AMOUNT
PAY
REPORTING
A SPECIFIC
OF MONEY
ENTITY,
AMOUNT
FROM
GENERALLY
OF
THE
MONEY
PERSON'S
INCLUDED
FROMACCOUNT
THE
IN THE
PERSON'S
TO
BOOKS
THEACCOUNT
PERSON
AS CASH)IN
TOWHOSE
THE PERSON
NAMEIN
THE
WHOSE
SAME NAME
HAS BEEN
THE ISSUED.
SAME HAS BEEN ISSUED.
124 103004 103004 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
IS A CHECK
EQUIVALENTS
DRAWN
IS ABYCHECK
A BANK
DRAWN
ON BANK
ITSBY
OWN
ADRAFT
BANK
FUNDS
(IF
ONPAYABLE
IN
ITSANOTHER
OWNTO
FUNDS
THE
BANK.
REPORTING
IN ANOTHER
ENTITY,
BANK.INCLUDED IN THE BOOKS AS CASH)
125 103005 103005 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
IS A PAPER
EQUIVALENTS
DOCUMENT,
IS A PAPER
SIMILAR
DOCUMENT,
TO
MONEY
A CHECK,
SIMILAR
ORDER
USED
(IF
TOFOR
PAYABLE
A CHECK,
MAKING
TO
USED
PAYMENTS.
THEFOR
REPORTING
MAKING
IT IS ENTITY,
PREPAID,
PAYMENTS.
INCLUDED
SO IT
IT IS
IS PREPAID,
ONLY
IN THE
ISSUED
BOOKS
SO ITAFTER
ISASONLY
CASH)
A BUYER
ISSUEDPAYS
AFTER
FOR
A BUYER
THE SAME
PAYS
WITH
FOR CASH
THE SAME
OR ANOTHER
WITH CASH
FORM
OR OF
ANOTHER
GUARANTEED
FORM OF
FUNDS.
GUARANTEED FUNDS.
126 103006 103006 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
IS A CHECK
EQUIVALENTS
WRITTEN
IS A BY
CHECK
THE WRITTEN
DRAWER
POSTDATED
(PAYOR)
BY THE DRAWER
FOR
CHECK
A DATE
(IF(PAYOR)
PAYABLE
IN THE
FOR
TO
FUTURE.
ATHE
DATE
REPORTING
ITINMAY
THEONLY
FUTURE.
ENTITY,
BE CASHED
ITNOT
MAYINCLUDED
ONLY
OR DEPOSITED
BE CASHED
IN THEON
BOOKS
ORORDEPOSITED
AFTER
AS CASH)
THEON
DATE
OR WRITTEN
AFTER THEON
DATE
IT. WRITTEN ON IT.
1. CASH ON HAND
2. CASH IN BANK
127 103007 103007 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
CASHEQUIVALENTS
ITEMS INCLUDED
CASH ITEMS
IN THEINCLUDED
ACCOUNTING
3. CASH
IN FUND
THE
BOOKS
ACCOUNTING
SET(3ASIDE
ITEMS)
FOR
BOOKS
CURRENT
(3 ITEMS)
PURPOSES
128 103008 103008 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
INCLUDES
EQUIVALENTS
UNDEPOSITED
INCLUDES
CASH
UNDEPOSITED
COLLECTIONS
CASH ONCASH
HAND
AND
COLLECTIONS
OTHER CASHAND
ITEMS
OTHER
AWAITING
CASH ITEMS
DEPOSIT.
AWAITING DEPOSIT.
129 103009 103009 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
INCLUDES
EQUIVALENTS
DEMAND
INCLUDES
DEPOSITDEMAND
OR CHECKING
CASH
DEPOSIT
IN BANK
ACCOUNT
OR CHECKING
AND SAVING
ACCOUNT
DEPOSIT
AND WHICH
SAVINGARE
DEPOSIT
UNRESTRICTED
WHICH AREASUNRESTRICTED
TO WITHDRAWAL.
AS TO WITHDRAWAL.
130 103010 103010 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
CASHEQUIVALENTS
OR NONCASH:
CASHPETTY
OR NONCASH:
CASH FUND
CASH
PETTY CASH FUND
131 103011 103011 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
CASHEQUIVALENTS
OR NONCASH:
CASHDIVIDEND
OR NONCASH:
FUND
CASH
DIVIDEND FUND
132 103012 103012 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
CASHEQUIVALENTS
OR NONCASH:
CASHBOND
OR NONCASH:
SINKINGNONCASH
FUND
BOND SINKING
(NONCURRENT
FUND ASSET - WHEN BONDS BECOME DUE WITHIN 12 MONTHS AFTER THE END OF THE REPORTING PERIOD FUND BECOMES CURRENT ALSO)
133 103013 103013 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
CASHEQUIVALENTS
OR NONCASH:
CASHPAYROLL
OR NONCASH:
FUND
CASH
PAYROLL FUND
134 103014 103014 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
CASHEQUIVALENTS
OR NONCASH:
CASHREVOLVING
OR NONCASH:
FUND
CASH
REVOLVING FUND
135 103015 103015 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
CASHEQUIVALENTS
OR NONCASH:
CASHTAX
ORFUND
NONCASH:
CASHTAX FUND
136 103016 103016 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
CASHEQUIVALENTS
OR NONCASH:
CASHFUND
OR NONCASH:
HELD FOR
NONCASH
FUTURE
FUND HELD
(NONCURRENT
PLANT
FOREXPANSION
FUTURE
ASSET
PLANT
- ALWAYS)
EXPANSION
137 103017 103017 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
CASHEQUIVALENTS
OR NONCASH:
CASHINTEREST
OR NONCASH:
FUND
CASH
INTEREST FUND
138 103018 103018 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
CASHEQUIVALENTS
OR NONCASH:
CASHPREFERENCE
OR NONCASH:
SHARE
NONCASH
PREFERENCE
REDEMPTION
(NONCURRENT
SHARE
FUND
REDEMPTION
ASSET - ALWAYS)
FUND
139 103019 103019 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
ARE SHORT-TERM
EQUIVALENTS
ARE
ANDSHORT-TERM
HIGHLY LIQUID
CASH
ANDINVESTMENTS
EQUIVALENTS
HIGHLY LIQUID
THAT
INVESTMENTS
ARE READILY
THAT
CONVERTIBLE
ARE READILY
INTO
CONVERTIBLE
CASH AND SO
INTO
NEAR
CASH
THEIR
ANDMATURITY
SO NEAR THEIR
THAT THEY
MATURITY
PRESENT
THAT
INSIGNIFICANT
THEY PRESENTRISK
INSIGNIFICANT
OF CHANGESRISK
IN VALUE
OF CHANGES
BECAUSE
IN OF
VALUE
CHANGES
BECAUSE
IN INTEREST
OF CHANGES
RATES.
IN INTEREST RATES.
140 103020 103020 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
CRITERIA
EQUIVALENTS
FOR AN CRITERIA
ITEM TO QUALIFY
FOR AN ONLY
ITEM
AS CASH
HIGHLY
TO QUALIFY
EQUIVALENT
LIQUID
AS INVESTMENTS
CASH EQUIVALENT
THAT ARE ACQUIRED THREE MONTHS BEFORE MATURITY CAN QUALIFY AS CASH EQUIVALENTS.
141 103021 103021 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
__________
EQUIVALENTS
CANNOT
__________
QUALIFYCANNOT
AS CASH
EQUITY
QUALIFY
EQUIVALENTS
SECURITIES;
AS CASHBECAUSE
SHARES
EQUIVALENTS
_________
BECAUSE
DO NOT
_________
HAVE A MATURITY
DO NOT HAVE
DATE.
A MATURITY DATE.
142 103022 103022 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
_________
EQUIVALENTS
WITH _________
SPECIFIED REDEMPTION
WITH PREFERENCE
SPECIFIED
DATE
REDEMPTION
SHARES
AND ACQUIRED
DATETHREE
AND ACQUIRED
MONTHS BEFORE
THREE MONTHS
REDEMPTION
BEFORE
DATE
REDEMPTION
CAN QUALIFY
DATE
AS CASH
CAN QUALIFY
EQUIVALENTS.
AS CASH EQUIVALENTS.
1. CASH AND CASH EQUIVALENTS (CURRENT)
2. SHORT-TERM FINANCIAL ASSETS OR TEMPORARY INVESTMENTS (CURRENT)
143 103023 103023 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
CLASSIFICATIONS
EQUIVALENTSCLASSIFICATIONS
OF INVESTMENT OFOF
3. LONG-TERM
EXCESS
INVESTMENT
CASHINVESTMENTS
(3
OFITEMS)
EXCESS CASH
(NONCURRENT)
(3 ITEMS)
144 103024 103024 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
IF THEEQUIVALENTS
TERM IS MORE
IF THE
THAN
TERM
THREE
IS MORE
SHORT-TERM
MONTHS
THANBUT
THREE
FINANCIAL
WITHIN
MONTHS
ONE
ASSETS
BUT
YEAR,
WITHIN
ORSUCH
TEMPORARY
ONE
INVESTMENTS
YEAR,
INVESTMENTS;
SUCH
ARE
INVESTMENTS
CLASSIFIED
CURRENTAS
ARE
__________
ASSETS
CLASSIFIEDAND
AS __________
PRESENTED SEPARATELY
AND PRESENTED
AS _________.
SEPARATELY AS _________.
145 103025 103025 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
IF THEEQUIVALENTS
TERM IS MORE
IF THE
THAN
TERM
ONE
IS MORE
YEAR,
NONCURRENT
THAN
SUCH ONE
INVESTMENTS
OR
YEAR,
LONG-TERM
SUCH
ARE
INVESTMENTS
CLASSIFIED
INVESTMENTS
AS
ARE
__________.
CLASSIFIED AS __________.
146 103026 103026 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
IF LONG-TERM
EQUIVALENTS
INVESTMENTS
IF LONG-TERM
BECOME
INVESTMENTS
CURRENT
DUE WITHIN
ORBECOME
TEMPORARY
ONEDUE
YEARINVESTMENTS.
WITHIN
FROM ONE
THE END
YEAROF
FROM
THE REPORTING
THE END OFPERIOD,
THE REPORTING
THEY AREPERIOD,
RECLASSIFIED
THEY ARE
AS _________.
RECLASSIFIED AS _________.
147 103027 103027 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
MEASUREMENT
EQUIVALENTS
OF
MEASUREMENT
CASH (IN GENERAL)
OF
FACE
CASH
VALUE
(IN GENERAL)
148 103028 103028 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
MEASUREMENT
EQUIVALENTS
OF
MEASUREMENT
CASH IN FOREIGN
OF
CURRENT
CASH
CURRENCY
INEXCHANGE
FOREIGN CURRENCY
RATE
149 103029 103029 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
MEASUREMENT
EQUIVALENTS
OF
MEASUREMENT
CASH HELD BYOF
ESTIMATED
A BANK
CASH OR
HELD
FINANCIAL
REALIZABLE
BY A BANK
INSTITUTION
VALUE
OR FINANCIAL
UNDER
INSTITUTION
BANKRUPTCY
UNDER
OR BANKRUPTCY
FINANCIAL DIFFICULTY
OR FINANCIAL DIFFICULTY
150 103030 103030 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
DEPOSITS
EQUIVALENTS
IN FOREIGN
DEPOSITS
BANKINWHICH
FOREIGN
NONCURRENT
AREBANK
SUBJECT
WHICH
ASSETS
TO FOREIGN
ARE SUBJECT
EXCHANGE
TO FOREIGN
RESTRICTION,
EXCHANGEIF MATERIAL,
RESTRICTION,
SHOULD
IF MATERIAL,
BE CLASSIFIED
SHOULDSEPARATELY
BE CLASSIFIED
AMONG
SEPARATELY
__________
AMONG
AND__________
THE RESTRICTION
AND THE
CLEARLY
RESTRICTION
INDICATED.
CLEARLY INDICATED.
151 103031 103031 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
CLASSIFICATION
EQUIVALENTS
OF
CLASSIFICATION
CASH FUND RELATED
OF
CLASSIFICATION
CASHTO
FUND
A LIABILITY
RELATED
SHOULDTO
BEAPARALLEL
LIABILITY WITH SUCH RELATED LIABILITY.
152 103032 103032 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
CLASSIFICATION
EQUIVALENTS
OF
CLASSIFICATION
CASH FUND SET
OF
SUCH
ASIDE
CASH
FUND
FOR
FUNDSHOULD
THE
SET
ACQUISITION
ASIDE
BE CLASSIFIED
FOR THE
OF A
ACQUISITION
AS
NONCURRENT
NONCURRENT
OFASSET
A NONCURRENT
REGARDLESS OF
ASSET
THE YEAR OF DISBURSEMENT.
153 103033 103033 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
OCCURS
EQUIVALENTS
WHEN THE
OCCURS
CASH WHEN
IN A BANK
THE
OVERDRAFT
ACCOUNT
CASH IN AHAS
BANKA CREDIT
ACCOUNTBALANCE
HAS A CREDIT
RESULTING
BALANCE
FROMRESULTING
THE ISSUANCE
FROMOFTHE
CHECKS
ISSUANCE
IN EXCESS
OF CHECKS
OF DEPOSITS.
IN EXCESS OF DEPOSITS.
GR: CURRENT LIABILITY AND SHOULD NOT BE OFFSET AGAINST OTHER BANK ACCOUNTS WITH DEBIT BALANCES;
XPN1: IF THERE ARE OTHER ACCOUNTS IN THE SAME BANK AS THE ACCOUNT WITH THE CREDIT BALANCE, OFFSETTING WITH SUCH OTHER ACCOUNTS IS ALLOWED.
154 103034 103034 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
CLASSIFICATION
EQUIVALENTS
OF
CLASSIFICATION
BANK OVERDRAFT
OF
XPN2:
BANKIFOVERDRAFT
THE AMOUNT
155 103035 103035 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
GENERALLY
EQUIVALENTS
TAKESGENERALLY
THE FORMTAKES
OF MINIMUM
COMPENSATING
THE FORM
CHECKING
OF MINIMUM
BALANCE
OR DEMAND
CHECKING
DEPOSIT
OR DEMAND
ACCOUNT
DEPOSIT
BALANCE
ACCOUNT
THAT MUST
BALANCE
BE MAINTAINED
THAT MUST IN
BECONNECTION
MAINTAINED WITH
IN CONNECTION
A BORROWING
WITHARRANGEMENT
A BORROWINGWITH
ARRANGEMENT
A BANK. WITH A BANK.
1. IF NOT LEGALLY RESTRICTED (INFORMAL) - PART OF CASH
2. IF LEGALLY RESTRICTED (FORMAL) - CURRENT OR NONCURRENT DEPENDING ON THE TERM OF THE RELATED LOAN.
156 103036 103036 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
CLASSIFICATION
EQUIVALENTS
OF
CLASSIFICATION
COMPENSATINGOF
RULE
BALANCE
COMPENSATING
IF THE(2
PROBLEM
ITEMS)
BALANCE
IS SILENT:
(2 ITEMS)
UNRESTRICTED
157 103037 103037 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
IS A CHECK
EQUIVALENTS
THAT IS A
MERELY
CHECKDRAWN
THAT UNDELIVERED
IS AND
MERELY
RECORDED
DRAWN
OR UNRELEASED
BUT
ANDNOT
RECORDED
GIVEN
CHECKS
TO
BUT
THE
NOT
PAYEE
GIVEN
BEFORE
TO THE
THE
PAYEE
END BEFORE
OF REPORTING
THE END
PERIOD.
OF REPORTING PERIOD.
158 103038 103038 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
ADJUSTMENT
EQUIVALENTS
REQUIRED
ADJUSTMENT
FOR UNDELIVERED
REQUIRED
DR. CASH
FOR
OR
IN UNDELIVERED
BANK;
UNRELEASED
CR. EXPENSE
CHECKS
OR UNRELEASED
OR LIABILITYCHECKS
(THE ENTRY MADE UPON ISSUANCE OF SAID CHECK SHOULD BE REVERSED BECAUSE IN ESSENCE, NO PAYMENT HAS REALLY BEEN MADE.)
159 103039 103039 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
IS A CHECK
EQUIVALENTS
DRAWN,
IS ARECORDED
CHECK DRAWN,
AND
POSTDATED
ALREADY
RECORDED
GIVEN
CHECK
ANDTO
DELIVERED
ALREADY
THE PAYEE
GIVEN
BUT
TOITTHE
BEARS
PAYEE
A DATE
BUT SUBSEQUENT
IT BEARS A DATE
TO SUBSEQUENT
THE END OF REPORTING
TO THE END
PERIOD.
OF REPORTING PERIOD.
160 103040 103040 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
ADJUSTMENT
EQUIVALENTS
REQUIRED
ADJUSTMENT
FOR POSTDATED
REQUIRED
DR. CASH
CHECKS
FOR
IN POSTDATED
BANK;
DELIVERED
CR. EXPENSE
CHECKSOR
DELIVERED
LIABILITY (THE ENTRY MADE UPON ISSUANCE OF SAID CHECK SHOULD BE REVERSED BECAUSE IN ESSENCE, NO PAYMENT HAS REALLY BEEN MADE.)
161 103041 103041 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
IS A CHECK
EQUIVALENTS
NOT ENCASHED
IS A CHECKBY
NOT
THEENCASHED
STALE
PAYEECHECK
WITHIN
BY THE
ORACHECK
RELATIVELY
PAYEELONG
WITHIN
LONG
OUTSTANDING
A RELATIVELY
PERIOD OF LONG
TIME. PERIOD OF TIME.
162 103042 103042 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
IN BANKING
EQUIVALENTS
PRACTICE,
IN BANKING
A CHECK
PRACTICE,
BECOMES
6 MONTHS
A CHECK
STALE IF
BECOMES
NOT ENCASHED
STALE IFWITHIN
NOT ENCASHED
__________
WITHIN
FROM
__________
THE TIME OF
FROM
ISSUANCE.
THE TIME OF ISSUANCE.
1. IF THE AMOUNT IS MATERIAL - DR. CASH IN BANK; CR. ACCOUNTS PAYABLE OR APPROPRIATE ACCOUNT
163 103043 103043 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
ADJUSTMENT
EQUIVALENTS
REQUIRED
ADJUSTMENT
FOR ISSUED
REQUIRED
2. CHECKS
IF THE
FOR
AMOUNT
THAT
ISSUED
BECAME
IS
CHECKS
IMMATERIAL
STALE
THAT BECAME
- DR. CASH
STALE
IN BANK; CR. MISCELLANEOUS INCOME
1. INITIAL ENTRY (DR. CASH SHORT OR OVER; CR. CASH)
2. IF THE CASHIER OR CASH CUSTODIAN IS HELD RESPONSIBLE FOR THE CASH SHORTAGE (DR. DUE FROM CASHIER; CR. CASH SHORT OR OVER)
164 103044 103044 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
JOURNAL
EQUIVALENTS
ENTRIESJOURNAL
FOR CASH
ENTRIES
SHORTAGE
3.FOR
IF REASONABLE
CASH
(3 ITEMS)
SHORTAGE
EFFORTS
(3 ITEMS)
FAIL TO DISCLOSE THE CAUSE OF THE SHORTAGE (DR. LOSS
1. INITIAL ENTRY (DR. CASH; CR. CASH SHORT OR OVER)
2. IF THERE IS NO CLAIM ON THE OVERAGE (DR. CASH SHORT OR OVER; CR. MISCELLANEOUS INCOME)
165 103045 103045 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
JOURNAL
EQUIVALENTS
ENTRIESJOURNAL
FOR CASH
ENTRIES
OVERAGE
3.FOR
IF (3
THE
CASH
ITEMS)
CASH
OVERAGE
OVERAGE
(3 ITEMS)
IS PROPERLY FOUND TO BE THE MONEY OF THE CASHIER (DR. CASH SHORT OR OVER; CR. PAYABLE TO C
166 103046 103046 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
IS A SYSTEM
EQUIVALENTS
OF CONTROL
IS A SYSTEM
OF CASH
OF CONTROL
IMPREST
WHICH REQUIRES
OF
SYSTEM
CASH WHICH
THAT ALL
REQUIRES
CASH RECEIPTS
THAT ALLSHOULD
CASH RECEIPTS
BE DEPOSITED
SHOULD
INTACT
BE DEPOSITED
AND ALL CASH
INTACT
DISBURSEMENTS
AND ALL CASH DISBURSEMENTS
SHOULD BE MADESHOULD
BY MEANS
BE MADE
OF CHECK.
BY MEANS OF CHECK.
1. IMPREST FUND SYSTEM
167 103047 103047 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
METHODS
EQUIVALENTS
OF HANDLING
METHODSTHE
OFPETTY
HANDLING
2.CASH
FLUCTUATING
FUND
THE PETTY
(2 ITEMS)
FUND
CASHSYSTEM
FUND (2 ITEMS)
1. ESTABLISHMENT OF THE FUND (DR. PETTY CASH FUND; CR. CASH IN BANK)
2. PAYMENT OF EXPENSES OUT OF THE FUND (MEMORANDUM ENTRY IN THE PETTY CASH JOURNAL)
3. REPLENISHMENT OF PETTY CASH PAYMENTS (DR. EXPENSES; CR. CASH IN BANK)
168 103048 103048 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
JOURNAL
EQUIVALENTS
ENTRIESJOURNAL
FOR HANDLING
ENTRIESTHE
4.FOR
ADJUSTING
PETTY
HANDLING
CASH
ENTRY
UNDER
THE PETTY
IF NO
IMPREST
RCASH FUND
UNDERSYSTEM
IMPREST
(6 FUND
ITEMS)SYSTEM (6 ITEMS)
1. ESTABLISHMENT OF THE FUND (DR. PETTY CASH FUND; CR. CASH IN BANK)
2. PAYMENT OF EXPENSES OUT OF THE PETTY CASH FUND (DR. EXPENSES; CR. PETTY CASH FUND)
3. REPLENISHMENT OR INCREASE OF THE FUND (DR. PETTY CASH FUND; CR. CASH IN BANK)
169 103049 103049 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
JOURNAL
EQUIVALENTS
ENTRIESJOURNAL
FOR HANDLING
ENTRIESTHE
4.FOR
ADJUSTING
PETTY
HANDLING
CASH
ENT
FUND
THE PETTY
UNDERCASH
THEFUND
FLUCTUATING
UNDER THE
FUND
FLUCTUATING
SYSTEM (5 FUND
ITEMS)SYSTEM (5 ITEMS)
170 103050 103050 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
IS THEEQUIVALENTS
CURRENT ACCOUNT
IS THE CURRENT
OR CHECKING
ACCOUNT
DEMANDACCOUNT
DEPOSIT
OR CHECKING
OR COMMERCIAL
ACCOUNT OR
DEPOSIT
COMMERCIAL
WHERE DEPOSITS
DEPOSIT WHERE
ARE COVERED
DEPOSITS
BY ARE
DEPOSIT
COVERED
SLIPSBY
ANDDEPOSIT
WHERESLIPS
FUNDSAND
ARE
WHERE
WITHDRAWABLE
FUNDS ARE WITHDRAWABLE
ON DEMAND BY DRAWING
ON DEMAND
CHECKS
BY DRAWING
AGAINST CHECKS
THE BANK.
AGAINST THE BANK.
171 103051 103051 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
IN A ________,
EQUIVALENTS
THE
IN A
DEPOSITOR
________,ISTHE
GIVEN
SAVINGS
DEPOSITOR
A PASSBOOK
DEPOSIT
IS GIVEN
UPON
A PASSBOOK
INITIAL DEPOSIT.
UPON INITIAL
THE PASSBOOK
DEPOSIT.ISTHE
REQUIRED
PASSBOOK
WHEN
IS REQUIRED
MAKING DEPOSITS
WHEN MAKING
AND WITHDRAWALS.
DEPOSITS ANDTHIS
WITHDRAWALS.
TYPE OF BANK
THIS
DEPOSIT
TYPE OF
IS BANK
INTEREST
DEPOSIT
BEARING.
IS INTEREST BEARING.
172 103052 103052 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
IS A BANK
EQUIVALENTS
DEPOSIT
IS EVIDENCED
A BANK DEPOSIT
BY TIME
A FORMAL
EVIDENCED
DEPOSIT
AGREEMENT
BY A FORMAL
CALLED
AGREEMENT
CERTIFICATE
CALLED
OF DEPOSIT.
CERTIFICATE
IT IS OF
INTEREST
DEPOSIT.
BEARING
IT IS INTEREST
AND MAYBEARING
BE PRETERMINATED
AND MAY BE PRETERMINATED
OR WITHDRAWN OR
ONWITHDRAWN
DEMAND OR AFTER
ON DEMAND
A CERTAIN
OR AFTER
PERIOD
A OF
CERTAIN
TIME AGREED
PERIOD OF
UPON.
TIME AGREED UPON.
173 103053 103053 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
JOURNAL
EQUIVALENTS
ENTRY USED
JOURNAL
TO RECORD
ENTRY USED
DR.
COLLECTION
CASH
TO RECORD
OR CASH
OF CASH
COLLECTION
IN BANK;
IN THECR.
BOOKS
OFACCOUNTS
CASH
OFIN
THE
THE
RECEIVABLE
REPORTING
BOOKS OFOR
ENTITY
THE
ANY
REPORTING
OTHER APPROPRIATE
ENTITY ACCOUNT
174 103054 103054 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
JOURNAL
EQUIVALENTS
ENTRY USED
JOURNAL
BY THE
ENTRY
BANK
USED
DR.
TOCASH;
RECORD
BY THE
CR.BANK
COLLECTION
BANKTO
ACCOUNT
RECORD
OF CASH
OF
COLLECTION
REPORTING
BY THE REPORTING
OFENTITY
CASH BYENTITY
THE REPORTING
AND SUBSEQUENT
ENTITY AND
DEPOSIT
SUBSEQUENT
TO THE BANK
DEPOSIT TO THE BANK
175 103055 103055 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
JOURNAL
EQUIVALENTS
ENTRY USED
JOURNAL
TO RECORD
ENTRY USED
DR.
DISBURSEMENTS
EXPENSES
TO RECORD
OR DISBURSEMENTS
OF
ANYCASH
OTHER
IN THE
APPROPRIATE
BOOKS
OF CASH
OFIN
ACCOUNT;
THE
THE
REPORTING
BOOKS
CR. OF
CASH
ENTITY
THEOR
REPORTING
CASH IN BANK
ENTITY
176 103056 103056 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
JOURNAL
EQUIVALENTS
ENTRY USED
JOURNAL
BY THE
ENTRY
BANK
USED
DR.
TOBANK
RECORD
BY THE
ACCOUNT
BANK
WITHDRAWALS
TO
OFRECORD
REPORTING
OF
WITHDRAWALS
CASH
ENTITY;
BY THE
CR.REPORTING
OF
CASH
CASH
IN BY
BANK
ENTITY
THE REPORTING ENTITY
177 103057 103057 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
IS A STATEMENT
EQUIVALENTS
WHICH
IS A STATEMENT
BRINGS INTO
WHICH
BANK
AGREEMENT
RECONCILIATION
BRINGS INTO
THE AGREEMENT
CASH BALANCE
THEPER
CASH
BOOK
BALANCE
AND CASH
PER BOOK
BALANCE
ANDPER
CASH
BANK.
BALANCE PER BANK.
178 103058 103058 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
IS A MONTHLY
EQUIVALENTS
REPORT
IS A MONTHLY
OF THE BANK
REPORT
BANK
TO STATEMENT
THE
OF THE
DEPOSITOR
BANK TOSHOWING
THE DEPOSITOR
DATA ABOUT
SHOWING
THEDATA
TRANSACTIONS
ABOUT THEOF
TRANSACTIONS
THE REPORTING
OFENTITY
THE REPORTING
WITH THEENTITY
BANK DURING
WITH THE
THE
BANK
PERIOD
DURING
AND THE
THE PERIOD
BEGINNING
ANDAND
THE ENDING
BEGINNING
BALANCES
AND ENDING
OF ITS BALANCES
BANK ACCOUNT.
OF ITS BANK ACCOUNT.
179 103059 103059 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
ARE THE
EQUIVALENTS
CHECKS (ATTACHED
ARE THE CHECKS
TO THE
(ATTACHED
CANCELLED
BANK STATEMENT
TO
CHECKS
THE BANK
UPONSTATEMENT
RECEIPT) ISSUED
UPON BY
RECEIPT)
THE DEPOSITOR
ISSUED BYAND
THE PAID
DEPOSITOR
BY THEAND
BANKPAID
DURING
BY THE
THE
BANK
MONTH.
DURING THE MONTH.
1. CREDIT MEMOS
2. DEBIT MEMOS
180 103060 103060 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
BOOKEQUIVALENTS
RECONCILING
BOOK
ITEMS
RECONCILING
(3 ITEMS)
3. ERRORS
ITEMS (3 ITEMS)
1. DEPOSITS IN TRANSIT
2. OUTSTANDING CHECKS
181 103061 103061 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
BANKEQUIVALENTS
RECONCILING
BANK
ITEMS
RECONCILING
(3 ITEMS)
3. ERRORS
ITEMS (3 ITEMS)
182 103062 103062 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
REFEREQUIVALENTS
TO ITEMS NOT
REFER
REPRESENTING
TO ITEMS NOT
CREDIT
DEPOSITS
REPRESENTING
MEMOS
CREDITED
DEPOSITS
BY THECREDITED
BANK TO THE
BY THE
ACCOUNT
BANK TO
OFTHE
THEACCOUNT
DEPOSITOR
OFBUT
THENOT
DEPOSITOR
YET RECORDED
BUT NOTBYYET
THERECORDED
DEPOSITOR
BYAS
THE
CASH
DEPOSITOR
RECEIPTS.
AS CASH RECEIPTS.
1. NOTES RECEIVABLE COLLECTED BY BANK IN FAVOR OF THE DEPOSITOR
2. PROCEEDS OF BANK LOAN
183 103063 103063 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
EXAMPLES
EQUIVALENTS
OF CREDIT
EXAMPLES
MEMOS
OF(3CREDIT
ITEMS)
3. MATURED
MEMOS (3
TIME
ITEMS)
DEPOSITS TRANSFERRED BY THE BANK TO THE CURRENT ACCOUNT OF THE DEPOSITOR
184 103064 103064 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
REFEREQUIVALENTS
TO ITEMS NOT
REFER
REPRESENTING
TO ITEMS NOT
DEBIT
CHECKS
REPRESENTING
MEMOS
PAID BY BANK
CHECKS
WHICH
PAID ARE
BY BANK
CHARGED
WHICH
ORARE
DEBITED
CHARGED
BY THE
ORBANK
DEBITED
TO THE
BY THE
ACCOUNT
BANK TO
OFTHE
THEACCOUNT
DEPOSITOR
OFBUT
THENOT
DEPOSITOR
YET RECORDED
BUT NOTBYYET
THERECORDED
DEPOSITOR
BYAS
THE
CASH
DEPOSITOR
DISBURSEMENTS.
AS CASH DISBURSEMENTS.
1. NSF CHECKS OR DAIF CHECKS
2. TECHNICALLY DEFECTIVE CHECKS
3. BANK SERVICE CHARGES
185 103065 103065 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
EXAMPLES
EQUIVALENTS
OF DEBIT
EXAMPLES
MEMOSOF
(3 DEBIT
ITEMS)
4. REDUCTION
MEMOS (3 ITEMS)
OF LOAN
186 103066 103066 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
ARE CHECKS
EQUIVALENTS
DEPOSITED
ARE CHECKS
BUT NOT
DEPOSITED
RETURNED
NSF (NOBUT
SUFFICIENT
BY
NOT
THERETURNED
BANK
FUND)
BECAUSE
OR
BY THE
DAIF
OFBANK
(DRAWN
INSUFFICIENCY
BECAUSE
AGAINST
OFOFINSUFFICIENCY
INSUFFICIENT
FUND. FUND)
OF FUND.
CHECKS
187 103067 103067 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
ARE COLLECTIONS
EQUIVALENTS
ARE
ALREADY
COLLECTIONS
RECORDED
DEPOSITS
ALREADY
BY THE
IN
RECORDED
DEPOSITOR
TRANSIT BYAS
THE
CASH
DEPOSITOR
RECEIPTSASBUT
CASH
NOT
RECEIPTS
YET REFLECTED
BUT NOTON
YET
THE
REFLECTED
BANK STATEMENT.
ON THE BANK STATEMENT.
188 103068 103068 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
ARE CHECKS
EQUIVALENTS
ALREADY
ARE CHECKS
RECORDED
ALREADY
BY
OUTSTANDING
THE
RECORDED
DEPOSITOR
CHECKS
BYAS
THE
CASH
DEPOSITOR
DISBURSEMENTS
AS CASH DISBURSEMENTS
BUT NOT YET REFLECTED
BUT NOTON
YET
THE
REFLECTED
BANK STATEMENT.
ON THE BANK STATEMENT.
189 103069 103069 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
IS A CHECK
EQUIVALENTS
WHERE
IS THE
A CHECK
BANKWHERE
HAS CERTIFIED
STAMPED
THE BANKON
CHECKS
HAS
ITS STAMPED
FACE THE ON
WORD
ITS "ACCEPTED"
FACE THE WORD
OR "CERTIFIED"
"ACCEPTED"INDICATING
OR "CERTIFIED"
SUFFICIENCY
INDICATING
OF FUND.
SUFFICIENCY OF FUND.
190 103070 103070 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
ACCOUNTING
EQUIVALENTS
TREATMENT
ACCOUNTING
FOR TREATMENT
CERTIFIED
CERTIFIED
CHECKS
FOR
CHECKS
CERTIFIED
SHOULDCHECKS
BE DEDUCTED FROM THE TOTAL OUTSTANDING CHECKS (IF INCLUDED THEREIN) BECAUSE THEY ARE NO LONGER OUTSTANDING FOR BANK RECONCILIATION PURPOSES.
1. ADJUSTED BALANCE METHOD
2. BANK TO BOOK METHOD
191 103071 103071 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
FORMSEQUIVALENTS
OF BANK RECONCILIATION
FORMS OF BANK RECONCILIATION
(3
3. ITEMS)
BOOK TO BANK(3METHOD
ITEMS)
192 103072 103072 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
IS A FORM
EQUIVALENTS
OF BANK
IS ARECONCILIATION
FORM OF BANK
ADJUSTED
RECONCILIATION
WHEREBALANCE
THE BOOKMETHOD
WHERE
BALANCE
THEAND
BOOK
THE
BALANCE
BANK BALANCE
AND THEARE
BANK
BROUGHT
BALANCE
TOARE
A CURRENT
BROUGHTCASH
TO ABALANCE
CURRENTTHAT
CASHMUST
BALANCE
APPEAR
THAT
ONMUST
THE BALANCE
APPEAR ON
SHEET.
THE BALANCE SHEET.
193 103073 103073 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
IS A FORM
EQUIVALENTS
OF BANK
IS ARECONCILIATION
FORM OF BANK
BOOK
RECONCILIATION
WHERE
TO BANK
THE BOOK
METHOD
WHERE
BALANCE
THEISBOOK
RECONCILED
BALANCEWITH
IS RECONCILED
THE BANK BALANCE
WITH THEOR
BANK
THEBALANCE
BOOK BALANCE
OR THEISBOOK
ADJUSTED
BALANCE
TO EQUAL
IS ADJUSTED
THE BANK
TO EQUAL
BALANCE.
THE BANK BALANCE.
194 103074 103074 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
IS A FORM
EQUIVALENTS
OF BANK
IS ARECONCILIATION
FORM OF BANK
BANK
RECONCILIATION
WHERE
TO BOOK
THE BANK
METHOD
WHERE
BALANCE
THEISBANK
RECONCILED
BALANCEWITH
IS RECONCILED
THE BOOK BALANCE
WITH THEOR
BOOK
THEBALANCE
BANK BALANCE
OR THEISBANK
ADJUSTED
BALANCE
TO EQUAL
IS ADJUSTED
THE BOOK
TO EQUAL
BALANCE.
THE BOOK BALANCE.
195 103075 103075 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
FORMULA
EQUIVALENTS
TO COMPUTE
FORMULA
FORTO
THE
COMPUTE
ADJUSTED
BOOK BALANCE
FOR
BOOK
THE +BALANCE
ADJUSTED
CREDIT MEMOS
UNDER
BOOK BALANCE
THE
- DEBIT
ADJUSTED
MEMOS
UNDER
BALANCE
±THE
EFFECT
ADJUSTED
METHOD
OF ERRORS
BALANCE
OF =BANK
ADJUSTED
METHOD
RECONCILIATION
BOOK
OF BANK
BALANCE
RECONCILIATION
196 103076 103076 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
FORMULA
EQUIVALENTS
TO COMPUTE
FORMULA
FORTO
THE
COMPUTE
ADJUSTED
BANK BALANCE
FOR
BANK
THE+BALANCE
ADJUSTED
DEPOSITSUNDER
BANK
IN TRANSIT
BALANCE
THE ADJUSTED
- OUTSTANDING
UNDER
BALANCE
THE ADJUSTED
CHECKS
METHOD
± EFFECT
BALANCE
OF BANK
OFMETHOD
ERRORS
RECONCILIATION
=OFADJUSTED
BANK RECONCILIATION
BANK BALANCE
197 103077 103077 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
FORMULA
EQUIVALENTS
USED UNDER
FORMULA
THEUSED
BOOKUNDER
BOOK
TO BANK
BALANCE
THEMETHOD
BOOK+ TO
CREDIT
OFBANK
BANK
MEMOS
METHOD
RECONCILIATION
+ OUTSTANDING
OF BANK RECONCILIATION
CHECKS - DEBIT MEMOS - DEPOSITS IN TRANSIT ± EFFECT OF ERRORS = BANK BALANCE
198 103078 103078 FAR - CASH AND CASH
FAR - EQUIVALENTS
CASH AND CASH
FORMULA
EQUIVALENTS
USED UNDER
FORMULA
THEUSED
BANKUNDER
BANK
TO BOOK
BALANCE
THEMETHOD
BANK+ TO
DEPOSITS
OF
BOOK
BANKMETHOD
INRECONCILIATION
TRANSIT
OF+BANK
DEBITRECONCILIATION
MEMOS - OUTSTANDING CHECKS - CREDIT MEMOS ± EFFECT OF ERRORS = BOOK BALANCE
1. SOLE PROPRIETORSHIP
2. PARTNERSHIP
199 120001 120001 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
FORMSEQUITY
OF BUSINESS
FORMS
ORGANIZATIONS
OF BUSINESS
3. CORPORATION
ORGANIZATIONS
(3 ITEMS) (3 ITEMS)
200 120002 120002 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
IS AN EQUITY
ARTIFICIAL BEING
IS AN ARTIFICIAL
CREATED BYBEING
CORPORATION
OPERATION
CREATED
OFBYLAW,
OPERATION
HAVING OF
THELAW,
RIGHT
HAVING
OF SUCCESSION,
THE RIGHT AND
OF SUCCESSION,
THE POWERS,AND
ATTRIBUTES
THE POWERS,
AND ATTRIBUTES
PROPERTIES AND
EXPRESSLY
PROPERTIES
AUTHORIZED
EXPRESSLY
BY LAW
AUTHORIZED
OR INCIDENT
BY LAW
TO ITS
OR EXISTENCE.
INCIDENT TO ITS EXISTENCE.
1. MINUTES BOOK
2. STOCK AND TRANSFER BOOK
3. BOOKS OF ACCOUNTS
4. SUBSCRIPTION BOOK
5. SHAREHOLDERS' LEDGER
6. SUBSCRIBERS' LEDGER
201 120003 120003 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
BOOKSEQUITY
AND RECORDS
BOOKS
OFAND
A CORPORATION
RECORDS
7. SHARE
OF A
(7CERTIFICATE
CORPORATION
ITEMS) BOOK
(7 ITEMS)
202 120004 120004 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
CONTAINS
EQUITY
THE MINUTES
CONTAINS
OF THE
THE MINUTES
MEETINGS
MINUTESOFOF
BOOK
THE
THEMEETINGS
DIRECTORS
OFAND
THE SHAREHOLDERS.
DIRECTORS AND SHAREHOLDERS.
203 120005 120005 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
IS A RECORD
EQUITY OF THE
IS ANAMES
RECORDOFOFSHAREHOLDERS,
THE
STOCK
NAMES
ANDOF
TRANSFER
INSTALLMENTS
SHAREHOLDERS,
BOOK PAID
INSTALLMENTS
AND UNPAIDPAID
BY SHAREHOLDERS
AND UNPAID BYAND
SHAREHOLDERS
DATES OF PAYMENT,
AND DATES
ANY
OFTRANSFER
PAYMENT,OFANY
SHARE
TRANSFER
AND DATES
OF SHARE
THEREOF,
AND DATES
BY WHOM
THEREOF,
AND TOBYWHOM
WHOMMADE.
AND TO WHOM MADE.
204 120006 120006 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
REPRESENT
EQUITYTHE RECORD
REPRESENT
OF ALL
THEBUSINESS
RECORD
BOOKS OF
OF
TRANSACTIONS
ACCOUNTS
ALL BUSINESS(JOURNAL
TRANSACTIONS
AND LEDGERS).
(JOURNAL AND LEDGERS).
205 120007 120007 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
IS A BOOK
EQUITY
OF PRINTED
IS A BOOK
BLANK
OFSUBSCRIPTIONS.
PRINTED
SUBSCRIPTION
BLANK SUBSCRIPTIONS.
BOOK
206 120008 120008 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
IS A SUBSIDIARY
EQUITY FOR
IS A THE
SUBSIDIARY
SHARE CAPITAL
FOR
SHAREHOLDERS'
THEISSUED
SHAREREPORTING
CAPITAL
LEDGERISSUED
THE NUMBER
REPORTING
OF THE
SHARES
NUMBER
ISSUED
OFTO
SHARES
EACH SHAREHOLDER.
ISSUED TO EACH SHAREHOLDER.
207 120009 120009 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
IS A SUBSIDIARY
EQUITY FOR
IS A THE
SUBSIDIARY
SUBSCRIPTIONS
FOR
SUBSCRIBERS'
THERECEIVABLE
SUBSCRIPTIONS
LEDGER
ACCOUNT
RECEIVABLE
REPORTING
ACCOUNT
THE INDIVIDUAL
REPORTING SUBSCRIPTION
THE INDIVIDUAL
OFSUBSCRIPTION
THE SUBSCRIBERS.
OF THE SUBSCRIBERS.
208 120010 120010 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
IS A BOOK
EQUITY
OF PRINTED
IS A BOOK
BLANK
OFSHARE
PRINTED
SHARE
CERTIFICATES.
BLANK
CERTIFICATE
SHARE BOOK
CERTIFICATES.
209 120011 120011 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
REPRESENT
EQUITYCOSTSREPRESENT
INCURREDCOSTS
IN FORMING
ORGANIZATION
INCURRED
OR ORGANIZING
IN FORMING
COSTS AOR
CORPORATION.
ORGANIZING A CORPORATION.
210 120012 120012 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
TREATMENT
EQUITY FOR TREATMENT
ORGANIZATION
FORCOSTS
ORGANIZATION
ORGANIZATION COSTS
COSTS SHALL BE RECOGNIZED AS EXPENSE WHEN INCURRED.
211 120013 120013 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
IS THEEQUITY
RESIDUAL INTEREST
IS THE RESIDUAL
OF OWNERS
INTEREST
SHAREHOLDERS'
IN THE
OFNET
OWNERS
EQUITY
ASSETS
INOF
THEA NET
CORPORATION
ASSETS OF A
MEASURED
CORPORATION
BY THE
MEASURED
EXCESS OFBYASSETS
THE EXCESS
OVER LIABILITIES.
OF ASSETS OVER LIABILITIES.
212 120014 120014 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
IS THEEQUITY
PORTION OF
IS THE PORTION
PAID-IN CAPITAL
OF
CAPITAL
THE REPRESENTING
PAID-IN
STOCKCAPITAL
OR SHARE
THE
REPRESENTING
CAPITAL
TOTAL PAR OR
THE
STATED
TOTALVALUE
PAR OR
OFSTATED
THE SHARES
VALUEISSUED.
OF THE SHARES ISSUED.
213 120015 120015 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
IS THEEQUITY
PORTION OF
IS THE PORTION
AUTHORIZED
OF
SUBSCRIBED
THE
SHARE
AUTHORIZED
CAPITAL
SHARETHAT
CAPITAL
SHARE
HAS
CAPITAL
BEEN SUBSCRIBED
THAT HAS BEEN
BUT SUBSCRIBED
NOT YET FULLY
BUTPAID
NOTAND
YET THEREFORE
FULLY PAID AND
STILLTHEREFORE
UNISSUED. STILL UNISSUED.
214 120016 120016 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
IS THEEQUITY
AMOUNT STILL
IS THEDUE
AMOUNT
FROM THE
STILL
SUBSCRIPTION
SUBSCRIBERS
DUE FROMRECEIVABLE
THE
OF SHARE
SUBSCRIBERS
CAPITAL.
OF SHARE CAPITAL.
1. NOT COLLECTIBLE CURRENTLY (TRUE IF SILENT) - REPORTED AS A DEDUCTION TO SUBSCRIBED SHARE CAPITAL
215 120017 120017 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
TREATMENT
EQUITY FOR TREATMENT
SUBSCRIPTION
FOR
RECEIVABLE
SUBSCRIPTION
2. COLLECTIBLERECEIVABLE
CURRENTLY - CURRENT ASSET
216 120018 120018 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
IS THEEQUITY
PORTION OF
IS THE PORTION
PAID-IN CAPITAL
OF
ADDITIONAL
THE REPRESENTING
PAID-IN
PAID-IN
CAPITAL
CAPITAL
EXCESS
REPRESENTING
OR
OVER
SHARE
THEEXCESS
PREMIUM
PAR OROVER
STATED
THEVALUE.
PAR OR STATED VALUE.
217 120019 120019 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
REPRESENT
EQUITYTHE CUMULATIVE
REPRESENT THE
BALANCE
CUMULATIVE
RETAINED
OF PERIODIC
EARNINGS
BALANCE
EARNINGS,
OF PERIODIC
DIVIDEND
EARNINGS,
DISTRIBUTIONS,
DIVIDENDPRIOR
DISTRIBUTIONS,
PERIOD ERRORS
PRIORAND
PERIOD
OTHER
ERRORS
CAPITAL
ANDADJUSTMENTS.
OTHER CAPITAL ADJUSTMENTS.
218 120020 120020 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
IS THEEQUITY
EXCESS OFISREVALUED
THE EXCESS
AMOUNT
OFREVALUATION
REVALUED
OVER THE
AMOUNT
SURPLUS
CARRYING
OVERAMOUNT
THE CARRYING
OF THEAMOUNT
REVALUEDOFASSET.
THE REVALUED ASSET.
219 120021 120021 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
ARE THE
EQUITY
CORPORATION'S
ARE THE OWN
CORPORATION'S
SHARES
TREASURY
THAT
OWN
SHARES
HAVE
SHARES
BEENTHAT
ISSUED
HAVE
ANDBEEN
THENISSUED
REACQUIRED
AND THEN
BUTREACQUIRED
NOT CANCELLED.
BUT NOT CANCELLED.
220 120022 120022 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
IS THEEQUITY
AMOUNT FIXED
IS THEINAMOUNT
THE ARTICLES
FIXED
AUTHORIZED
OF
IN THE
INCORPORATION
ARTICLES
SHARE CAPITAL
OF INCORPORATION
TO (CAPITAL
BE SUBSCRIBED
STOCK
TOAND
AS
BEPER
SUBSCRIBED
PAID
CORPORATION
IN OR SECURED
AND PAID
CODE)
TO
INBE
ORPAID
SECURED
IN BY TO
THEBESHAREHOLDERS
PAID IN BY THEOF
SHAREHOLDERS
THE CORPORATION,
OF THEEITHER
CORPORATION,
IN MONEYEITHER
OR PROPERTY
IN MONEY
OROR
SERVICES,
PROPERTYAT THE
OR SERVICES,
ORGANIZATION
AT THEOF
ORGANIZATION
THE CORPORATION,
OF THEOR
CORPORATION,
AFTERWARDSOR
AND
AFTERWARDS
UPON WHICAND UPON WHIC
221 120023 120023 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
REPRESENTS
EQUITY THE REPRESENTS
INTEREST ORTHE
RIGHT
SHARE
INTEREST
OF AOR
SHAREHOLDER
OR
STOCK
RIGHT OF A
INSHAREHOLDER
THE CORPORATION.
IN THE CORPORATION.
222 120024 120024 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
IS THEEQUITY
INSTRUMENT
IS THE
OR INSTRUMENT
DOCUMENTSHARE
THAT
OR DOCUMENT
CERTIFICATE
EVIDENCES THAT
THE OWNERSHIP
EVIDENCES THE
OF AOWNERSHIP
SHARE. OF A SHARE.
223 120025 120025 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
RULE EQUITY
ON ISSUANCE
RULE
OF ON
SHARE
ISSUANCE
CERTIFICATES
AS OF
A GENERAL
SHARE CERTIFICATES
RULE, A SHARE CERTIFICATE IS ISSUED ONLY WHEN A SUBSCRIPTION IS FULLY PAID.
224 120026 120026 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
IS A SHARE
EQUITY
WITH IS
A SPECIFIC
A SHARE VALUE
WITH PAR
AFIXED
SPECIFIC
VALUE
IN THE
VALUE
SHARE
ARTICLES
FIXED OF
IN THE
INCORPORATION
ARTICLES OF INCORPORATION
AND APPEARING ON
ANDTHE
APPEARING
SHARE CERTIFICATE.
ON THE SHARE CERTIFICATE.
225 120027 120027 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
IS A SHARE
EQUITY
WITHOUT
IS A SHARE
ANY VALUE
WITHOUT
APPEARING
NO-PAR
ANYVALUE
VALUE
ON THE
SHARE
APPEARING
FACE OF THE
ON THE
SHARE
FACE
CERTIFICATE.
OF THE SHARE CERTIFICATE.
226 120028 120028 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
FIXES EQUITY
THE MINIMUM
FIXESISSUE
THE MINIMUM
PRICE OF
PARTHE
ISSUE
VALUE
SHARE.
PRICE OF THE SHARE.
227 120029 120029 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
IS A VALUE
EQUITY
ATTRIBUTED
IS A VALUE
TO AATTRIBUTED
NO-PAR
STATED
VALUE
TO
VALUE
ASHARE.
NO-PAR VALUE SHARE.
228 120030 120030 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
RULE EQUITY
ON THE MINIMUM
RULE ONCONSIDERATION
THE MINIMUM
A NO-PAR
OR
CONSIDERATION
VALUE
ISSUE PRICE
SHAREFOR
CANNOT
OR NO-PAR
ISSUEBE
PRICE
VALUE
ISSUED
FORSHARES
FOR
NO-PAR
A CONSIDERATION
VALUE SHARESOF LESS THAN P5.00.
1. ORDINARY SHARES
229 120031 120031 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
COMMON
EQUITY
CLASSES
COMMON
OF SHARES
CLASSES
(2 ITEMS)
2.OF
PREFERENCE
SHARES (2 SHARES
ITEMS)
230 120032 120032 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
ARE SHARES
EQUITYIN A ARE
CORPORATION
SHARES IN A
THAT
ORDINARY
CORPORATION
ARE OWNED
SHARES
THAT
BY PEOPLE
ARE OWNED
WHO HAVE
BY PEOPLE
COMPLETE
WHO HAVE
VOTING
COMPLETE
RIGHTS AT
VOTING
THE CORPORATION'S
RIGHTS AT THE MEETINGS
CORPORATION'S
AND TO
MEETINGS
RECEIVE PART
AND TO
OFRECEIVE
THE CORPORATION'S
PART OF THE PROFITS
CORPORATION'S
AFTER THE
PROFITS
HOLDERS
AFTER
OF THE
OTHER
HOLDERS
CLASSES
OFOF
OTHER
SHARES
CLASSES
HAVE OF
BEEN
SHARES
PAID.HAVE BEEN PAID.
231 120033 120033 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
ARE SHARES
EQUITYIN A ARE
CORPORATION
SHARES IN A
THAT
PREFERENCE
CORPORATION
ARE OWNED
SHARES
THAT
BY SHAREHOLDERS
ARE OWNED BYWHO
SHAREHOLDERS
ENJOY CERTAIN
WHOPREFERENTIAL
ENJOY CERTAIN
RIGHTS
PREFERENTIAL
SUCH AS THE
RIGHTS
PREFERENCE
SUCH AS THE
AS TO
PREFERENCE
DIVIDENDSAS
AND
TONET
DIVIDENDS
ASSETS.AND NET ASSETS.
232 120034 120034 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
FIXEDEQUITY
OR VARIABLE
FIXED
RETURN
OR VARIABLE
ON INVESTMENT:
VARIABLE
RETURN ON
ORDINARY
INVESTMENT:
SHAREHOLDERS
ORDINARY SHAREHOLDERS
233 120035 120035 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
FIXEDEQUITY
OR VARIABLE
FIXED
RETURN
OR VARIABLE
ON INVESTMENT:
FIXED
RETURN ON
PREFERENCE
INVESTMENT:
SHAREHOLDERS
PREFERENCE SHAREHOLDERS
234 120036 120036 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
IS THAT
EQUITY
PORTIONISOFTHAT
THE PORTION
PAID IN CAPITAL
LEGAL
OF THECAPITAL
ARISING
PAID IN CAPITAL
FROM THEARISING
ISSUANCE
FROM
OFTHE
SHARE
ISSUANCE
CAPITAL
OFWHICH
SHARECANNOT
CAPITAL BE
WHICH
RETURNED
CANNOT
TOBE
THERETURNED
SHAREHOLDERS
TO THEIN
SHAREHOLDERS
ANY FORM DURING
IN ANY
THE
FORM
LIFETIME
DURING
OF THE LIFETIME
CORPORATION.
OF THE CORPORATION.
1. PAR VALUE SHARES - AGGREGATE PAR VALUE OF THE SHARES ISSUED AND SUBSCRIBED
235 120037 120037 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
RULESEQUITY
ON THE AMOUNT
RULES ON
OFTHE
LEGAL
AMOUNT
CAPITAL
2. NO-PAR
OF LEGAL
VALUECAPITAL
SHARES - TOTAL CONSIDERATION RECEIVED FROM SHAREHOLDERS INCLUDING THE EXCESS OVER STATED VALUE
1. MEMORANDUM METHOD (MORE COMMONLY USED)
236 120038 120038 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
METHODS
EQUITY
OF ACCOUNTING
METHODS OF
FORACCOUNTING
SHARE
2. JOURNAL
CAPITAL
FOR
ENTRY
(2SHARE
ITEMS)
METHOD
CAPITAL (2 ITEMS)
237 120039 120039 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
IS A CONTRACT
EQUITY OR
IS LEGAL
A CONTRACT
AGREEMENT
OR
STOCK
LEGAL
BETWEEN
SUBSCRIPTION
AGREEMENT
AN INVESTOR
BETWEEN
AND
ANA INVESTOR
CORPORATION
AND A
THAT
CORPORATION
REQUIRES THE
THAT
FORMER
REQUIRES
TO PURCHASE
THE FORMER
A SET
TO PURCHASE
NUMBER OFA SHARES
SET NUMBER
FROMOF
THE
SHARES
CORPORATION
FROM THE
ATCORPORATION
A FUTURE DATE
ATFOR
A FUTURE
A SPECIFIC
DATEPRICE.
FOR A SPECIFIC PRICE.
1. MEMORANDUM METHOD - MEMO ENTRY
238 120040 120040 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
JOURNAL
EQUITY
ENTRY FOR
JOURNAL
AUTHORIZED
ENTRY FOR
2.
SHARE
JOURNAL
AUTHORIZED
CAPITAL
ENTRY
(USING
SHARE
METHOD
MEMORANDUM
CAPITAL
- DR.(USING
UNISSUED
AND
MEMORANDUM
SHARE
JOURNAL
CAPITAL
ENTRY
AND(NUMBER
METHODS)
JOURNALOF
ENTRY
AUTHORIZED
METHODS)
SHARES * PAR VALUE); CR. AUTHORIZED SHARE CAPITAL
239 120041 120041 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
JOURNAL
EQUITY
ENTRY FOR
JOURNAL
THE RECEIPT
ENTRY FOR
1.
OFMEMORANDUM
SUBSCRIPTION
THE RECEIPT OF
TO
METHOD
SUBSCRIPTION
SHARES- (USING
DR. SUBSCRIPTION
TOMEMORANDUM
SHARES (USING
RECEIVABLE
AND
MEMORANDUM
JOURNAL
(NUMBER
ENTRY
AND
OF SHARES
METHODS)
JOURNAL
SUBSCRIBED
ENTRY METHODS)
* ISSUE PRICE); CR. SUBSCRIBED SHARE CAPITAL (NUMBER OF SHARES SUBSCRIBED * PAR VALUE), SHARE PREMIUM [NUMBER OF SHARES SUBSCRIBED * (ISSUE PRICE - PAR VALUE)] OR (BALANCING F
1. MEMORANDUM METHOD - DR. CASH OR ANY OTHER ACCOUNT AS APPLICABLE (AMOUNT OF PROCEEDS); CR. SUBSCRIPTION RECEIVABLE
240 120042 120042 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
JOURNAL
EQUITY
ENTRY FOR
JOURNAL
THE RECEIPT
ENTRY FOR
OF
2. JOURNAL
PAYMENT
THE RECEIPT
ENTRY
FOROF
SHARES
METHOD
PAYMENT
PREVIOUSLY
- SAME
FOR SHARES
ENTRY
SUBSCRIBED
PREVIOUSLY
(USING
SUBSCRIBED
MEMORANDUM
(USING AND
MEMORANDUM
JOURNAL ENTRY
AND METHODS)
JOURNAL ENTRY METHODS)
1. MEMORANDUM METHOD - DR. SUBSCRIBED SHARE CAPITAL (NUMBER OF SHARES FULLY PAID FOR * PAR VALUE); CR. SHARE CAPITAL
241 120043 120043 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
JOURNAL
EQUITY
ENTRY FOR
JOURNAL
THE ISSUANCE
ENTRY FOR
2.OF
JOURNAL
THE
SHARE
ISSUANCE
CERTIFICATES
ENTRYOF
METHOD
SHARE
FOR-CERTIFICATES
DR.
FULLY
SUBSCRIBED
PAID SUBSCRIPTIONS
FORSHARE
FULLY PAID
CAPITAL
(USING
SUBSCRIPTIONS
(NUMBER
MEMORANDUM
OF(USING
SHARESAND
MEMORANDUM
FULLY
JOURNAL
PAID FOR
ENTRY
AND
* PAR
METHODS)
JOURNAL
VALUE);ENTRY
CR. UNISSUED
METHODS)
SHARE CAPITAL
1. MEMORANDUM METHOD - DR. CASH OR ANY OTHER ACCOUNT AS APPLICABLE (AMOUNT OF PROCEEDS); CR. SHARE CAPITAL
242 120044 120044 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
JOURNAL
EQUITY
ENTRY FOR
JOURNAL
SALE AND
ENTRY
ISSUANCE
FOR
2. JOURNAL
SALEOFAND
SHARES
ENTRY
ISSUANCE
FOR
METHOD
CASH
OF SHARES
-OR
DR.OTHER
CASH
FOROR
CONSIDERATION
CASH
ANYOROTHER
OTHERACCOUNT
(USING
CONSIDERATION
MEMORANDUM
AS APPLICABLE
(USING(AMOUNT
AND
MEMORANDUM
JOURNAL
OF PROCEEDS);
ENTRY
AND METHOD)
JOURNAL
CR. UNISSUED
ENTRY METHOD)
SHARE CAPITAL
243 120045 120045 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
WHENEQUITY
SHARES ARE
WHEN
SOLDSHARES
AT A PRICE
ARE
DISCOUNT
WHICH
SOLD ATISABELOW
PRICE WHICH
PAR ORISSTATED
BELOWVALUE,
PAR ORTHEY
STATED
AREVALUE,
SAID TOTHEY
BE ISSUED
ARE SAID
AT A
TO__________
BE ISSUED AT
(PROHIBITED
A __________
BY THE
(PROHIBITED
CORPORATION
BY THE
CODE).
CORPORATION CODE).
244 120046 120046 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
TREATMENT
EQUITY FOR TREATMENT
DISCOUNT ARISING
FOR THE
DISCOUNT
FROM
DISCOUNT
ISSUANCE
ARISING
IS TREATED
OF
FROM
SHARES
ISSUANCE
AS AAT
LIABILITY
LESS
OFTHAN
SHARES
OF THE
PARAT
SHAREHOLDER
VALUE
LESS THAN PAR
TOVALUE
THE CORPORATION. IT IS RECORDED IN THE "DISCOUNT ON SHARE CAPITAL" ACCOUNT. THIS ACCOUNT IS A CONTRA-EQUITY ACCOUNT.
245 120047 120047 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
JOURNAL
EQUITY
ENTRY FOR
JOURNAL
ISSUANCE
ENTRY
OFFOR
DR.
SHARES
CASH
ISSUANCE
AT
ORAANY
DISCOUNT
OF SHARES
OTHER ACCOUNT
AT A DISCOUNT
AS APPLICABLE (AMOUNT OF PROCEEDS), DISCOUNT ON SHARE CAPITAL (BALANCING FIGURE); CR. SHARE CAPITAL (NUMBER OF SHARES ISSUED * PAR VALUE)
246 120048 120048 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
SHAREEQUITY
TRANSACTION
SHARE
TOTRANSACTION
WHICH PROHIBITION
ORIGINAL
TO WHICH
ISSUANCE
TO ISSUE
PROHIBITION
(NOT
SHARES
SUBSEQUENT
TO
AT ISSUE
A DISCOUNT
SHARES
TRANSFER)
ISAT
APPLICABLE
A DISCOUNT IS APPLICABLE
IN ORDER OF PRIORITY:
1. FAIR VALUE OF THE NON-CASH CONSIDERATION RECEIVED
2. FAIR VALUE OF THE SHARES ISSUED
247 120049 120049 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
MEASUREMENT
EQUITY OF
MEASUREMENT
NON-CASH CONSIDERATION
OF
3. NON-CASH
PAR VALUERECEIVED
CONSIDERATION
OF THE SHARES
FOR ISSUANCE
ISSUED
RECEIVED
OFFOR
SHARES
ISSUANCE
(3 ITEMS)
OF SHARES (3 ITEMS)
248 120050 120050 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
RULE EQUITY
ON ISSUANCE
RULE
OF ON
SHARE
ISSUANCE
CAPITAL
SHARES
OFFOR
SHARE
MAY
SERVICES
CAPITAL
BE ISSUED
FOR
FOR
SERVICES
SERVICES AS LONG AS THE SERVICES ARE ALREADY RENDERED.
249 120051 120051 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
ARE DIRECT
EQUITYCOSTS
ARE
TODIRECT
SELL SHARE
COSTS
CAPITAL
SHARE
TO SELL
ISSUANCE
WHICH
SHARENORMALLY
CAPITAL
COSTS WHICH
INCLUDE
NORMALLY
LEGAL FEES,
INCLUDE
CPA FEES,
LEGALUNDERWRITING
FEES, CPA FEES,FEES,
UNDERWRITING
COMMISSIONS,
FEES,COST
COMMISSIONS,
OF PRINTING
COST
CERTIFICATES,
OF PRINTINGDOCUMENTARY
CERTIFICATES,STAMPS,
DOCUMENTARY
FILING FEES
STAMPS,
WITHFILING
SEC AND
FEES
COST
WITH
OFSEC
ADVERTISING
AND COST OF
ANDADVERTISING
PROMOTION, AND
OR PROMOTION,
NEWSPAPER PUBLICATION
OR NEWSPAPER
FEEPUBLICATION FEE
DEDUCTION TO THE FOLLOWING (IN ORDER OF PRIORITY):
1. SHARE PREMIUM FROM PREVIOUS ISSUANCE
250 120052 120052 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
TREATMENT
EQUITY FOR TREATMENT
SHARE ISSUANCE
FOR SHARE
2.
COSTS
RETAINED
ISSUANCE
EARNINGS
COSTS
251 120053 120053 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
REFERS
EQUITY
TO THE COMPANY'S
REFERS TO SHARES
THE COMPANY'S
LISTING
BEING ONSHARES
THE LIST
BEING
(OR BOARD)
ON THE OF
LISTSTOCKS
(OR BOARD)
THAT OF
ARESTOCKS
OFFICIALLY
THATTRADED
ARE OFFICIALLY
ON A STOCK
TRADED
EXCHANGE.
ON A STOCK EXCHANGE.
252 120054 120054 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
ARE COSTS
EQUITY
THAT RELATE
ARE COSTS
TO STOCK
THAT RELATE
COSTS
MARKET
OF
TOLISTING.
PUBLIC
STOCK OFFERING
MARKET LISTING.
OF SHARES (NOT INCREMENTAL COSTS DIRECTLY ATTRIBUTABLE TO THE ISSUANCE OF NEW SHARES)
253 120055 120055 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
TREATMENT
EQUITY FOR TREATMENT
COSTS OF PUBLIC
FOR EXPENSED
COSTS
OFFERING
OF PUBLIC
AS
OFINCURRED
SHARES
OFFERING OF SHARES
254 120056 120056 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
TREATMENT
EQUITY FOR TREATMENT
TRANSACTION
FOR
COSTS
THE
TRANSACTION
JOINT
THAT RELATE
COSTCOSTS
SHALL
JOINTLY
THAT
BE ALLOCATED
TO
RELATE
THE LISTING
JOINTLY
PRO AND
RATA
TO THE
ISSUANCE
ONLISTING
THE BASIS
OFAND
NEW
OFISSUANCE
OUTSTANDING
SHARES, OF
ANDNEW
LISTING
NEWLY
SHARES,
OF
ISSUED
OLD
ANDEXISTING
AND
LISTING
LISTED
OF
SHARES
SHARES
OLD EXISTING
AND OUTSTANDING
SHARES OLD EXISTING SHARES.
255 120057 120057 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
IS SHARE
EQUITY
CAPITALISISSUED
SHAREFOR
CAPITAL
INADEQUATE
WATERED
ISSUED FOR
OR
SHARE
INADEQUATE
INSUFFICIENT OR
CONSIDERATION
INSUFFICIENT (I.E.,
CONSIDERATION
THE CONSIDERATION
(I.E., THE RECEIVED
CONSIDERATION
IS LESS RECEIVED
THAN PARISOR
LESS
STATED
THANVALUE,
PAR ORBUT
STATED
THE SHARE
VALUE,CAPITAL
BUT THEISSHARE
ISSUEDCAPITAL
AS FULLY
IS PAID).
ISSUED AS FULLY PAID).
1. ASSET - OVERSTATED
256 120058 120058 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
EFFECT
EQUITY
OF WATERED
EFFECT
SHARES
OF WATERED
ON ASSET
2. CAPITAL
SHARES
AND CAPITAL
-ON
OVERSTATED
ASSET AND CAPITAL
257 120059 120059 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
JOURNAL
EQUITY
ENTRY TO
JOURNAL
CORRECT
ENTRY
ISSUANCE
TO
DR.CORRECT
DISCOUNT
OF WATERED
ISSUANCE
ON SHARE
SHARES
OFCAPITAL
WATERED [(NUMBER
SHARES OF SHARES ISSUED * PAR VALUE) - FAIR VALUE OF ASSET RECEIVED]; CR. ASSET
258 120060 120060 FAR - SHAREHOLDERS'
FAR - EQUITY
SHAREHOLDERS'
ARISES
EQUITY
WHEN ASSET
ARISES
IS UNDERSTATED
WHEN ASSET
SECRET
IS
ORUNDERSTATED
LIABILITY
RESERVE IS OVERSTATED
OR LIABILITYWITH
IS OVERSTATED
A CONSEQUENT
WITHUNDERSTATEMENT
A CONSEQUENT UNDERSTATEMENT
OF CAPITAL. OF CAPITAL.
259 201001 201001 AFAR - PARTNERSHIP
AFARFORMATION
- PARTNERSHIP
BY THE
FORMATION
CONTRACTBYOF
THE
__________,
CONTRACTPARTNERSHIP
TWO
OF __________,
OR MORE PERSONS
TWO ORBIND
MORETHEMSELVES
PERSONS BIND
TO CONTRIBUTE
THEMSELVES MONEY,
TO CONTRIBUTE
PROPERTY
MONEY,
OR INDUSTRY
PROPERTY
TO OR
A COMMON
INDUSTRYFUND
TO A WITH
COMMON
THE INTENTION
FUND WITHOF
THE
DIVIDING
INTENTION
THE OF
PROFITS
DIVIDING
AMONG
THE PROFITS
THEMSELVES.
AMONG THEMSELVES.
1. SEPARATE LEGAL PERSONALITY
2. EASE OF FORMATION
3. CO-OWNERSHIP OF PARTNERSHIP PROPERTY AND PROFITS
4. LIMITED LIFE
5. MUTUAL AGENCY
260 201002 201002 AFAR - PARTNERSHIP
AFARFORMATION
- PARTNERSHIP
CHARACTERISTICS
FORMATION CHARACTERISTICS
OF A PARTNERSHIP
6.OFUNLIMITED
AS
A PARTNERSHIP
A FORM LIABILITY
OF BUSINESS
AS A FORM
ORGANIZATION
OF BUSINESS(6ORGANIZATION
ITEMS) (6 ITEMS)
261 201003 201003 AFAR - PARTNERSHIP
AFARFORMATION
- PARTNERSHIP
IS A FORMATION
CHARACTERISTIC
IS A CHARACTERISTIC
OF PARTNERSHIPS
SEPARATE
OF
WHICH
PARTNERSHIPS
LEGAL
REFERS
PERSONALITY
TOWHICH
THE FACT
REFERS
THAT
TOATHE
PARTNERSHIP
FACT THATMAY
A PARTNERSHIP
ACQUIRE PROPERTY
MAY ACQUIRE
IN ITS OWN
PROPERTY
NAMEINAND
ITS OWN
MAY ENTER
NAME AND
INTOMAY
CONTRACTS.
ENTER INTO CONTRACTS.
262 201004 201004 AFAR - PARTNERSHIP
AFARFORMATION
- PARTNERSHIP
IS A FORMATION
CHARACTERISTIC
IS A CHARACTERISTIC
OF PARTNERSHIPS
EASEOFOF
WHICH
PARTNERSHIPS
FORMATION
REFERS TOWHICH
THE FACT
REFERS
THAT
TOTHE
THEFORMATION
FACT THAT THE
OF AFORMATION
PARTNERSHIP
OFDOES
A PARTNERSHIP
NOT REQUIRE
DOES
AS NOT
MANYREQUIRE
FORMALITUES
AS MANY
ASFORMALITUES
A CORPORATION.
AS A CORPORATION.
263 201005 201005 AFAR - PARTNERSHIP
AFARFORMATION
- PARTNERSHIP
IS A FORMATION
CHARACTERISTIC
IS A CHARACTERISTIC
OF PARTNERSHIPS
CO-OWNERSHIP
OF
WHICH
PARTNERSHIPS
REFERS
OF PARTNERSHIP
TOWHICH
THE FACT
REFERS
PROPERTY
THAT
TOEACH
THEAND
FACT
PARTNER
PROFITS
THATHAS
EACH
A PROPRIETARY
PARTNER HASINTEREST
A PROPRIETARY
IN THE ASSETS
INTEREST
AND
IN PROFITS
THE ASSETS
OF THE
ANDPARTNERSHIP.
PROFITS OF THE PARTNERSHIP.
264 201006 201006 AFAR - PARTNERSHIP
AFARFORMATION
- PARTNERSHIP
IS A FORMATION
CHARACTERISTIC
IS A CHARACTERISTIC
OF PARTNERSHIP
LIMITED
OF
WHICH
PARTNERSHIP
LIFEREFERS TOWHICH
THE FACT
REFERS
THAT
TOANY
THECHANGE
FACT THAT
IN THE
ANYAGREEMENT
CHANGE IN THE
OF THE
AGREEMENT
PARTNERSOF
TERMINATES
THE PARTNERS
THETERMINATES
PARTNERSHIP.
THEA PARTNERSHIP
PARTNERSHIP.MAY
A PARTNERSHIP
ALSO EXPIREMAY
DUEALSO
TO CHANGES
EXPIRE DUE
IN THE
TO CHANGES
RELATIONSHIP
IN THE
OFRELATIONSHIP
THE PARTNERSOF
(DEATH,
THE PARTNERS
WITHDRAWAL,
(DEATH,ETC.).
WITHDRAWAL, ETC.).
265 201007 201007 AFAR - PARTNERSHIP
AFARFORMATION
- PARTNERSHIP
IS CHARACTERISTIC
FORMATION IS CHARACTERISTIC
OF PARTNERSHIPS
MUTUAL
OFWHICH
PARTNERSHIPS
AGENCY
REFERS TOWHICH
THE FACT
REFERS
THAT
TOEACH
THE FACT
PARTNER
THATHAS
EACH
ANPARTNER
EQUAL RIGHT
HAS AN
TO EQUAL
ACT FOR
RIGHT
THE PARTNERSHIP
TO ACT FOR THE
ANDPARTNERSHIP
TO ENTER INTO
ANDCONTRACTS
TO ENTER INTO
BINDING
CONTRACTS
UPON IT,BINDING
AS LONGUPON
AS HEIT,ACTS
AS LONG
WITHIN
AS THE
HE ACTS
NORMAL
WITHIN
SCOPE
THEOF
NORMAL
BUSINESS
SCOPE
OPERATIONS.
OF BUSINESS OPERATIONS.
266 201008 201008 AFAR - PARTNERSHIP
AFARFORMATION
- PARTNERSHIP
IS A FORMATION
CHARACTERISTIC
IS A CHARACTERISTIC
OF PARTNERSHIPS
UNLIMITED
OF
WHICH
PARTNERSHIPS
LIABILITY
REFERS TOWHICH
THE FACT
REFERS
THAT
TOEACH
THE FACT
PARTNER
THATMAY
EACH
BEPARTNER
HELD PERSONALLY
MAY BE HELD
LIABLE
PERSONALLY
FOR ALL THE
LIABLE
DEBTS
FOR
OFALL
THETHE
PARTNERSHIP.
DEBTS OF THE PARTNERSHIP.
1. CAPITAL ACCOUNTS
2. DRAWING OR PERSONAL ACCOUNTS
267 201009 201009 AFAR - PARTNERSHIP
AFARFORMATION
- PARTNERSHIP
PARTNER'S
FORMATION
LEDGER
PARTNER'S
ACCOUNTS
LEDGER
(3 ITEMS)
3. ACCOUNTS
ACCOUNTS (3FOR
ITEMS)
LOANS TO OR FROM PARTNERS
1. ORIGINAL INVESTMENT
2. ADDITIONAL INVESTMENT
268 201010 201010 AFAR - PARTNERSHIP
AFARFORMATION
- PARTNERSHIP
TRANSACTIONS
FORMATIONWHERE
TRANSACTIONS
A PARTNER'S
WHERE
3. CAPITAL
PARTNER'S
A PARTNER'S
ACCOUNT
SHARECAPITAL
OF
IS CREDITED
THE ACCOUNT
PROFITS
FOR(AFTER
IS
(3 CREDITED
ITEMS)
BEING FOR
CLOSED
(3 ITEMS)
TO THE DRAWING ACCOUNT)
1. PERMANENT WITHDRAWAL OF CAPITAL
2. DEBIT BALANCE OF THE DRAWING ACCOUNT AT THE END OF THE PERIOD
269 201011 201011 AFAR - PARTNERSHIP
AFARFORMATION
- PARTNERSHIP
TRANSACTIONS
FORMATIONWHERE
TRANSACTIONS
A PARTNER'S
WHERE
3. CAPITAL
PARTNER'S
A PARTNER'S
ACCOUNT
SHARECAPITAL
IN
IS THE
DEBITED
LOSSES
ACCOUNT
FOR(AFTER
(3ISITEMS)
DEBITED
BEING FOR
CLOSED
(3 ITEMS)
TO THE DRAWING ACCOUNT)
1. PARTNERSHIP OBLIGATIONS ASSUMED OR PAID BY A PARTNER
2. PERSONAL FUNDS OR CLAIMS OF PARTNER COLLECTED AND RETAINED BY THE PARTNERSHIP
270 201012 201012 AFAR - PARTNERSHIP
AFARFORMATION
- PARTNERSHIP
TRANSACTIONS
FORMATIONWHERE
TRANSACTIONS
A PARTNER'S
WHERE
3. DRAWING
PERIODIC
A PARTNER'S
PARTNER'S
ACCOUNT
DRAWING
IS
SALARIES
CREDITED
ACCOUNT
DEPENDING
FOR IS
(3 CREDITED
ITEMS)
ON AGREEMENT
FOR (3 ITEMS)
BY THE PARTNERS
1. WITHDRAWAL OF ASSETS BY THE PARTNERS IN ANTICIPATION OF NET INCOME (TEMPORARY WITHDRAWALS)
2. PARTNER'S PERSONAL INDEBTEDNESS PAID OR ASSUMED BY THE PARTNERSHIP
271 201013 201013 AFAR - PARTNERSHIP
AFARFORMATION
- PARTNERSHIP
TRANSACTIONS
FORMATIONWHERE
TRANSACTIONS
A PARTNER'S
WHERE
3. DRAWING
FUNDS
A PARTNER'S
OR ACCOUNT
CLAIMSDRAWING
OFISPARTNERSHIP
DEBITED
ACCOUNT
FOR COLLECTED
(3ISITEMS)
DEBITEDAND
FORRETAINED
(3 ITEMS) BY THE PARTNER
IN ORDER OF PRIORITY:
1. AGREED VALUE
2. FAIR MARKET VALUE/APPRAISAL VALUE
272 201014 201014 AFAR - PARTNERSHIP
AFARFORMATION
- PARTNERSHIP
RULEFORMATION
ON THE VALUATION
RULE ON OF
THEASSETS
VALUATION
NOTE:
CONTRIBUTED
ASSESSED
OF ASSETS
BY
VALUE
CONTRIBUTED
PARTNERS
IS NEVER USED
BY PARTNERS
273 201015 201015 AFAR - PARTNERSHIP
AFARFORMATION
- PARTNERSHIP
RULEFORMATION
ON THE ASSUMPTION
RULE ON THE
OF ASSUMPTION
S PARTNER'S
IF THE PROBLEM
PERSONAL
OF S PARTNER'S
IS SILENT,
LIABILITY
PERSONAL
THEBY
PARTNERSHIP
THE PARTNERSHIP
LIABILITYWILL
BY THE
NOTPARTNERSHIP
ASSUME SUCH LIABILITY. ASSUMPTION MUST BE EXPRESSLY STATED IN THE PROBLEM BEFORE SUCH LIABILITY IS RECORDED IN THE PARTNERSHIP BOOKS.
274 201016 201016 AFAR - PARTNERSHIP
AFARFORMATION
- PARTNERSHIP
FORMULA
FORMATION
FOR CONTRIBUTED
FORMULA FOR
CAPITAL
CONTRIBUTED
CONTRIBUTEDCAPITAL
ASSETS - LIABILITIES ASSUMED BY THE PARTNERSHIP = CONTRIBUTED CAPITAL
275 201017 201017 AFAR - PARTNERSHIP
AFARFORMATION
- PARTNERSHIP
IS THE
FORMATION
AMOUNT OF
IS THE
CAPITAL
AMOUNT
OF EACH
OF
INITIAL
CAPITAL
PARTNER
CAPITAL
OFAFTER
EACH
CREDIT
FORMATION.
PARTNER AFTER FORMATION.
IN ORDER OF PRIORITY:
1. AGREED CAPITAL (USING THE RATIO AGREED UPON)
276 201018 201018 AFAR - PARTNERSHIP
AFARFORMATION
- PARTNERSHIP
RULEFORMATION
ON THE AMOUNT
RULE ON
OFTHE
INITIAL
AMOUNT
CAPITAL
2. CONTRIBUTED
OFCREDIT
INITIALTO
CAPITAL
CAPITAL
BE RECEIVED
CREDITBY
TOABE
PARTNER
RECEIVED BY A PARTNER
277 201019 201019 AFAR - PARTNERSHIP
AFARFORMATION
- PARTNERSHIP
IS A FORMATION
METHOD USED
IS AWHEN
METHOD
PARTNERS
USED
BONUS
WHEN
AGREE
METHOD
PARTNERS
ON CAPITAL
AGREE
INTERESTS
ON CAPITAL
THAT ARE
INTERESTS
NOT EQUAL
THAT TO
ARETHEIR
NOT NET
EQUAL
ASSETS.
TO THEIR
THISNET
METHOD
ASSETS.
DOES
THISNOT
METHOD
RECOGNIZE
DOES ANY
NOT ADDITIONAL
RECOGNIZE ANY
GOODWILL
ADDITIONAL
NOR REVALUE
GOODWILL
ANY
NOR
OF REVALUE
THE CONTRIBUTED
ANY OF THE
ASSETS
CONTRIBUTED
BUT REFERS
ASSETS
TO THE
BUTMERE
REFERS
TRANSFER
TO THE OF
MERE
CAPITAL
TRANSFER
BETWEEN
OF CAPITAL
PARTNERS.
BETWEEN PARTNERS.
278 201020 201020 AFAR - PARTNERSHIP
AFARFORMATION
- PARTNERSHIP
IS ANFORMATION
INTANGIBLEISASSET
AN INTANGIBLE
RECORDED
GOODWILL
ASSET
ONLY RECORDED
AS A RESULTONLY
OF AN
ASACQUISITION
A RESULT OF AN
MADE
ACQUISITION
BY A REPORTING
MADE ENTITY
BY A REPORTING
(BUSINESSENTITY
COMBINATION).
(BUSINESS COMBINATION).
IN ORDER OF PRIORITY:
1. METHOD AS STIPULATED BY THE PARTNERS
279 202001 202001 AFAR - PARTNERSHIP
AFAROPERATIONS
- PARTNERSHIP
METHOD
OPERATIONS
OF DIVISION
METHOD
OF PARTNERSHIP
OF DIVISION
2. IN OF
PROFITS
PROPORTION
PARTNERSHIP
AND LOSSES
TO PROFITS
THE ORIGINAL
AND LOSSES
CAPITAL CONTRIBUTION OF THE PARTNERS
280 202002 202002 AFAR - PARTNERSHIP
AFAROPERATIONS
- PARTNERSHIP
IS THE
OPERATIONS
RATIO IN WHICH
IS THE PARTNERSHIP
RATIO IN WHICH
PROFIT
PROFITS
PARTNERSHIP
AND AND
LOSSLOSSES
RATIO
PROFITS
(OR
AREP/L
AND
DIVIDED
RATIO)
LOSSES ARE DIVIDED
1. EQUALLY
2. UNEQUAL OR ARBITRARY RATIO
3. RATIO OF PARTNERS' CAPITAL ACCOUNT BALANCES ON A PARTICULAR DATE
4. RATIO OF THE PARTNERS' AVERAGE CAPITAL ACCOUNT BALANCES DURING THE YEAR
5. INTEREST
6. SALARIES
281 202003 202003 AFAR - PARTNERSHIP
AFAROPERATIONS
- PARTNERSHIP
POSSIBLE
OPERATIONS
METHODS
POSSIBLE
OF DIVIDING
METHODS
NET
7. BONUS
OF
INCOME
DIVIDING
OR LOSS
NET INCOME
AMONG OR
PARTNERS
LOSS AMONG
(6 ITEMS)
PARTNERS (6 ITEMS)
282 202004 202004 AFAR - PARTNERSHIP
AFAROPERATIONS
- PARTNERSHIP
FORMULA
OPERATIONS
FOR SIMPLE
FORMULA
AVERAGE
FOR SIMPLE
CAPITAL
SIMPLE
AVERAGE
BALANCE
AVERAGE
CAPITAL
OF
CAPITAL
A PARTNER
BALANCE
BALANCEOF= A(BEGINNING
PARTNER CAPITAL BALANCE + ENDING CAPITAL BALANCE) / 2
283 202005 202005 AFAR - PARTNERSHIP
AFAROPERATIONS
- PARTNERSHIP
FORMULA
OPERATIONS
FOR WEIGHTED
FORMULAAVERAGE
FOR WEIGHTED
WEIGHTED
CAPITALAVERAGE
BALANCE
AVERAGECAPITAL
CAPITALBALANCE
BALANCE = SUMMATION OF (CAPITAL BALANCE AT EACH DATE OF PARTNER INVESTMENT OR WITHDRAWAL * FRACTION OF THE YEAR UNCHANGED)
284 202006 202006 AFAR - PARTNERSHIP
AFAROPERATIONS
- PARTNERSHIP
IS A OPERATIONS
SCHEDULE USED
IS A TO
SCHEDULE
COMPUTE
USED
PROFIT
THETO
DISTRIBUTION
COMPUTE
DISTRIBUTION
THE
OFSCHEDULE
DISTRIBUTION
NET INCOME
OR OR
PROFIT
OF LOSS
NET DISTRIBUTION
INCOME
TO THE PARTNERS
OR LOSS
TABLE
TO
ACCORDING
THE PARTNERS
TO THEIR
ACCORDING
AGREEMENT.
TO THEIR AGREEMENT.
285 202007 202007 AFAR - PARTNERSHIP
AFAROPERATIONS
- PARTNERSHIP
IS ANOPERATIONS
INSTRUMENTIS AN
OF INSTRUMENT
DISTRIBUTING
INTEREST
OF
PROFITS
DISTRIBUTING
TO PARTNERS
PROFITS
USED
TO TO
PARTNERS
ENCOURAGE
USEDCAPITAL
TO ENCOURAGE
INVESTMENTS.
CAPITAL INVESTMENTS.
286 202008 202008 AFAR - PARTNERSHIP
AFAROPERATIONS
- PARTNERSHIP
IS ANOPERATIONS
INSTRUMENTIS AN
OF INSTRUMENT
DISTRIBUTING
SALARY
OF
PROFITS
DISTRIBUTING
TO PARTNERS
PROFITS
FORTOTHE
PARTNERS
SERVICESFOR
THEY
THE
RENDER
SERVICES
FORTHEY
THERENDER
PARTNERSHIP.
FOR THE PARTNERSHIP.
287 202009 202009 AFAR - PARTNERSHIP
AFAROPERATIONS
- PARTNERSHIP
IS ANOPERATIONS
INSTRUMENTIS AN
OF INSTRUMENT
DISTRIBUTING
BONUS
OF
PROFITS
DISTRIBUTING
TO MANAGING
PROFITSPARTNERS
TO MANAGING
EQUALPARTNERS
TO A SPECIFIED
EQUALPERCENTAGE
TO A SPECIFIED
OF INCOME.
PERCENTAGE OF INCOME.
1. BONUS AS PERCENTAGE OF NET INCOME
2. BONUS AS PERCENTAGE OF NET INCOME AFTER SALARIES
3. BONUS AS PERCENTAGE OF NET INCOME AFTER INTEREST
4. BONUS AS PERCENTAGE OF NET INCOME AFTER BONUS
288 202010 202010 AFAR - PARTNERSHIP
AFAROPERATIONS
- PARTNERSHIP
FORMS
OPERATIONS
OF BONUSFORMS
THAT MAY
OF BONUS
BE ALLOWED
5.THAT
COMBINATION
MAY
TO MANAGING
BE ALLOWED
OF ANYPARTNERS
TO
OF MANAGING
ITEMS(42-4
ITEMS)
PARTNERS (4 ITEMS)
289 202011 202011 AFAR - PARTNERSHIP
AFAROPERATIONS
- PARTNERSHIP
FORMULA
OPERATIONS
FOR BONUS
FORMULA
AS A FOR
PERCENTAGE
BONUS
BONUSASOF
=ABONUS
NET
PERCENTAGE
INCOME
RATE * OF
(NET
NET
INCOME)
INCOME
290 202012 202012 AFAR - PARTNERSHIP
AFAROPERATIONS
- PARTNERSHIP
FORMULA
OPERATIONS
FOR BONUS
FORMULA
AS A FOR
PERCENTAGE
BONUS
BONUSASOF
=ABONUS
NET
PERCENTAGE
INCOME
RATE *AFTER
OF
(NET
NET
INCOME
SALARIES
INCOME- SALARIES)
AFTER SALARIES
291 202013 202013 AFAR - PARTNERSHIP
AFAROPERATIONS
- PARTNERSHIP
FORMULA
OPERATIONS
FOR BONUS
FORMULA
AS A FOR
PERCENTAGE
BONUS
BONUSASOF
=ABONUS
NET
PERCENTAGE
INCOME
RATE *AFTER
OF
(NET
NET
INCOME
INTEREST
INCOME
- INTEREST)
AFTER INTEREST
292 202014 202014 AFAR - PARTNERSHIP
AFAROPERATIONS
- PARTNERSHIP
FORMULA
OPERATIONS
FOR BONUS
FORMULA
AS A FOR
PERCENTAGE
BONUS
BONUSASOF
=ABONUS
NET
PERCENTAGE
INCOME
RATE *AFTER
OF
(NET
NET
INCOME
BONUS
INCOME
- BONUS)
AFTER BONUS
293 202015 202015 AFAR - PARTNERSHIP
AFAROPERATIONS
- PARTNERSHIP
IS A OPERATIONS
PHRASE THATISMEANS
A PHRASE
NO THAT
FURTHER
UPMEANS
TODISTRIBUTION
THE
NOEXTENT
FURTHER
OF
OFRANKING
DISTRIBUTION
PROFITS USING
ONLYOFINTEREST,
PROFITS USING
SALARYINTEREST,
OR BONUS SALARY
SHALLOR
BE BONUS
MADE IFSHALL
THE VALUE
BE MADE
OF REMAINING
IF THE VALUENET
OF INCOME
REMAINING
GOES
NET
BELOW
INCOME
ZERO.
GOES BELOW ZERO.
1. ADJUST ALL ASSETS AND LIABILITIES TO REFLECT THEIR FAIR VALUES.
2. RECORD ANY UNRECORDED ASSETS OR LIABILITIES, IF ANY.
294 202016 202016 AFAR - PARTNERSHIP
AFAROPERATIONS
- PARTNERSHIP
PROCEDURE
OPERATIONS
TO BE
PROCEDURE
MADE IF THERE
TO BE3.
ISMADE
THESE
A CHANGE
IFSHOULD
THERE
IN THE
ISBEAPROFIT
MADE
CHANGETO
ANDIN
THE
LOSS
THE
PARTNERS'
PROFIT
RATIO OF
AND
CAPITAL
THE
LOSS
PARTNERS
ACCOUNT
RATIO OF THE
IN ACCORDANCE
PARTNERS WITH THEIR OLD PROFIT AND LOSS RATIO.
1. DETERMINE THE CORRECT NET INCOME OR LOSS OF THE PRIOR PERIOD.
2. COMPUTE THE PROPER SHARE OF EACH PARTNER USING THE PROFIT AND LOSS RATIO IN THE YEAR IN WHICH THE ERROR OCCURRED.
295 202017 202017 AFAR - PARTNERSHIP
AFAROPERATIONS
- PARTNERSHIP
PROCEDURE
OPERATIONS
TO BE
PROCEDURE
MADE TO CORRECT
TO BE3.MADE
COMPUTE
PARTNERSHIP
TO CORRECT
THE DIFFERENCE
NETPARTNERSHIP
INCOMEBETWEEN
OR LOSS
NET INCOME
THE
OF PRIOR
SHARE
ORPERIOD
IN
LOSS
THEOF
PROFIT
PRIORTHAT
PERIOD
EACH PARTN
296 213001 213001 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
IS
COMBINATIONS
THE
3)TERM APPLIED
(IFRS
IS THE
TO
3)TERM
EXTERNAL
APPLIED
BUSINESS
EXPANSION
TO EXTERNAL
COMBINATION
IN WHICH
EXPANSION
SEPARATE
IN WHICH
ENTERPRISES
SEPARATE
AREENTERPRISES
BROUGHT TOGETHER
ARE BROUGHT
INTO ONE
TOGETHER
ECONOMIC
INTO ENTITY
ONE ECONOMIC
AS A RESULT
ENTITY
OF ONE
AS AENTERPRISE
RESULT OF ONE
OBTAINING
ENTERPRISE
CONTROL
OBTAINING
OVER THE
CONTROL
NET ASSETS
OVERAND
THE NET
OPERATIONS
ASSETS AND
OF ANOTHER
OPERATIONS
ENTERPRISE.
OF ANOTHER ENTERPRISE.
297 213002 213002 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
BUSINESS
COMBINATIONS
3) COMBINATION
(IFRS
BUSINESS
3) ISCOMBINATION
A TRANSACTION
ACQUIRER;
IS OR
AACQUIREE
TRANSACTION
OTHER EVENTOR
IN WHICH
OTHER EVENT
A/AN __________
IN WHICH A/AN
OBTAINS
__________
CONTROLOBTAINS
OF ONECONTROL
OR MOREOF
BUSINESSES
ONE OR MORE
REFERRED
BUSINESSES
TO AS THE
REFERRED
__________.
TO AS THE __________.
298 213003 213003 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
IS
COMBINATIONS
AN3)INTEGRATED
(IFRS
IS SET
AN3)INTEGRATED
OF ACTIVITIES
BUSINESS
SET
AND
OFASSETS
ACTIVITIES
THATAND
IS CAPABLE
ASSETS THAT
OF BEING
IS CAPABLE
CONDUCTED
OF BEING
ANDCONDUCTED
MANAGED FOR
ANDTHE
MANAGED
PURPOSEFOR
OF THE
PROVIDING
PURPOSE
A RETURN
OF PROVIDING
IN THEAFORM
RETURN
OF DIVIDENDS,
IN THE FORMLOWER
OF DIVIDENDS,
COSTS ORLOWER
OTHERCOSTS
ECONOMIC
OR OTHER
BENEFITS
ECONOMIC
DIRECTLY
BENEFITS
TO INVESTORS
DIRECTLY
ORTO
OTHER
INVESTORS
OWNERS,
OR OTHER
MEMBERS
OWNERS,
OR PARTICULA
MEMBERS OR PARTICULA
1. INPUTS
2. PROCESSES
299 213004 213004 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
BASIC
COMBINATIONS
3)ELEMENTS(IFRS
BASIC
OF A3)
BUSINESS
ELEMENTS(3OF
3.
ITEMS)
OUTPUTS
A BUSINESS (3 ITEMS)
300 213005 213005 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
IS
COMBINATIONS
ANY
3) ECONOMIC
(IFRS
ISRESOURCE
ANY
3) ECONOMIC
THATINPUTS
CREATES,
RESOURCEOR
THAT
HASCREATES,
THE ABILITY
OR TO
HASCREATE
THE ABILITY
OUTPUTS
TO CREATE
WHEN ONE
OUTPUTS
OR MORE
WHEN
PROCESSES
ONE OR MORE
ARE APPLIED
PROCESSES
TO IT.
ARE APPLIED TO IT.
301 213006 213006 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
IS
COMBINATIONS
ANY
3) SYSTEM, STANDARD,
(IFRS
IS ANY
3) SYSTEM,
PROTOCOL,
STANDARD,
PROCESS
CONVENTION
PROTOCOL,
OR CONVENTION
RULE THAT WHEN
OR RULE
APPLIED
THATTO
WHEN
AN INPUT
APPLIED
OR INPUTS,
TO AN INPUT
CREATES
OR INPUTS,
OR HAS CREATES
THE ABILITY
OR TO
HASCREATE
THE ABILITY
OUTPUTS.
TO CREATE OUTPUTS.
302 213007 213007 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
IS
COMBINATIONS
THE
3)RESULT OF(IFRS
ISINPUTS
THE
3)RESULT
AND PROCESS
OFOUTPUT
INPUTS
ORAND
PROCESSES
PROCESSAPPLIED
OR PROCESSES
TO THOSE
APPLIED
INPUTSTO
THAT
THOSE
WILL
INPUTS
PROVIDE
THAT
ORWILL
HAVEPROVIDE
THE ABILITY
OR HAVE
TO PROVIDE
THE ABILITY
A RETURN
TO PROVIDE
IN THEAFORM
RETURN
OF DIVIDENDS.
IN THE FORM OF DIVIDENDS.
1. ACQUISITION OF ASSETS - ACQUISITION OF ALL THE ASSETS OF THE TARGET COMPANY
303 213008 213008 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
WAYS
COMBINATIONS
3)ON HOW CONTROL
(IFRS
WAYS3)ONOVER
HOWANOTHER
CONTROL
2. STOCK
COMPANY
OVER
ACQUISITION
ANOTHER
MAY-BEACQUISITION
COMPANY
ACHIEVEDMAY
(2
OFITEMS)
BE
A CONTROLLING
ACHIEVED (2 ITEMS)
INTEREST (USUALLY OVER 50 PERCENT) IN THE TARGET COMPANY'S VOTING COMMON STOCK
304 213009 213009 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
REFERS
COMBINATIONS
3) TO THE ACQUISITION
(IFRS
REFERS
3) TO THE
OF THE
ACQUISITION
ACQUISITION
ASSETS AND
OFOFASSUMPTION
THE
NETASSETS
ASSETSAND
OF ASSUMPTION
THE EXISTING OF
LIABILITIES
THE EXISTING
OF THE
LIABILITIES
ACQUIREDOFCOMPANY.
THE ACQUIRED COMPANY.
1. STATUTORY COMBINATION
305 213010 213010 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
LEGAL
COMBINATIONS
3)FORMS OF(IFRS
LEGAL
BUSINESS
3)FORMS
COMBINATION
OF 2.
BUSINESS
STATUTORY
(2COMBINATION
ITEMS)
MERGER (2 ITEMS)
306 213011 213011 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
REFERS
COMBINATIONS
3) TO THE COMBINING
(IFRS
REFERS
3) TO THE
OF TWO
COMBINING
STATUTORY
OR MOREOF
COMBINATION
EXISTING
TWO ORLEGAL
MOREENTITIES
EXISTINGINTO
LEGAL
ONE
ENTITIES
NEW LEGAL
INTO ENTITY.
ONE NEW LEGAL ENTITY.
307 213012 213012 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
REFERS
COMBINATIONS
3) TO THE ABSORPTION
(IFRS
REFERS
3) TO THE
OF ONE
ABSORPTION
STATUTORY
OR MOREOF
MERGER
EXISTING
ONE ORLEGAL
MOREENTITIES
EXISTINGBY
LEGAL
ANOTHER
ENTITIES
EXISTING
BY ANOTHER
COMPANY
EXISTING
THAT CONTINUES
COMPANY THAT
AS THE
CONTINUES
SOLE SURVIVING
AS THE LEGAL
SOLE SURVIVING
ENTITY. LEGAL ENTITY.
308 213013 213013 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
IS
COMBINATIONS
THE
3)OTHER TERM
(IFRS
IS THE
FOR
3)OTHER
THE ACQUIRING
TERM
PARENT
FORCOMPANY
THE ACQUIRING
OR ACQUIRER
COMPANY
IN STOCK
OR ACQUIRER
ACQUISITION.
IN STOCK ACQUISITION.
309 213014 213014 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
IS
COMBINATIONS
THE
3)OTHER TERM
(IFRS
IS THE
FOR
3)OTHER
THE ACQUIRED
TERM
SUBSIDIARY
FORCOMPANY
THE ACQUIRED
OR ACQUIREE
COMPANY
IN STOCK
OR ACQUIREE
ACQUISITION.
IN STOCK ACQUISITION.
310 213015 213015 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
IS
COMBINATIONS
THE
3)METHOD MANDATED
(IFRS
IS THE
3)METHOD
BY THE
MANDATED
ACQUISITION
STANDARDS
BYMETHOD
TO
THEBE
STANDARDS
USED IN ACCOUNTING
TO BE USED FOR
IN ACCOUNTING
BUSINESS COMBINATIONS.
FOR BUSINESS COMBINATIONS.
1. INDENTIFY THE ACQUIRER.
2. DETERMINE THE ACQUISITION DATE.
3. DETERMINE THE CONSIDERATION GIVEN (PRICE PAID) BY THE ACQUIRER.
311 213016 213016 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
STEPS
COMBINATIONS
3)TO BE FOLLOWED
(IFRS
STEPS3)TO
IN BE
THEFOLLOWED
APPLICATION
4. RECOGNIZE
IN THE
OF THE
APPLICATION
ANDACQUISITION
MEASUREOFSPECIFIC
THE
METHOD
ACQUISITION
ACCOUNTS
(4 ITEMS)
METHOD
AS PROVIDED
(4 ITEMS)
BY IFRS 3.
1. MEASURE ANY TANGIBLE OR INTANGIBLE ASSETS AND LIABILITIES THAT WERE ACQUIRED OR ASSUMED.
2. MEASURE THE AMOUNT OF ANY NON-CONTROLLING INTEREST IN THE ACQUIRED BUSINESS (APPLICABLE ONLY TO STOCK ACQUISITION).
312 213017 213017 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
ACCOUNTS
COMBINATIONS
3) TO BE(IFRS
ACCOUNTS
RECORDED
3) TO
AND
BEMEASURED
3.
RECORDED
MEASUREIN
AND
THE
BUSINESS
MEASURED
AMOUNT COMBINATION
OF
INCONSIDERATION
BUSINESS(4COMBINATION
ITEMS)
PAID (4 ITEMS)
313 213018 213018 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
MEASUREMENT
COMBINATIONS
3) OF
(IFRS
MEASUREMENT
THE3) CONSIDERATION
OF
FAIR
THEVALUE
GIVEN
CONSIDERATION
ATBYACQUISITION
THE ACQUIRER
GIVEN
DATE
BY THE ACQUIRER
1. ASSETS TRANSFERRED BY THE ACQUIRER
2. LIABILITIES INCURRED BY THE ACQUIRER TO FORMER OWNERS OF THE ACQUIREE
3. EQUITY INTERESTS ISSUED BY THE ACQUIRER
314 213019 213019 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
FORMS
COMBINATIONS
3) OF CONSIDERATION
(IFRS
FORMS3) OF THAT
CONSIDERATION
CAN
4. CONTINGENT
BE GIVEN
THATBYCONSIDERATION
CAN
THE BE
ACQUIRER
GIVEN BY THE ACQUIRER
315 213020 213020 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
IS
COMBINATIONS
AN3)OBLIGATION
(IFRS
ISOF
AN3)
THE
OBLIGATION
ACQUIRER
CONTINGENT
OF
TOTHE
TRANSFER
ACQUIRER
CONSIDERATION
ADDITIONAL
TO TRANSFER
ASSETS
ADDITIONAL
OR EQUITY
ASSETS
INTERESTS
OR EQUITY
TO THEINTERESTS
FORMER OWNERS
TO THE FORMER
OF AN ACQUIREE
OWNERS OF
AS AN
PART
ACQUIREE
OF THE EXCHANGE
AS PART OFFOR
THECONTROL
EXCHANGE
OFFOR
THECONTROL
ACQUIREEOF
IF THE
SPECIFIED
ACQUIREE
FUTURE
IF SPECIFIED
EVENTS OCCUR
FUTUREOR
EVENTS
CONSIDERATIONS
OCCUR OR CONSIDERATIONS
ARE MET. HOWEVER,
ARE IT
MET.
MAY
HOWEVER,
ALSO GIV IT MAY ALSO GIV
1. FINANCIAL LIABILITY - PAYING ADDITIONAL CASH CONSIDERATION
316 213021 213021 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
CLASSIFICATION
COMBINATIONS
3) OF
(IFRS
CLASSIFICATION
OBLIGATION
3) TO
OF
2.PAY
OBLIGATION
EQUITY
FOR A
INSTRUMENT
CONTINGENT
TO PAY FOR- ISSUING
CONSIDERATION
A CONTINGENT
ADDITIONAL
(2
CONSIDERATION
ITEMS)
EQUITY INSTRUMENT
(2 ITEMS)
317 213022 213022 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
FAIR
COMBINATIONS
3)
VALUE OF CONTINGENT
(IFRS
FAIR 3)
VALUE CONSIDERATION
OF CONTINGENT
EXPECTED VALUE
CONSIDERATION
BASED ON THE PROBABILITY THAT THE CONDITION(S) WILL OCCUR
318 213023 213023 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
ARE
COMBINATIONS
THE
3) COSTS THE
(IFRS
AREACQUIRER
THE
3) COSTS
INCURS
THE
ACQUISITION-RELATED
ACQUIRER
TO EFFECT
INCURS
A BUSINESS
TOCOSTS
EFFECT
COMBINATION,
A BUSINESSSUCH
COMBINATION,
AS BROKER'S
SUCH
FEES;
ASACCOUNTING,
BROKER'S FEES;
LEGAL
ACCOUNTING,
AND OTHERLEGAL
PROFESSIONAL
AND OTHERFEES;
PROFESSIONAL
GENERAL ADMINISTRATIVE
FEES; GENERAL ADMINISTRATIVE
COSTS, INCLUDING
COSTS,
THE COSTS
INCLUDING
OF MAINTAINING
THE COSTS OF
ANMAINTAINING
INTERNAL ACQUISITION
AN INTERNAL
DEPARTMENT.
ACQUISITION DEPARTMENT.
319 213024 213024 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
TREATMENT
COMBINATIONS
3) FOR(IFRS
TREATMENT
ACQUISITION-RELATED
3) FOR THESE
ACQUISITION-RELATED
COSTS
ARE NOT
INBUSINESS
INCLUDED
COSTS
COMBINATIONS
IN THE
INBUSINESS
PRICE OFCOMBINATIONS
THE COMPANY ACQUIRED AND ARE EXPENSED.
GR: DEDUCTION FORM ADDITIONAL PAID-IN CAPITAL (APIC) OR SHARE PREMIUM FROM PREVIOUS SHARE ISSUANCE.
320 213025 213025 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
TREATMENT
COMBINATIONS
3) FOR(IFRS
TREATMENT
STOCK3) ISSUANCE
FOR STOCK
COSTS
XPN: INISSUANCE
INCASE
BUSINESS
APICCOSTS
ISCOMBINATIONS
REDUCED
IN BUSINESS
TO ZERO,
COMBINATIONS
THE REMAINING STOCK ISSUANCE COSTS IS TREATED AS A CONTRA ACCOUNT FROM RETAINED EARNINGS PRESENTED AS A SEPARATE LINE
321 213026 213026 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
MEASUREMENT
COMBINATIONS
3) OF
(IFRS
MEASUREMENT
IDENTIFIABLE
3) ASSETS
OF
FAIR
IDENTIFIABLE
VALUE
ACQUIREDASSETS
AND LIABILITIES
ACQUIREDASSUMED
AND LIABILITIES
FROM ASSUMED
THE ACQUIREE
FROM BYTHE
THEACQUIREE
ACQUIRERBY THE ACQUIRER
322 213027 213027 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
IS
COMBINATIONS
THE
3)AMOUNT (IFRS
THAT
IS THE
3)
ANAMOUNT
ASSET OR
THAT
FAIR
LIABILITY
VALUE
AN ASSET
WOULD
OR LIABILITY
BE BOUGHTWOULD
OR SOLD
BE BOUGHT
FOR IN AOR
CURRENT,
SOLD FOR
NORMAL
IN A CURRENT,
SALE BETWEEN
NORMALWILLING
SALE BETWEEN
PARTIES.WILLING PARTIES.
323 213028 213028 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
IS
COMBINATIONS
AN3)ASSET OF AN
(IFRS
IS ACQUIRED
AN3)ASSET OF
COMPANY
AN
IDENTIFIABLE
ACQUIRED
THAT CAN
COMPANY
ASSET
BE ASSIGNED
THAT CAN
A FAIR
BE ASSIGNED
VALUE AND
A CAN
FAIR BE
VALUE
REASONABLY
AND CAN EXPECTED
BE REASONABLY
TO PROVIDE
EXPECTED
A BENEFIT
TO PROVIDE
FOR THE
A BENEFIT
PURCHASING
FOR THE
COMPANY
PURCHASING
IN THECOMPANY
FUTURE. IN THE FUTURE.
324 213029 213029 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
IS
COMBINATIONS
AN3)UNIFENTIFIABLE
(IFRS
IS AN3)
INTANGIBLE
UNIFENTIFIABLE
GOODWILL
ASSET
INTANGIBLE
THAT IS CREATED
ASSET THAT
WHENISACREATED
COMPANYWHEN
PURCHASES
A COMPANY
ANOTHER
PURCHASES
COMPANY
ANOTHER
FOR A COMPANY
PRICE HIGHER
FORTHAN
A PRICE
THEHIGHER
FAIR MARKET
THAN THE
VALUE
FAIROF
MARKET
THE TARGET
VALUECOMPANY'S
OF THE TARGET
NET ASSETS.
COMPANY'S NET ASSETS.
325 213030 213030 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
IS
COMBINATIONS
RECORDED
3) WHEN
(IFRS
IS RECORDED
THE
3) PRICE WHEN
PAID
GAIN
BY
THE
THE
ONPRICE
ACQUISITION
ACQUIRER
PAID BY
IS THE
ACTUALLY
OR GAIN
ACQUIRER
ON
LESS
BARGAIN
ISTHAN
ACTUALLY
THE
PURCHASE
FAIR
LESSVALUE
THANASSIGNED
THE FAIR VALUE
TO THEASSIGNED
NET ASSETS.
TO THE NET ASSETS.
1. SHOULD BE RECORDED - NEW GOODWILL BASED ON THE PRICE PAID BY THE ACQUIRER
326 213031 213031 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
GOODWILL
COMBINATIONS
3) THAT(IFRS
GOODWILL
IS RECORDED
3) THAT
IN BUSINESS
IS
2. RECORDED
SHOULD
COMBINATIONS
NOT
IN BE
BUSINESS
RECORDED
COMBINATIONS
- GOODWILL THAT MAY EXIST ON THE ACQUIREE'S BOOKS
327 213032 213032 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
MEASUREMENT
COMBINATIONS
3) PERIOD
(IFRS
MEASUREMENT
3) FOR VALUATION
PERIOD
IT TAKES
OF
FOR
TIME
IDENTIFIABLE
VALUATION
TO ESTABLISH
ASSETS
OF IDENTIFIABLE
THEAND
MOST
LIABILITIES
ACCURATE
ASSETS AND
FAIR
LIABILITIES
VALUE OF INDENTIFIABLE ASSETS AND LIABILITIES. THEREFORE, A MEASUREMENT PERIOD OF UP TO ONE YEAR IS ALLOWED FOR MEASUREMENT. TEMPORARY VALUES
328 213033 213033 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
FAIR
COMBINATIONS
3)
VALUE OF CASH
(IFRS
FAIRAND
3)
VALUE
CASH
OF EQUIVALENTS
CASH
FACEAND
VALUE
CASH
PAID
OREQUIVALENTS
NOMINAL
AS CONSIDERATION
VALUE
PAID AS FOR
CONSIDERATION
BUSINESS COMBINATION
FOR BUSINESS COMBINATION
329 213034 213034 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
IS
COMBINATIONS
A PORTION
3) OF(IFRS
IS
THEA PORTION
PURCHASE
3) OFPRICE
DEFERRED
THE PURCHASE
THAT IS
CONSIDERATION
PAYABLE
PRICE THAT
BY THE
IS BUYER
PAYABLE
IN BY
THETHE
FUTURE.
BUYER IN THE FUTURE.
330 213035 213035 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
FAIR
COMBINATIONS
3)
VALUE OF DEFERRED
(IFRS
FAIR 3)
VALUE
CONSIDERATION
OF DEFERRED
PRESENT CONSIDERATION
VALUE OF THE CONSIDERATION DISCOUNTED USING THE ACQUIRER'S CURRENT BORROWING COST
1. QUOTED EQUITY INSTRUMENTS - PUBLISHED PRICE AT THE DATE OF EXCHANGE (ACQUISITION DATE)
331 213036 213036 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
FAIR
COMBINATIONS
3)
VALUE OF EQUITY
(IFRS
FAIR 3)
VALUE
INSTRUMENTS
OF EQUITY
2. UNQOTED
TRANSFERRED
INSTRUMENTS
EQUITY
ASTRANSFERRED
INSTRUMENTS
CONSIDERATION
AS
- ESTIMATED
CONSIDERATION
USING CERTAIN METHODS
1. MARKET PRICES
2. ESTIMATED REALIZABLE VALUES
3. INDEPENDENT VALUATIONS
332 213037 213037 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
FAIR
COMBINATIONS
3)
VALUE OF NON-FINANCIAL
(IFRS
FAIR 3)
VALUE OFASSETS
NON-FINANCIAL
4. OTHER
TRANSFERRED
AVAILABLE
ASSETS
ASINFORMATION
TRANSFERRED
CONSIDERATION
RELEVANT
AS CONSIDERATION
TO THE VALUATION
333 213038 213038 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
TREATMENT
COMBINATIONS
3) WHEN
(IFRS
TREATMENT
THE
3) FAIR VALUE
WHEN
THE
OF
THE
ACQUIRER
NON-FINANCIAL
FAIR VALUE
REMEASURES
OFASSET
NON-FINANCIAL
TRANSFERRED
THE CARRYING
ASSET
AS
AMOUNT
TRANSFERRED
CONSIDERATION
TO FAIR
ASVALUE
DIFFERS
CONSIDERATION
AND
FROM
RECOGNIZES
THE
DIFFERS
CARRYING
THE
FROM
RESULTING
AMOUNT
THE CARRYING
AS
GAIN
AT OR
THE
AMOUNT
LOSS
ACQUISITION
IN AS
PROFIT
AT THE
DATE
ORACQUISITION
LOSS. DATE
334 213039 213039 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
TREATMENT
COMBINATIONS
3) FOR(IFRS
TREATMENT
FUTURE
3) LOSSES
FOROR
NOT
FUTURE
OTHER
TREATED
LOSSES
COSTS
ASOR
EXPECTED
LIABILITIES
OTHER COSTS
TOASSUMED
BE INCURRED
EXPECTED
BY THE
TO
BYACQUIRER
THE
BE INCURRED
ACQUIRER
IN EXCHANGE
BY
ASTHE
A RESULT
ACQUIRER
FOR OF
CONTROL
AAS
COMBINATION
A RESULT
OF THEOF
ACQUIREE,
A COMBINATION
AND ARE NOT, THEREFORE, INCLUDED AS PART OF THE COST OF COMBINATION.
335 213040 213040 AFAR - BUSINESS AFAR
COMBINATIONS
- BUSINESS(IFRS
TREATMENT
COMBINATIONS
3) WHEN
(IFRS
TREATMENT
PROPERTY
3) WHEN
IS TRANSFERRED
THE
PROPERTY
ACQUIRER
TO
IS SHALL
TRANSFERRED
THE ACQUIREE
MEASURE
TORATHER
THE
THENON-MONETARY
ACQUIREE
THAN TORATHER
ITS FORMER
ASSETS
THANTRANSFERRED
SHAREHOLDERS
TO ITS FORMER
AT SHAREHOLDERS
THEIR CARRYING AMOUNTS RATHER THAN AT THEIR FAIR VALUE.
1 213001 213001 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A QUANTIFICATION
IS A QUANTIFICATION
OR MEASUREMENT
COSTOROF
MEASUREMENT
THE ECONOMIC
OFSACRIFICE
THE ECONOMIC
MADE SACRIFICE
TO ACHIEVEMADE
A GIVEN
TO ACHIEVE
OBJECTIVE.
A GIVEN
IT IS, THEREFORE,
OBJECTIVE. ITA IS,
MEASUREMENT
THEREFORE, AOF
MEASUREMENT
THE AMOUNTOF
OFTHE
RESOURCES
AMOUNTSACRIFICED
OF RESOURCES
IN ATTAINING
SACRIFICED
A SPECIFIED
IN ATTAINING
GOAL.
A SPECIFIED GOAL.
2 213002 213002 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS AN ACTIVITY FOR
IS AN
WHICH
ACTIVITY
A SEPARATE
FOR
COST
WHICH
MEASURE
OBJECT
A SEPARATE
OROF
COST
COST
MEASURE
UNIT
IS DESIRED.
OF COST IS DESIRED.
3 213003 213003 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A MEMBER OF IS
THEA MEMBER
ACCOUNTING
OF COST
THE
DEPARTMENT
ACCOUNTING
ACCOUNTANT
RESPONSIBLE
DEPARTMENTFORRESPONSIBLE
COLLECTING FOR
PRODUCT
COLLECTING
COSTS AND
PRODUCT
PREPARING
COSTS ACCURATE
AND PREPARING
AND TIMELY
ACCURATE
REPORTS
AND TIMELY
TO EVALUATE
REPORTS
AND
TOCONTROL
EVALUATE
COMPANY
AND CONTROL
OPERATIONS.
COMPANY OPERATIONS.
4 213004 213004 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS AN ACTIVITY THAT
IS AN
USES
ACTIVITY
ENGINEERING,
THAT
COST
USES
ANALYSIS
TIME
ENGINEERING,
AND MOTIONTIME
STUDIES,
AND MOTION
TIMEKEEPER'S
STUDIES,
RECORDS
TIMEKEEPER'S
AND PLANNING
RECORDSSCHEDULES
AND PLANNING
FROMSCHEDULES
PRODUCTION
FROM
SUPERVISORS.
PRODUCTION SUPERVISORS.
5 213005 213005 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A PART OF THEIS
ORGANIZATION
A PART OF THEIN
RESPONSIBILITY
ORGANIZATION
WHICH A MANAGER
CENTER
IN WHICH
WHOA HAS
MANAGER
A BUDGET
WHO IS HAS
MADEA BUDGET
RESPONSIBLE
IS MADE
FORRESPONSIBLE
THE PLANS AND
FORTHE
THERESULTING
PLANS ANDINFORMATION
THE RESULTING
ONINFORMATION
THE PERFORMANCE
ON THEOF
PERFORMANCE
THE PLANS. OF THE PLANS.
6 213006 213006 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
REFERS TO A PRODUCTION
REFERS TOOR
A PRODUCTION
SERVICE
COSTDEPARTMENT
CENTER
OR SERVICE
IN AN
DEPARTMENT
ORGANIZATION
IN ANWHERE
ORGANIZATION
COSTS ARE
WHERE
INCURRED
COSTS
FOR
ARETHE
INCURRED
PRODUCTION
FOR THE
OF PRODUCTION
GOODS AND SERVICES.
OF GOODS AND SERVICES.
7 213007 213007 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A PART OF ACCOUNTING
IS A PART OF
THAT
ACCOUNTING
RELATES
MANAGEMENT
TOTHAT
THE PROVISION
ACCOUNTING
RELATES TOOF
THE
FINANCIAL
PROVISION
INFORMATION
OF FINANCIAL
TOINFORMATION
PEOPLE AND MANAGERS
TO PEOPLE AND
WITHIN
MANAGERS
THE ORGANIZATION
WITHIN THETO
ORGANIZATION
AID IN THE EXECUTION
TO AID INOF
THEMANAGEMENT
EXECUTION OFFUNCTIONS
MANAGEMENT
SUCHFUNCTIONS
AS PLANNING,
SUCHORGANIZING,
AS PLANNING,
CONTROLLING,
ORGANIZING,EVALUATION
CONTROLLING,
OF PERFORMANCE
EVALUATION OFAND
PERFORMANCE
DECISION AND DECISION
8 213008 213008 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS CONCERNED WITH
IS CONCERNED
THE PROVISION
WITH
FINANCIAL
OF
THE
INFORMATION
PROVISION
ACCOUNTING
OF
TOINFORMATION
PARTIES OUTSIDE
TO PARTIES
THE ORGANIZATION.
OUTSIDE THE THIS
ORGANIZATION.
IS THE ANALYSIS,
THIS IS
CLASSIFICATION
THE ANALYSIS,AND
CLASSIFICATION
RECORDING AND
OF FINANCIAL
RECORDINGTRANSACTIONS
OF FINANCIALAND
TRANSACTIONS
THE ASCERTAINMENT
AND THE ASCERTAINMENT
OF HOW SUCH INFORMATION
OF HOW SUCH
WILL
INFORMATION
BE REPORTED
WILL
FORBEVARIOUS
REPORTED
USERS.
FOR VARIOUS USERS.
9 213009 213009 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS THE ARRANGEMENT
IS THEOF
ARRANGEMENT
COST ITEMS
COSTINCLASSIFICATION
OF
A LOGICAL
COST ITEMS
SEQUENCE
IN A LOGICAL
HAVINGSEQUENCE
REGARD HAVING
TO THEIRREGARD
NATURETO
AND
THEIR
PURPOSE
NATURE
TOAND
BE FULFILLED.
PURPOSE TO BE FULFILLED.
10 213010 213010 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
COST OBJECTIVE: COST
MANUFACTURING
OBJECTIVE: STOCK
MANUFACTURING
AND NON-MANUFACTURING
VALUATION AND NON-MANUFACTURING
COSTS COSTS
11 213011 213011 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
COST OBJECTIVE: COST
PERIOD
OBJECTIVE:
AND PRODUCT
STOCK
PERIOD
COSTS
VALUATION
AND PRODUCT COSTS
12 213012 213012 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
COST OBJECTIVE: COST
DIRECT
OBJECTIVE:
AND INDIRECT
STOCK
DIRECT
COSTS
VALUATION
AND INDIRECT COSTS
13 213013 213013 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
COST OBJECTIVE: COST
COST OBJECTIVE:
BEHAVIOR SUCH
DECISION
COST AS
BEHAVIOR
VARIABLE,
MAKINGSUCH
FIXED
AS AND
VARIABLE,
SEMI-VARIABLE
FIXED AND SEMI-VARIABLE
14 213014 213014 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
COST OBJECTIVE: COST
RELEVANCE,
OBJECTIVE:
OPPORTUNITY,
DECISION
RELEVANCE,
MAKING
SUNK
OPPORTUNITY,
COST, HISTORICAL
SUNK COST,
COST,HISTORICAL
STANDARDCOST,
COST STANDARD COST
15 213015 213015 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
COST OBJECTIVE: COST
CONTROLLABLE
OBJECTIVE:AND
CONTROL
CONTROLLABLE
NON-CONTROLLABLE
PURPOSES
AND NON-CONTROLLABLE
COSTS COSTS
16 213016 213016 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
COST OBJECTIVE: COST
AVOIDABLE
OBJECTIVE:
AND CONTROL
NON-AVOIDABLE
AVOIDABLE
PURPOSES
AND NON-AVOIDABLE
COSTS COSTS
17 213017 213017 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE THE COSTS INCURRED
ARE THE COSTS
TO PRODUCE
INCURRED
MANUFACTURING
A PRODUCT.
TO PRODUCE
COSTS
A PRODUCT.
1. DIRECT MATERIALS COST
2. DIRECT LABOR COST
18 213018 213018 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ELEMENTS OF MANUFACTURING
ELEMENTS OF MANUFACTURING
COSTS
3. OVERHEAD
(3 ITEMS)COST
COSTS (3 ITEMS)
19 213019 213019 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE EXPENSES INCURRED
ARE EXPENSES
FOR A INCURRED
PARTICULAR
DIRECT EXPENSES
FOR
JOB,
A PARTICULAR
PROJECT OR JOB,
SERVICE.
PROJECT
THEYOR
ARE
SERVICE.
TRACEABLE
THEYTO
ARE
THAT
TRACEABLE
SPECIFICTO
JOB.
THAT SPECIFIC JOB.
20 213020 213020 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
REFERS TO ALL PHYSICAL
REFERS TO
INPUTS
ALL PHYSICAL
INTO
MATERIAL
THEINPUTS
PRODUCTION
INTO THE
PROCESS.
PRODUCTION PROCESS.
21 213021 213021 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE THOSE MATERIALS
ARE THOSE
THATMATERIALS
CAN BE
DIRECT
EASILY
THAT
MATERIALS
TRACED
CAN BETOEASILY
A PRODUCT
TRACEDWITHOUT
TO A PRODUCT
ANY EXTRA
WITHOUT
COST ANY
OR INCONVENIENCE.
EXTRA COST OR INCONVENIENCE.
22 213022 213022 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE MATERIALS THAT
ARE MATERIALS
BECAME ANTHAT
INDIRECT
INTEGRAL
BECAME
MATERIALS
PART
ANOF
INTEGRAL
THE FINISHED
PART OF
PRODUCT
THE FINISHED
BUT MAY
PRODUCT
BE TRACEABLE
BUT MAYINTO
BE TRACEABLE
THE PRODUCT
INTO
ONLY
THEAT
PRODUCT
GREAT COST
ONLYOR
ATINCONVENIENCE.
GREAT COST OR INCONVENIENCE.
23 213023 213023 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS THE PHYSICAL AND
IS THE
MENTAL
PHYSICAL
HUMAN
AND
LABOR
MENTAL
INPUT INHUMAN
A PRODUCTION
INPUT INPROCESS.
A PRODUCTION PROCESS.
24 213024 213024 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
REFERS TO WAGES
REFERS
PAID TO
TOWORKERS
WAGES
DIRECT
PAID
WHOTO
LABOR
ARE
WORKERS
DIRECTLY
WHOINVOLVED
ARE DIRECTLY
IN THEINVOLVED
PRODUCTION
IN THE
OF PRODUCTION
EACH ITEM PRODUCED.
OF EACH ITEM
SUCHPRODUCED.
COST CAN BE
SUCH
PHYSICALLY
COST CANTRACED
BE PHYSICALLY
TO THE CREATION
TRACED TO
OFTHE
PRODUCT
CREATION
WITHOUT
OF PRODUCT
UNDUEWITHOUT
COST. UNDUE COST.
25 213025 213025 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
REFERS TO WAGES
REFERS
PAID TO
TOWORKERS
WAGES
INDIRECT
PAID
WHOSE
TOLABOR
WORKERS
EFFORTS WHOSE
CANNOTEFFORTS
BE READILY
CANNOT
INDENTIFIED
BE READILY
WITH
INDENTIFIED
SPECIFIC PRODUCT
WITH SPECIFIC
UNITS OR
PRODUCT
BATCHES.
UNITS OR BATCHES.
26 213026 213026 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
INCLUDE ALL COSTS
INCLUDE
OF MANUFACTURING
ALL COSTS
OVERHEAD
OF MANUFACTURING
EXCEPT
COSTS
DIRECT MATERIALS
EXCEPT DIRECT
AND DIRECT
MATERIALS
LABOR.
ANDTHEY
DIRECT
INCLUDE
LABOR.
INDIRECT
THEY INCLUDE
MATERIALS,
INDIRECT
INDIRECT
MATERIALS,
LABOR AND
INDIRECT
OTHERLABOR
INDIRECT
AND OTHER
EXPENSES
INDIRECT
THAT CANNOT
EXPENSES
BETHAT
TRACED
CANNOT
DIRECTLY
BE TRACED
TO A PRODUCT.
DIRECTLY TO A PRODUCT.
27 213027 213027 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE COSTS INCURRED
ARE COSTS
BY ALLINCURRED
ACTIVITIES
NON-MANUFACTURING
BY
THAT
ALL SUPPORT
ACTIVITIESTHE
THAT
COSTS
PRODUCTION
SUPPORT THE
OF PRODUCTION
GOODS AND SERVICES.
OF GOODS AND SERVICES.
28 213028 213028 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS THE SUM OF COSTS
IS THEASSOCIATED
SUM OF COSTS
ADMINISTRATIVE
WITH
ASSOCIATED
THE OVERALL
COST
WITH
MANAGEMENT
THE OVERALLOF
MANAGEMENT
THE ENTERPRISE,
OF THE
WHICH
ENTERPRISE,
CANNOT BEWHICH
READILY
CANNOT
IDENTIFIED
BE READILY
WITH IDENTIFIED
ONE OF THEWITH
MAJOR
ONEFUNCTIONAL
OF THE MAJOR
AREAS.
FUNCTIONAL AREAS.
29 213029 213029 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS THE SUM OF COSTS
IS THEASSOCIATED
SUM OF COSTS
SELLING
WITHASSOCIATED
THE
COST
SECURING
WITH
OFTHE
ORDERS
SECURING
FROMOF
CUSTOMERS.
ORDERS FROM CUSTOMERS.
30 213030 213030 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE COSTS ASSOCIATED
ARE COSTS
WITH
ASSOCIATED
WAREHOUSING
DISTRIBUTION
WITHTHE
WAREHOUSING
COSTS
PRODUCTS AND
THETHEIR
PRODUCTS
DELIVERY
ANDTO
THEIR
CUSTOMERS.
DELIVERY THEY
TO CUSTOMERS.
ARE INCURRED
THEY
INARE
GETTING
INCURRED
THE FINISHED
IN GETTING
PRODUCT
THE FINISHED
TO CUSTOMERS.
PRODUCT TO CUSTOMERS.
31 213031 213031 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE COSTS INCURRED
ARE COSTS
TO SECURE
INCURRED
FUNDS
FINANCE
TOTO
SECURE
COSTS
FINANCE
FUNDS
THE ORGANIZATION'S
TO FINANCE THE ORGANIZATION'S
ACTIVITIES. ACTIVITIES.
32 213032 213032 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE COSTS THAT ARE INCURRED
COSTS THAT
TOARE
RESEARCH
INVENT
INCURRED
NEW
ANDPRODUCTS
TO
DEVELOPMENT
INVENT OR
NEWTOCOSTS
PRODUCTS
MODIFY EXISTING
OR TO MODIFY
ONES, AS
EXISTING
WELL ASONES,
COSTSASINCURRED
WELL AS COSTS
TO ACQUIRE
INCURRED
MORETOINFORMATION
ACQUIRE MORE
ONINFORMATION
SUCH PRODUCTS.
ON SUCH PRODUCTS.
33 213033 213033 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
MEANS HOW COSTS
MEANS
WILLHOW
RESPOND
COSTS
COST
TOWILL
CHANGES
BEHAVIOR
RESPOND
IN THE
TO CHANGES
ACTIVITY LEVEL.
IN THE ACTIVITY LEVEL.
34 213034 213034 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE COSTS THAT INCREASE
ARE COSTSOR
THAT
DECREASE,
INCREASE
VARIABLE
IN COSTS
OR
TOTAL,
DECREASE,
IN DIRECT
IN TOTAL,
PROPORTION
IN DIRECT
TO PROPORTION
CHANGES IN THE
TO CHANGES
TOTAL LEVEL
IN THE
OF ACTIVITY
TOTAL LEVEL
OR NUMBER
OF ACTIVITY
OF UNITS
OR NUMBER
PRODUCED.
OF UNITS PRODUCED.
35 213035 213035 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE COSTS WITH ARE
BOTHCOSTS
A FIXED
WITH
AND
SEMI-VARIABLE
BOTH
VARIABLE
A FIXED
COST
AND
COSTS
COMPONENTS.
VARIABLE COST COMPONENTS.
36 213036 213036 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE COSTS THAT DO
ARENOT
COSTS
CHANGE
THAT DO
FIXED
WITHNOT
COSTS
THE
CHANGE
LEVEL OF
WITH
OUTPUT.
THE LEVEL
IN OTHER
OF OUTPUT.
WORDS,INTHEY
OTHER
REMAIN
WORDS,
THETHEY
SAMEREMAIN
IRRESPECTIVE
THE SAME
OF IRRESPECTIVE
THE ACTIVITY LEVEL.
OF THE ACTIVITY LEVEL.
37 213037 213037 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE COSTS WHICH
ARE
ARE
COSTS
CONSTANT
WHICH
SEMI-FIXED
WITHIN
ARE CONSTANT
A CERTAIN
COSTSWITHIN
OR
PRODUCTION
STEPPED
A CERTAIN
COSTS
BAND
PRODUCTION
BUT EVENTUALLY
BAND BUT
INCREASE
EVENTUALLY
AT SOME
INCREASE
CRITICAL
ATPOINT
SOMEBY
CRITICAL
A CONSTANT
POINTAMOUNT
BY A CONSTANT
TO ANOTHER
AMOUNT
FIXED
TOLEVEL
ANOTHER
ONCEFIXED
THE OUTPUT
LEVEL ONCE
BANDTHE
CHANGES.
OUTPUT THIS
BANDISCHANGES.
A CLEAR ILLUSTRATION
THIS IS A CLEAR
OFILLUSTRATION
HOW FIXED COSTS
OF HOW
BEHAVE
FIXEDINCOSTS
THE LONG
BEHAVE
RUN.
IN THE LONG RUN.
38 213038 213038 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
EXIST WHERE COSTS
EXIST
DOWHERE
NOT VARY
COSTS
CURVILINEAR
IN DIRECT
DO NOTPROPORTION
VARY
COSTS
IN DIRECT
TO PROPORTION
THE LEVEL OF TO
ACTIVITY
THE LEVEL
THUSOF
GIVING
ACTIVITY
A NON-LINEAR
THUS GIVING
FUNCTION.
A NON-LINEAR FUNCTION.
39 213039 213039 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE COSTS THAT CAN
ARE COSTS
BE TRACED
THATSPECIFICALLY
CAN
DIRECT
BE COSTS
TRACED
ANDSPECIFICALLY
IDENTIFIED TO
AND
THE
IDENTIFIED
END PRODUCT
TO THE
OFEND
THEPRODUCT
PRODUCTION
OF THE
PROCESS
PRODUCTION
WITHOUT
PROCESS
ANY EXTRA
WITHOUT
COST ANY
OR INCONVENIENCE.
EXTRA COST OR INCONVENIENCE.
40 213040 213040 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE COSTS THAT WILL
ARE COSTS
NOT BE
THAT
DIRECTLY
WILL
INDIRECT
NOT
ATTRIBUTABLE
COSTS
BE DIRECTLY
TOATTRIBUTABLE
A SPECIFIC PRODUCT.
TO A SPECIFIC PRODUCT.
41 213041 213041 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS COMPOSED OFISDIRECT
COMPOSED
MATERIALS
OFPRIME
DIRECT
ANDCOST
DIRECT
MATERIALS
LABOR.
AND DIRECT LABOR.
42 213042 213042 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS COMPOSED OFISDIRECT
COMPOSED
LABOROF
AND
CONVERSION
DIRECT
MANUFACTURING
LABORCOST
AND MANUFACTURING
OVERHEAD. OVERHEAD.
43 213043 213043 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
REFERS TO THE COST
REFERS
WHICH
TO THE
CANCOST
BE
CONTROLLABLE
INFLUENCED
WHICH CANBY
COST
BETHE
INFLUENCED
ACTIONS OF
BY A
THE
PERSON
ACTIONS
IN WHOM
OF A PERSON
AUTHORITY
IN WHOM
FOR SUCH
AUTHORITY
CONTROL
FORISSUCH
VESTED.
CONTROL IS VESTED.
44 213044 213044 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A COST WHICH IS
CANNOT
A COST BE
WHICH
INFLUENCED
NON-CONTROLLABLE
CANNOTBY
BEAINFLUENCED
PERSONCOST
IN WHOM
BY A PERSON
AUTHORITY
IN WHOM
FOR SUCH
AUTHORITY
CONTROL
FORISSUCH
VESTED.
CONTROL IS VESTED.
45 213045 213045 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE COSTS THAT ARE EXPECTED
COSTS THAT
TOARE
NORMAL
BE INCURRED
EXPECTED
OR STANDARD
TO
GIVEN
BE INCURRED
A SPECIFIC
COSTS GIVEN
LEVEL A
OFSPECIFIC
PRODUCTION.
LEVEL OF PRODUCTION.
46 213046 213046 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE COSTS ABOVEARE
THECOSTS
NORMAL
ABOVE
COSTS
ABNORMAL
THEGIVEN
NORMALA
COSTS
SPECIFIC
COSTS GIVEN
LEVEL A
OFSPECIFIC
ACTIVITY.
LEVEL OF ACTIVITY.
47 213047 213047 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE COSTS THAT WERE
ARE COSTS
INCURRED
THAT WERE
HISTORICAL
AT A GIVEN
INCURRED
TIME
COSTSAT
IN THE
A GIVEN
PAST.TIME IN THE PAST.
48 213048 213048 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE ESTIMATED COSTS
ARE ESTIMATED
THAT HAVECOSTS
PREDETERMINED
BEENTHAT
ESTIMATED
HAVE COSTS
BEEN
FOR THE
ESTIMATED
PURPOSES
FOROFTHE
DECISION
PURPOSES
MAKING.
OF DECISION MAKING.
49 213049 213049 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE ALL THE COSTS
AREINCURRED
ALL THE COSTS
IN THE
PRODUCT
INCURRED
PRODUCTION
COSTS
IN THE
OF PRODUCTION
UNITS DURINGOF
A UNITS
TIME PERIOD
DURING(CAPITALIZED
A TIME PERIOD
AND(CAPITALIZED
EXPENSED ONLY
AND WHEN
EXPENSED
THE ONLY
MANUFACTURER
WHEN THE MANUFACTURER
SELLS INVENTORY).
SELLS INVENTORY).
50 213050 213050 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE COSTS MAINLY
AREINCURRED
COSTS MAINLY
IN THE
PERIOD
INCURRED
ORDINARY
COSTSINRUNNING
THE ORDINARY
OF THERUNNING
BUSINESSOF
ENTERPRISE.
THE BUSINESS ENTERPRISE.
51 213051 213051 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE THE COSTS WHICH
ARE THE
HAVE
COSTS
ALREADY
WHICH
SUNKBEEN
COSTS
HAVEINCURRED.
ALREADY BEEN
THEY CANNOT
INCURRED.
BETHEY
CHANGED
CANNOT
BY ANY
BE CHANGED
DECISIONBY
MADE
ANY AFTER
DECISION
INCURRENCE
MADE AFTER
(IRRELEVANT
INCURRENCE
FOR(IRRELEVANT
DECISION MAKING).
FOR DECISION MAKING).
52 213052 213052 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS THE ADDITIONAL
IS THE
COSTADDITIONAL
OF PRODUCING
MARGINAL
COSTAN
OFEXTRA
COST
PRODUCING
UNIT OF
ANOUTPUT.
EXTRA UNIT OF OUTPUT.
53 213053 213053 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS DEFINED AS THE
IS COST
DEFINED
OF THE
AS THE
NEXT
OPPORTUNITY
COST
BESTOFFORGONE
THE COST
NEXTALTERNATIVE
BEST FORGONE
OR ALTERNATIVE
THE POTENTIAL
ORBENEFIT
THE POTENTIAL
THAT IS LOST
BENEFIT
BY TAKING
THAT ISONE
LOSTCOURSE
BY TAKING
OF ACTION
ONE COURSE
AND GIVING
OF ACTION
UP THE
ANDOTHER.
GIVING UP THE OTHER.
54 213054 213054 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE COSTS THAT DIFFER
ARE COSTS
AMONG
THATALTERNATIVES
DIFFER
DIFFERENTIAL
AMONG (RELEVANT
COST/INCREMENTAL
ALTERNATIVES
FOR DECISION
(RELEVANT
COSTMAKING).
FOR DECISION MAKING).
55 213055 213055 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS AN EXPENSE NOT
IS AN
INCURRED
EXPENSEDIRECTLY,
NOT
IMPUTED
INCURRED
BUTCOST
ACTUALLY
DIRECTLY,
BORNE.
BUT ACTUALLY BORNE.
56 213056 213056 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS THE AMOUNT THAT
IS THEITAMOUNT
WOULD COST
THAT
REPLACEMENT
TO
IT WOULD
REPLACE
COST
COST
AN ASSET
TO REPLACE
AT CURRENT
AN ASSET
MARKET
AT CURRENT
PRICES. MARKET PRICES.
57 213057 213057 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A MANAGEMENT
IS ATOOL
MANAGEMENT
USED TOSTANDARD
ESTIMATE
TOOL USED
THE
COST
TO
OVERALL
ESTIMATE
COST
THE
OFOVERALL
PRODUCTION,
COST OF
ASSUMING
PRODUCTION,
NORMALASSUMING
OPERATIONS.
NORMAL OPERATIONS.
58 213058 213058 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS THE COST ESTIMATED
IS THE COST
TO BEESTIMATED
INCURRED
BUDGETED
TO
ANDBE
COST
USED
INCURRED
FOR BUDGETING
AND USED PURPOSES.
FOR BUDGETING PURPOSES.
59 213059 213059 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE INVENTORIESARE
KEPT
INVENTORIES
BY FIRMS TO
BUFFER
KEPT
PROTECT
BYINVENTORIES
FIRMS
THEMSELVES
TO PROTECT
AGAINST
THEMSELVES
UNCERTAINTIES
AGAINSTOF
UNCERTAINTIES
DEMAND ANDOFSUPPLY.
DEMAND AND SUPPLY.
60 213060 213060 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE INVENTORIESARE
KEPT
INVENTORIES
BY FIRMS IN
ANTICIPATION
KEPT
ANTICIPATION
BY FIRMSINVENTORY
IN
THAT
ANTICIPATION
FUTURE DEMAND
THAT FUTURE
FOR THEM
DEMAND
WILL HAPPEN.
FOR THEM WILL HAPPEN.
61 213061 213061 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE INVENTORIESARE
HELD
INVENTORIES
BY FIRMS IN
APPRECIATION
HELD
ANTICIPATION
BY FIRMSINVENTORY
IN
OFANTICIPATION
AN INCREASE IN
OFPRICE.
AN INCREASE IN PRICE.
62 213062 213062 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS THE LEVEL BELOW
IS THE
WHICH
LEVELSTOCKS
BELOW
MINIMUM
(OF
WHICH
INVENTORY)
STOCK
STOCKSLEVEL
SHOULD
(OF INVENTORY)
NOT BE ALLOWED
SHOULD NOT
TO FALL.
BE ALLOWED TO FALL.
63 213063 213063 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
FORMULA FOR MINIMUM
FORMULASTOCK
FOR MINIMUM
LEVEL
MINIMUM
STOCK
STOCK
LEVEL
LEVEL = REORDER LEVEL - (NORMAL CONSUMPTION * NORMAL REORDER POINT)
64 213064 213064 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A SITUATION INISWHICH
A SITUATION
THERE IN
ARE
STOCK
WHICH
NO GOODS
OUT
THERE(RAW
ARE NO
MATERIALS)
GOODS (RAW
OF AMATERIALS)
PARTICULAROF
KIND
A PARTICULAR
AVAILABLE FOR
KINDSALE
AVAILABLE
(OR USE).
FOR SALE (OR USE).
65 213065 213065 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS THE PERIOD OFISTIME
THE IN
PERIOD
DAYS,OF
WEEKS
REORDER
TIMEOR
IN DAYS,
MONTHS
PERIOD
WEEKS
OR
THAT
LEAD
ORELAPSES
MONTHS
TIME BEFORE
THAT AN
ELAPSES
ORDERBEFORE
MADEAN
IS RECEIVED
ORDER MADE
AND IS
READY
RECEIVED
FOR USE.
AND READY FOR USE.
66 213066 213066 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS THE UPPER LIMIT
IS THE
ABOVE
UPPER
WHICH
LIMIT
MAXIMUM
STOCKS
ABOVE(OF
WHICH
STOCK
INVENTORY)SHOULD
STOCKS
LEVEL (OF INVENTORY)SHOULD
NOT BE ALLOWEDNOT
TO EXCEED.
BE ALLOWED TO EXCEED.
67 213067 213067 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
FORMULA FOR MAXIMUM
FORMULASTOCK
FOR MAXIMUM
LEVEL
MAXIMUMSTOCK
STOCK
LEVEL
LEVEL = REORDER LEVEL + REORDER QUANTITY - (MINIMUM CONSUMPTION * MINIMUM REORDER POINT)
68 213068 213068 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A POINT THAT LIES
IS A BETWEEN
POINT THAT
MINIMUM
LIES
REORDER
BETWEEN
AND
LEVEL
MAXIMUM
MINIMUMSTOCK
AND MAXIMUM
LEVELS AT STOCK
WHICHLEVELS
PURCHASE
AT WHICH
ORDERS
PURCHASE
MUST BEORDERS
PLACEDMUST
TO ENSURE
BE PLACED
THATTO
GOODS
ENSURE
ORDERED
THAT GOODS
ARE RECEIVED
ORDEREDBEFORE
ARE RECEIVED
THE MINIMUM
BEFORESTOCK
THE MINIMUM
LEVEL IS REACHED.
STOCK LEVEL IS REACHED.
69 213069 213069 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
FORMULA FOR REORDER
FORMULA
LEVEL
FOR REORDER
REORDER
LEVEL
LEVEL = MAXIMUM CONSUMPTION * MAXIMUM REORDER PERIOD
70 213070 213070 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS THE QUANTITY IS
OFTHE
STOCK
QUANTITY
ORDERED
REORDER
OF STOCK
ONCE THE
QUANTITY
ORDERED
RE-ORDER
ONCEPOINT
THE RE-ORDER
IS REACHED.
POINT IS REACHED.
71 213071 213071 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
FORMULA FOR REORDER
FORMULA
QUANTITY
FOR REORDER
REORDER
QUANTITY
QUANTITY = MAXIMUM STOCK LEVEL - REORDER LEVEL + (MINIMUM USAGE * MINIMUM REORDER PERIOD)
1. PURCHASE COST
2. CARRYING OR HOLDING COST
72 213072 213072 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
COSTS ASSOCUATED
COSTS
WITH
ASSOCUATED
MATERIALS
3. ORDERING
WITH
(3 ITEMS)
MATERIALS
AND PROCUREMENT
(3 ITEMS) COSTS
73 213073 213073 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS THE PRICE CHARGED
IS THEBY
PRICE
THECHARGED
SUPPLIER
PURCHASE
BY
OF THE
ANCOST
ITEM
SUPPLIER
OF INVENTORY.
OF AN ITEM OF INVENTORY.
74 213074 213074 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
FORMULA FOR PURCHASE
FORMULACOST
FOR PURCHASE
PURCHASECOST
COST = ACQUISITION PRICE PER UNIT * NUMBER OF UNITS
75 213075 213075 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS THE COST INCURRED
IS THEBECAUSE
COST INCURRED
FIRMS
CARRYING
OWN
BECAUSE
OR
ANDHOLDING
FIRMS
MAINTAIN
OWN
COST
INVENTORIES.
AND MAINTAIN INVENTORIES.
76 213076 213076 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
FORMULA FOR CARRYING
FORMULA COST
FOR CARRYING
CARRYINGCOST
COST = HANDLING COST PER UNIT PER ANNUM * AVERAGE STOCK QUANTITY ; WHERE AVERAGE STOCK QUANTITY =
77 213077 213077 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS THE COST OF GETTING
IS THE COST
AN ITEM
OF GETTING
INTO
ORDERING
THE
ANFIRM'S
AND
ITEMPROCUREMENT
INTO
INVENTORY
THE FIRM'S
(E.G.,
COSTS
INVENTORY
CLERICAL COSTS
(E.G.,OF
CLERICAL
PREPARING
COSTS
PURCHASE
OF PREPARING
ORDERS,
PURCHASE
RECEIVING
ORDERS,
DELIVERIES
RECEIVING
AND PAYING
DELIVERIES
INVOICES).
AND PAYING INVOICES).
78 213078 213078 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE COSTS INCURRED
ARE COSTS
AS A RESULT
INCURRED
STOCK
OF AN
ASOUT
ITEM
A RESULT
COSTS
NOT OF
BEING
AN ITEM
IN STOCK.
NOT BEING IN STOCK.
79 213079 213079 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
FORMULA FOR ORDERING
FORMULACOST
FOR ORDERING
ORDERINGCOST
COST = NUMBER OF ORDERS MADE PER YEAR * COST PER ORDER; WHERE NUMBER OF ORDERS PER YEAR = ANNUAL DEMAND / NUMBER OF UNITS ORDERED EACH TIME
80 213080 213080 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A SIMPLE MODEL
IS ATHAT
SIMPLE
HELPS
MODEL
MANAGERS
ECONOMIC
THAT HELPS
TO
ORDER
DETERMINE
MANAGERS
QUANTITY
THE
TO(EOQ)
OPTIMUM
DETERMINE
MODEL
QUANTITY
THE OPTIMUM
OF STOCK
QUANTITY
TO ORDER
OF STOCK
SO AS TO KEEP
ORDERTHE
SOTOTAL
AS TO COST
KEEP AT
THEATOTAL
MINIMUM.
COST AT A MINIMUM.
81 213081 213081 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
FORMULA FOR ECONOMIC
FORMULAORDER
FOR ECONOMIC
EOQ
QUANTITY
= SQ.ORDER
ROOT
(EOQ)OF
QUANTITY
[(2 * ANNUAL
(EOQ) DEMAND * ORDERING COST) / CARRYING COST]
82 213082 213082 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS SIMILAR TO ECONOMIC
IS SIMILAR
ORDER
TO ECONOMIC
QUANTITY
ECONOMIC
ORDER
(EOQ)
BATCH
QUANTITY
EXCEPT
QUANTITY
THAT
(EOQ)
IT ISEXCEPT
ONLY APPLICABLE
THAT IT IS ONLY
IN A MANUFACTURING
APPLICABLE IN A MANUFACTURING
ENTITY WHERE PRODUCTION
ENTITY WHERE
ANDPRODUCTION
CONSUMPTION
ANDOCCUR
CONSUMPTION
SIMULTANEOUSLY
OCCUR SIMULTANEOUSLY
WITH PRODUCTION
WITH
RATE
PRODUCTION
BEING HIGHER
RATE
THAN
BEING
THEHIGHER
CONSUMPTION
THAN THERATE.
CONSUMPTION RATE.
1. ABC SYSTEM OR PARETO ANALYSIS
2. PERIODIC ORDER SYSTEM
83 213083 213083 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
STOCK CONTROL STOCK
SYSTEMS
CONTROL
(3 ITEMS)
SYSTEMS
3. CONTINUOUS
(3 ITEMS)
REVIEW SYSTEM
84 213084 213084 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A STOCK CONTROL
IS A STOCK
SYSTEMCONTROL
WHERE
ABCITEMS
SYSTEM
SYSTEM
ARE
WHERE
ORCATEGORIZED
PARETO
ITEMS
ANALYSIS
ARE
INTO
CATEGORIZED
THREE CLASSES:
INTOCLASS
THREEACLASSES:
(HIGH COST,
CLASS
FAST
A (HIGH
MOVING
COST,
ANDFAST
HIGH
MOVING
USAGEAND
ITEMS,
HIGH
HIGHLY
USAGECONTROL),
ITEMS, HIGHLY
CLASSCONTROL),
B (MEDIUMCLASS
MOVING
B (MEDIUM
GOODS,MOVING
MODERATELY
GOODS,
CONTROLLED),
MODERATELYCLASS
CONTROLLED),
C (SLOW MOVING
CLASS CLOW
(SLOW
VALUE
MOVING
ITEMS,
LOWLEAST
VALUE
CONTROLLED)
ITEMS, LEAST CONTROLLED)
85 213085 213085 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A STOCK CONTROL
IS A STOCK
SYSTEMCONTROL
WHERE
PERIODIC
STOCK
SYSTEM
ORDER
LEVELS
WHERESYSTEM
ARESTOCK
REVIEWED
LEVELSATARE
FIXED
REVIEWED
INTERVALS
AT FIXED
AND AINTERVALS
REPLENISHMENT
AND A REPLENISHMENT
ORDER IS ISSUED ORDER
WHEREISNECESSARY.
ISSUED WHERE NECESSARY.
86 213086 213086 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A STOCK CONTROL
IS A STOCK
SYSTEMCONTROL
WHERE
CONTINUOUS
THE
SYSTEM
FIRMWHERE
PLACES
REVIEW
THE
ORDERS
SYSTEM
FIRMAT
PLACES
REGULAR
ORDERS
INTERVALS
AT REGULAR
BUT THE
INTERVALS
ORDER QUANTITY
BUT THE ORDER
VARIESQUANTITY
ACCORDING
VARIES
TO HOW
ACCORDING
MUCH ATO
FIRM
HOW
REQUIRES
MUCH ATO
FIRM
BRING
REQUIRES
THE LEVEL
TO BRING
TO SOME
THEPREDETERMINED
LEVEL TO SOME PREDETERMINED
SIZE OR VALUE. SIZE OR VALUE.
1. FIRST IN FIRST OUT (FIFO)
2. LAST IN FIRST OUT (LIFO) - OBSOLETE
3. WEIGHTED AVERAGE METHOD (WAM)
4. STANDARD COSTING
87 213087 213087 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
METHODS OF MATERIAL
METHODSINVENTORY
OF MATERIAL
5. VALUATION
REPLACEMENT
INVENTORY
(5 ITEMS)
COSTING
VALUATION (5 ITEMS)
88 213088 213088 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A LOGICAL PRICING
IS A LOGICAL
METHODPRICING
WHICH
FIRSTMETHOD
PROBABLY
IN FIRST WHICH
OUT
REPRESENTS
(FIFO)
PROBABLY
WHATREPRESENTS
IS HAPPENING
WHATIN IS
PRACTICE,
HAPPENING
OLDEST
IN PRACTICE,
ITEMS AREOLDEST
USUALLY
ITEMS
ISSUED
ARE FIRST
USUALLY
OUT.
ISSUED FIRST OUT.
89 213089 213089 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A MATERIAL INVENTORY
IS A MATERIAL
VALUATION
INVENTORY
LAST METHOD
IN FIRST
VALUATION
OUT
THAT(LIFO)
ASSUMES
METHODTHAT
THATMATERIALS
ASSUMES THAT
ARE ISSUED
MATERIALS
OUT OF
ARESTOCK
ISSUED
INOUT
THE OF
REVERSE
STOCKORDER
IN THE TO
REVERSE
WHICHORDER
THEY WERE
TO WHICH
DELIVERED
THEY WERE
(I.E., THEY
DELIVERED
ARE VALUED
(I.E., THEY
AT THE
AREPRICE
VALUED
OF UNITS
AT THERECEIVED
PRICE OF FIRST).
UNITS RECEIVED FIRST).
90 213090 213090 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A MATERIAL INVENTORY
IS A MATERIAL
VALUATION
INVENTORY
WEIGHTED
METHOD
VALUATION
AVERAGE
WHEREMETHOD
METHOD
THE ISSUE
(WAM)
WHERE
PRICE IS
THE
RECALCULATED
ISSUE PRICE ISAFTER
RECALCULATED
EACH RECEIPT
AFTER
OFEACH
STOCKS
RECEIPT
TAKING
OFINTO
STOCKS
ACCOUNT
TAKINGBOTH
INTOQUANTITIES
ACCOUNT BOTH
AND QUANTITIES
MONEY VALUEAND
OFMONEY
THE STOCKS
VALUERECEIVED.
OF THE STOCKS RECEIVED.
91 213091 213091 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A MATERIAL INVENTORY
IS A MATERIAL
VALUATION
INVENTORY
STANDARD
METHOD
VALUATION
COSTING
WHERE METHOD
ALL ISSUES
WHERE
ARE VALUED
ALL ISSUES
AT AARE
PREDETERMINED
VALUED AT A PREDETERMINED
STANDARD PRICESTANDARD
WHICH MAY
PRICE
NOTWHICH
BE THE MAY
SAMENOT
AS THE
BE THE
ACTUAL
SAMEPRICE
AS THE
FOR
ACTUAL
THE MATERIALS
PRICE FORDELIVERED.
THE MATERIALS DELIVERED.
92 213092 213092 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A MATERIAL INVENTORY
IS A MATERIAL
VALUATION
INVENTORY
REPLACEMENT
METHOD
VALUATION
WHERE
COSTING
METHOD
MATERIALWHERE
ISSUESMATERIAL
AND CLOSING
ISSUES
STOCK
ANDARE
CLOSING
VALUED
STOCK
AT AARE
COST
VALUED
AT WHICH
AT AIDENTICAL
COST AT WHICH
MATERIALS
IDENTICAL
CAN BE
MATERIALS
BOUGHT.CAN BE BOUGHT.
93 213093 213093 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
DIFFERENCE BETWEEN
DIFFERENCE
SALARYBETWEEN
ANDSALARY
WAGESALARY
IS PAID
AND
ONWAGE
A FIXED BASIS, WHILE WAGES ARE PAID ON A PER HOUR BASIS.
94 213094 213094 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
REFERS TO THE PARTICULAR
REFERS TO THE
AMOUNT
PARTICULAR
BASIC
OFSALARY
MONEY
AMOUNT
OR
ANWAGES
EMPLOYEE
OF MONEYIS PAID
AN EMPLOYEE
PRIOR TO IS
THE
PAID
APPLICATION
PRIOR TO THE
OF ANY
APPLICATION
ADDITIONS.
OF ANY ADDITIONS.
1. FIXED RATE OR FIXED SALARY PER MONTH OR PER ANNUM
2. PIECE RATE OR PIECE WORK
95 213095 213095 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
METHODS BY WHICH
METHODS
BASIC WAGES
BY WHICH
3.CAN
TIME
BASIC
BERATE
PAID
WAGES
OR
OUTTIME
CAN
(2 ITEMS)
WORK
BE PAID OUT (2 ITEMS)
96 213096 213096 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A METHOD OF PAYING
IS A METHOD
BASICOF
WAGES
PAYING
FIXEDWHERE
RATE
BASIC
OR
THE
WAGES
FIXED
EMPLOYEES
SALARY
WHEREPER
EARN
THEMONTH
EMPLOYEES
A FIXEDOR
AMOUNT
PER
EARN
ANNUM
ADESPITE
FIXED AMOUNT
THE AMOUNT
DESPITE
OFTHE
WORK
AMOUNT
DONE. OF WORK DONE.
97 213097 213097 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A METHOD OF PAYING
IS A METHOD
BASICOF
WAGES
PAYING
PIECEWHERE
RATE
BASIC
OR
THE
WAGES
PIECE
EARNINGS
WORK
WHEREDEPEND
THE EARNINGS
ON THE LEVEL
DEPENDOFON
ACTIVITY
THE LEVEL
OR OUTPUT
OF ACTIVITY
ACHIEVED.
OR OUTPUT ACHIEVED.
98 213098 213098 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A PIECE RATE METHOD
IS A PIECE
OFRATE
PAYING
METHOD
STRAIGHT
BASICOF
WAGES
PIECE
PAYING
RATE
WHERE
BASICTHE
WAGES
BASICWHERE
RATE PER
THEUNIT
BASICREMAINS
RATE PER
CONSTANT
UNIT REMAINS
IRRESPECTIVE
CONSTANTOF IRRESPECTIVE
THE NUMBER OF THE
UNITS
NUMBER
PRODUCED.
OF UNITS PRODUCED.
99 213099 213099 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
FORMULA FOR EARNINGS
FORMULAUNDER
FOR EARNINGS
STRAIGHT
EARNINGS
UNDER
PIECE
= OUTPUT
RATE
STRAIGHT
IN UNITS
PIECE
* BASIC
RATE RATE PER UNIT
100 213100 213100 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A PIECE RATE METHOD
IS A PIECE
OFRATE
PAYING
METHOD
STRAIGHT
BASICOF
WAGES
PIECE
PAYING
RATE
WHERE
BASIC
WITH
, ALTHOUGH
WAGES
A GUARANTEED
WHERE
THE ,EMPLOYEE
ALTHOUGH
MINIMUMISTHE
PAY
PAIDEMPLOYEE
ON THE NUMBER
IS PAID ON
OF THE
UNITS
NUMBER
PRODUCED,
OF UNITS
ONE PRODUCED,
IS GUARANTEED
ONEOF
IS GUARANTEED
SOME MAIN WAGE
OF SOME
SINCE
MAIN
THERE
WAGE
ARESINCE
OCCASIONS
THEREWHEN
ARE OCCASIONS
PRODUCTION
WHEN
DOES
PRODUCTION
NOT TAKE PLACE
DOES NOT
DUE TO
TAKE
POWER
PLACEFAILURES,
DUE TO POWER
MACHINE
FAILURES,
BREAKDOWNS,
MACHINEETC.
BREAKDOWNS, ETC.
101 213101 213101 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A PIECE RATE METHOD
IS A PIECE
OFRATE
PAYING
METHOD
DIFFERENTIAL
BASICOF
WAGES
PAYING
PIECE
WHERE
BASIC
RATETHE
WAGES
EMPLOYEES'
WHERE THE
BASIC
EMPLOYEES'
RATE OF PAY
BASIC
PER RATE
UNIT OF
CHANGES
PAY PERASUNIT
THECHANGES
LEVEL OF ACTIVITY
AS THE LEVEL
CHANGES
OF ACTIVITY
(USUALLY
CHANGES
DIRECT(USUALLY
RELATIONSHIP).
DIRECT RELATIONSHIP).
102 213102 213102 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A METHOD OF PAYING
IS A METHOD
BASICOF
WAGES
PAYING
TIMEWHERE
RATE
BASIC
OREMPLOYEES'
WAGES
TIME WORK
WHERE
EARNINGS
EMPLOYEES'
DEPEND
EARNINGS
ON THE TIME
DEPEND
SPENT
ON ON
THETHE
TIME
JOB.
SPENT ON THE JOB.
103 213103 213103 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A TIME RATE METHOD
IS A TIME
OFRATE
PAYING
METHOD
FLAT
BASIC
TIME
OF
WAGES
RATE
PAYING
WHERE
BASICTHE
WAGES
BASICWHERE
RATE PER
THEHOUR
BASICREMAINS
RATE PERCONSTANT
HOUR REMAINS
IRRESPECTIVE
CONSTANTOF IRRESPECTIVE
THE NUMBER OF THE
HOURS
NUMBER
WORKED.
OF HOURS WORKED.
104 213104 213104 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A TIME RATE METHOD
IS A TIME
OFRATE
PAYING
METHOD
MEASURED
BASICOF
WAGES
PAYING
DAY WHERE,
RATE
BASICALTHOUGH
WAGES WHERE,
THE EMPLOYEE
ALTHOUGHISTHE
PAIDEMPLOYEE
ON THE BASIS
IS PAID
OF ON
THETHE
NUMBER
BASIS OF THE
HOURS
NUMBER
WORKED,
OF HOURS
BEFOREWORKED,
SUCH PAYMENT
BEFOREISSUCH
MADE,
PAYMENT
ONE MUST
IS MADE,
HAVE ONE
COMPLETED
MUST HAVE
A GIVEN
COMPLETED
PIECE OFAASSIGNMENT.
GIVEN PIECE OF ASSIGNMENT.
105 213105 213105 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS THE COPENSATION
IS THE
PAID
COPENSATION
TO EMPLOYEES
OVERTIME
PAIDINTO
ADDITION
PREMIUM
EMPLOYEES
TO NORMAL
IN ADDITION
WAGES
TO NORMAL
FOR HOURS
WAGES
WORKED
FOR HOURS
IN EXCESS
WORKED
OF NORMAL
IN EXCESS
WORKING
OF NORMAL
HOURSWORKING
(TREATEDHOURS
AS INDIRECT
(TREATED
LABOR).
AS INDIRECT LABOR).
106 213106 213106 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS THE PAYMENT OF
IS THE
LABOR
PAYMENT
OVER AND
OF
SHIFT
LABOR
ABOVE
PREMIUM
OVER
THE STANDARD
AND ABOVERATE
THE STANDARD
WHEN THEYRATE
WORKWHEN
ON SHIFTS
THEY WORK
ESPECIALLY
ON SHIFTS
DURING
ESPECIALLY
NIGHTS OR
DURING
PERIODS
NIGHTS
OUTSIDE
OR PERIODS
THE NORMAL
OUTSIDE
WORKING
THE NORMAL
HOURSWORKING
(TREATEDHOURS
AS INDIRECT
(TREATED
LABOR).
AS INDIRECT LABOR).
107 213107 213107 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A PAYMENT IN IS
ADDITION
A PAYMENT
TO THE
IN BONUS
ADDITION
AMOUNT
PAYMENTS
TO
CONTRACTED
THE AMOUNT
FORCONTRACTED
(BASIC PAY), FOR
IN MOST
(BASIC
CASES
PAY),BASED
IN MOST
ON CASES
THE LEVEL
BASED
OFON
PERFORMANCE
THE LEVEL OFOR
PERFORMANCE
PROFITABILITY.
ORITPROFITABILITY.
IS PAID TO ENCOURAGE
IT IS PAIDEMPLOYEES
TO ENCOURAGE
TO BEEMPLOYEES
MORE EFFICIENT.
TO BE MORE EFFICIENT.
108 213108 213108 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS THE NONPRODUCTIVE
IS THE NONPRODUCTIVE
TIME PAIDIDLE
FORTIME
(E.G.,
TIMEWORKERS
PAID FORARE
(E.G.,
STILL
WORKERS
PAID THOUGH
ARE STILL
NOPAID
PRODUCTION
THOUGH NO
IS CONTINUING
PRODUCTIONDUE
IS CONTINUING
TO POWER FAILURE
DUE TO OR
POWER
MACHINE
FAILURE
BREAKDOWN).
OR MACHINE
IT BREAKDOWN).
IS TREATED AS IT
PERIOD
IS TREATED
COST. AS PERIOD COST.
109 213109 213109 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
FORMULA FOR IDLE
FORMULA
TIME RATIO
FOR IDLE
IDLE
TIME
TIME
RATIO
RATIO = IDLE TIME / TOTAL HOURS WORKED
110 213110 213110 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS THE NUMBER OF
IS THE
EMPLOYEES
NUMBERLEAVING
OF
LABOR
EMPLOYEES
OR
TURNOVER
BEING
LEAVING
RECRUITED
OR BEING
IN A PERIOD
RECRUITED
OF TIME.
IN A PERIOD OF TIME.
111 213111 213111 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
FORMULA FOR LABOR
FORMULA
TURNOVER
FOR LABOR
LABOR
TURNOVER
TURNOVER = REPLACEMENT / AVERAGE NUMBER OF EMPLOYEES IN A PERIOD
112 213112 213112 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE COSTS OF LABOR
ARE COSTS
TURNOVER
OF LABOR
WHICH
REPLACEMENT
TURNOVER
REFER TOCOSTS
WHICH
COSTS INCURRED
REFER TO COSTS
AS A RESULT
INCURRED
OF HIRING
AS A RESULT
A NEWOF
EMPLOYEE.
HIRING A NEW EMPLOYEE.
113 213113 213113 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE COSTS OF LABOR
ARE COSTS
TURNOVER
OF LABOR
WHICH
PREVENTIVE
TURNOVER
REFERCOSTS
TOWHICH
COSTS INCURRED
REFER TO COSTS
IN ORDER
INCURRED
TO PREVENT
IN ORDER
EMPLOYEES
TO PREVENT
FROMEMPLOYEES
LEAVING THE
FROM
ORGANIZATION.
LEAVING THE ORGANIZATION.
114 213114 213114 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS ONE OF THE DEPARTMENTS
IS ONE OF THEINVOLVED
DEPARTMENTS
PERSONNEL
IN THEDEPARTMENT
INVOLVED
ACCUMULATION
IN THE OF
ACCUMULATION
LABOR COSTS OF
ANDLABOR
IS THECOSTS
ONE RESPONSIBLE
AND IS THE ONE
FORRESPONSIBLE
ENGAGEMENT,FORDISCHARGE,
ENGAGEMENT,
AND DISCHARGE,
TRANSFER OFAND
EMPLOYEES,
TRANSFERCLASSIFICATION
OF EMPLOYEES,AND
CLASSIFICATION
METHOD OFAND
REMUNERATION.
METHOD OF REMUNERATION.
115 213115 213115 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS ONE OF THE DEPARTMENTS
IS ONE OF THEINVOLVED
DEPARTMENTS
PRODUCTION
IN THEINVOLVED
ACCUMULATION
PLANNINGINDEPARTMENT
THE OF
ACCUMULATION
LABOR COSTS OF
ANDLABOR
IS THECOSTS
ONE RESPONSIBLE
AND IS THE ONE
FORRESPONSIBLE
SCHEDULINGFOR
WORK
SCHEDULING
AND ISSUING
WORK
JOBAND
ORDERS
ISSUING
TO THE
JOBPRODUCTION
ORDERS TO THE
DEPARTMENT.
PRODUCTION DEPARTMENT.
116 213116 213116 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS ONE OF THE DEPARTMENTS
IS ONE OF THEINVOLVED
DEPARTMENTS
TIME KEEPING
IN THEINVOLVED
ACCUMULATION
DEPARTMENT
IN THE OF
ACCUMULATION
LABOR COSTS OF
ANDLABOR
IS THECOSTS
ONE RESPONSIBLE
AND IS THE ONE
FORRESPONSIBLE
RECORDING THE
FOR ATTENDANCE
RECORDING THE
TIME
ATTENDANCE
AND JOB TIME
TIME
(I.E.,
AND TIME
JOBSPENT
TIME (I.E.,
BY EACHTIMEWORKER
SPENT BY
INEACH
A FACTORY
WORKERAND
INTIME
A FACTORY
SPENT AND
BY EACH
TIMEWORKER
SPENT BY
ONEACH
EACH
WORKER
JOB). ON EACH JOB).
117 213117 213117 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A DOCUMENT ON
IS AWHICH
DOCUMENT
THE STARTING
ON
CLOCK
WHICH
CARD
AND
THEFINISHING
STARTINGTIME
ANDOF
FINISHING
AN EMPLOYEE
TIME OF
IS RECORDED
AN EMPLOYEE
FORISTHE
RECORDED
ASCERTAINMENT
FOR THE ASCERTAINMENT
OF HIS TOTAL ACTUAL
OF HIS
ATTENDANCE
TOTAL ACTUAL
TIME.
ATTENDANCE TIME.
118 213118 213118 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A DOCUMENT THAT
IS A DOCUMENT
RECORDS TIME
THAT
JOBSPENT
CARD
RECORDS
ON ATIME
JOB. SPENT ON A JOB.
119 213119 213119 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A RECORD OF HOW
IS A RECORD
A PERSON'S
OF HOW
TIMEAHAS
SHEET
PERSON'S
BEEN SPENT
TIME HAS
DAILYBEEN
OR WEEKLY
SPENT DAILY
(COMMONLY
OR WEEKLY
USED(COMMONLY
BY INDIRECTUSED
WORKERS).
BY INDIRECT WORKERS).
120 213120 213120 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS ONE OF THE DEPARTMENTS
IS ONE OF THEINVOLVED
DEPARTMENTS
WAGESINDEPARTMENT
THEINVOLVED
ACCUMULATION
IN THE OF
ACCUMULATION
LABOR COSTS OF
ANDLABOR
IS THECOSTS
ONE RESPONSIBLE
AND IS THE ONE
FORRESPONSIBLE
PREPARING THE
FORPAYROLL
PREPARING
ANDTHE
THEPAYROLL
PAYMENTAND
OFTHE
WAGES.
PAYMENT OF WAGES.
121 213121 213121 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS ONE OF THE DEPARTMENTS
IS ONE OF THEINVOLVED
DEPARTMENTS
COST ACCOUNTING
IN THEINVOLVED
ACCUMULATION
DEPARTMENT
IN THE OF
ACCUMULATION
LABOR COSTS OF
ANDLABOR
IS THECOSTS
ONE RESPONSIBLE
AND IS THE ONE
FORRESPONSIBLE
THE ACCUMULATION
FOR THE AND
ACCUMULATION
CLASSIFICATION
ANDOF
CLASSIFICATION
ALL COSTS. OF ALL COSTS.
122 213122 213122 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS THE FIRST STEPISINTHE
DETERMINING
FIRST STEPOVERHEAD
IN
HOW
DETERMINING
TO TREAT
ANALYSIS
OVERHEADS.
HOW TO TREAT OVERHEADS.
123 213123 213123 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS THE PROCESS BY
IS WHICH
THE PROCESS
OVERHEADS
BY
ABSORPTION
WHICH
(WHETHER
OVERHEADS
COSTING
VARIABLE
(WHETHER
OR FIXED)
VARIABLE
ARE ABSORBED
OR FIXED)INTO
ARE PRODUCTION
ABSORBED INTO
(FULL
PRODUCTION
COSTING). (FULL COSTING).
124 213124 213124 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE DEPARTMENTS
ARETHAT
DEPARTMENTS
PROVIDESERVICE
SERVICES
THAT COST
PROVIDE
TO PRODUCTION
CENTERS
SERVICES
OR DEPARTMENTS
TO
DEPARTMENTS.
PRODUCTIONTHEY
DEPARTMENTS.
DO NOT PROVIDE
THEY DO
PRODUCTS
NOT PROVIDE
TO BEPRODUCTS
USED EXTERNALLY.
TO BE USED EXTERNALLY.
1. STOCK VALUATION
2. PRODUCT PRICING
125 213125 213125 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
REASONS FOR COMPILING
REASONS PRODUCT
FOR COMPILING
3. COSTS
DECISION
(3
PRODUCT
ITEMS)
MAKINGCOSTS (3 ITEMS)
126 213126 213126 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
POSSIBLE BASIS OF
POSSIBLE
APPORTIONMENT:
BASIS OF
MACHINE
APPORTIONMENT:
MAINTENANCE
TIME OR NUMBER
MAINTENANCE
OF HOURS SPENT
127 213127 213127 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
POSSIBLE BASIS OF
POSSIBLE
APPORTIONMENT:
BASIS OF
VALUE
APPORTIONMENT:
INSURANCE/DEPRECIATION
OF ASSETS AND
INSURANCE/DEPRECIATION
EXPOSURE
OFTO
ASSETS
RISK OF ASSETS
128 213128 213128 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
POSSIBLE BASIS OF
POSSIBLE
APPORTIONMENT:
BASIS OF
SIZE
APPORTIONMENT:
RENT
OF THE SPACE OCCUPIED
RENT (FLOOR AREA)
129 213129 213129 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
POSSIBLE BASIS OF
POSSIBLE
APPORTIONMENT:
BASIS OF
NUMBER
APPORTIONMENT:
SALARIES
OF EMPLOYEES
SALARIES
130 213130 213130 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
POSSIBLE BASIS OF
POSSIBLE
APPORTIONMENT:
BASIS OF
NUMBER
APPORTIONMENT:
CANTEEN
OF PEOPLE
COSTS CANTEEN COSTS
131 213131 213131 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
POSSIBLE BASIS OF
POSSIBLE
APPORTIONMENT:
BASIS OF
NUMBER
APPORTIONMENT:
STORES
OFCOST
REQUESTS
STORES COST
132 213132 213132 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
POSSIBLE BASIS OF
POSSIBLE
APPORTIONMENT:
BASIS OF
NUMBER
APPORTIONMENT:
INSPECTION
OF HOURS SPENT
INSPECTION
133 213133 213133 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS THE PROCESS BY
IS WHICH
THE PROCESS
THE WHOLE
BY
ALLOCATION
WHICH
COSTTHE
ITEMS
OF
WHOLE
OVERHEADS
ARE CHARGED
COST ITEMS
DIRECTLY
ARE CHARGED
TO A COST
DIRECTLY
UNIT OR
TOAS
A COST
A COST
UNIT
CENTER.
OR AS A COST CENTER.
134 213134 213134 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
OCCURES WHEREOCCURES
THE TOTAL
WHERE
VALUE
APPORTIONMENT
THE
OF TOTAL
AN OVERHEAD
VALUEOF
OF
ITEM
OVERHEADS
AN OVERHEAD
IS SHARED BETWEEN
ITEM IS SHARED
TWO ORBETWEEN
MORE COST
TWOCENTERS
OR MORETHAT
COST
USE
CENTERS
THE OVERHEADS.
THAT USE THE OVERHEADS.
1. DIRECT METHOD
2. ALGEBRAIC APPROACH
135 213135 213135 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
METHODS OF ALLOCATION
METHODSAND
OF ALLOCATION
APPORTIONMENT
3. ELIMINATION
AND APPORTIONMENT
OF
METHOD
OVERHEAD
OR STEPWISE
COSTS
OF OVERHEAD
(3 (STEP
ITEMS)DOWN)
COSTSMETHOD
(3 ITEMS)
136 213136 213136 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A METHOD OF ALLOCATION
IS A METHODAND
OF ALLOCATION
DIRECT
APPORTIONMENT
METHOD
AND APPORTIONMENT
OF OVERHEAD COSTS
OF OVERHEAD
WHERE COSTS
COSTS
OFWHERE
EACH SERVICE
COSTS OF
DEPARTMENT
EACH SERVICE
AREDEPARTMENT
ONLY CHARGED
ARETO
ONLY
PRODUCTION
CHARGED TO
CENTERS.
PRODUCTION CENTERS.
137 213137 213137 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A METHOD OF ALLOCATION
IS A METHODAND
OF ALLOCATION
ALGEBRAIC
APPORTIONMENT
METHOD
AND APPORTIONMENT
OF OVERHEAD COSTS
OF OVERHEAD
THAT RECOGNIZES
COSTS THAT
THE RECOGNIZES
RECIPROCAL THE
NATURE
RECIPROCAL
OF SERVICE
NATURE
DEPARTMENTS
OF SERVICEAND
DEPARTMENTS
EXPRESSES ITAND
AS AN
EXPRESSES
EQUATION.
IT AS AN EQUATION.
138 213138 213138 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A METHOD OF ALLOCATION
IS A METHODAND
OF ALLOCATION
ELIMINATION
APPORTIONMENT
AND
METHOD
APPORTIONMENT
OF OVERHEAD
OR STEPWISE
COSTS
OF
METHOD
OVERHEAD
WHICH MHICH
COSTS
ALLOCATES
WHICH MHICH
SERVICE
ALLOCATES
COSTS TOSERVICE
OPERATING
COSTSDEPARTMENTS
TO OPERATINGAND
DEPARTMENTS
OTHER SERVICE
ANDDEPARTMENTS
OTHER SERVICEINDEPARTMENTS
A SEQUENTIALIN
PROCESS
A SEQUENTIAL
(I.E., SERVICE
PROCESS
DEPARTMENT
(I.E., SERVICE
WITH
DEPARTMENT
HIGHEST TOWITH
LOWEST
HIGHEST
COSTTO
NOT
LOWEST
ALLOWING
COSTCOSTS
NOT ALLOWING
TO BE ALLOCATED
COSTS TO
BACK
BE ALLOCATED
TO A DEPARTMENT
BACK TOTHAT
A DEPARTMENT
HAS ALREADY
THAT
HAD
HAS
ALLALREADY
OF ITS COSTS
HAD AL
A
139 213139 213139 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARISES WHEN THEARISES
ABSORBED
WHENOVERHEADS
THEOVER
ABSORBED
ABSORPTION
ARE OVERHEADS
MORE THAN ARE
THE MORE
ACTUAL
THAN
OVERHEADS
THE ACTUAL
INCURRED
OVERHEADS
(OVERESTIMATION
INCURRED (OVERESTIMATION
OF OVERHEAD USED
OF OVERHEAD
TO CALCULATE
USEDTHE
TOABSORPTION
CALCULATE THE
RATE).
ABSORPTION RATE).
140 213140 213140 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
OCCURS WHEN THE
OCCURS
OVERHEADS
WHEN THE
CHARGED
UNDER
OVERHEADS
ABSORPTION
TO THECHARGED
COST OF SALES
TO THEARE
COST
LESS
OFTHAN
SALESTHE
AREACTUAL
LESS THAN
OVERHEADS
THE ACTUAL
INCURRED.
OVERHEADS INCURRED.
1. PURCHASE OF RAW MATERIALS
2. CONVERSION OF RAW MATERIALS INTO FINISHED GOODS
141 213141 213141 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
MAIN ACTIVITIES MAIN
OF A MANUFACTURING
ACTIVITIES OF
3. SALE
A MANUFACTURING
CONCERN
OF THE FINISHED
(3 ITEMS)
CONCERN
GOODS (3 ITEMS)
1. DIRECT MATERIALS
2. DIRECT LABOR
142 213142 213142 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ELEMENTS OF PRODUCTION
ELEMENTS OF
COST
PRODUCTION
(3
3.ITEMS)
FACTORYCOST
OVERHEAD
(3 ITEMS)
1. ACTUAL
2. NORMAL
143 213143 213143 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
COSTING SYSTEMS
COSTING
(3 ITEMS)
SYSTEMS3.(3STANDARD
ITEMS)
144 213144 213144 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A COSTING SYSTEM
IS A COSTING
WHERE ALL
SYSTEM
PRODUCTION
ACTUAL
WHERE
COSTALL
COSTS
SYSTEM
PRODUCTION
ARE MEASURED
COSTSAT
ARE
ACTUAL
MEASURED
COSTS.
AT ACTUAL COSTS.
145 213145 213145 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A COSTING SYSTEM
IS A COSTING
WHERE DIRECT
SYSTEM
NORMAL
MATERIALS
WHERE
COST
DIRECT
AND
SYSTEM
DIRECT
MATERIALS
LABOR
ANDARE
DIRECT
MEASURED
LABORAT
ARE
ACTUAL
MEASURED
COSTSAT
WHILE
ACTUAL
FACTORY
COSTS OVERHEAD
WHILE FACTORY
IS MEASURED
OVERHEAD
USING
IS MEASURED
A PREDETERMINED
USING A PREDETERMINED
RATE (APPLIED). RATE (APPLIED).
146 213146 213146 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A COSTING SYSTEM
IS A COSTING
WHERE ALL
SYSTEM
PRODUCTION
STANDARD
WHERECOST
ALL
COSTS
PRODUCTION
SYSTEM
ARE MEASURED
COSTSAT
ARE
STANDARD
MEASURED
COSTS
AT STANDARD COSTS
1. FORMS
2. EQUIPMENT
3. PROCEDURES
147 213147 213147 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
COMPONENTS OFCOMPONENTS
AN ACCOUNTING
OF4.
AN
SYSTEM
PEOPLE
ACCOUNTING
(3 ITEMS)SYSTEM (3 ITEMS)
148 213148 213148 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE THE DOCUMENTS
ARE THE
ON DOCUMENTS
WHICH DATA
FORMSON
IS RECORDED
WHICH DATA
(E.G.,
IS RECORDED
INVOICES, CHECKS,
(E.G., INVOICES,
JOURNALS,
CHECKS,
ETC.).JOURNALS, ETC.).
149 213149 213149 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
CONSISTS OF DEVICES
CONSISTS
AND MACHINES
OF DEVICES
EQUIPMENT
SUCH
AND MACHINES
AS PENS, FILE
SUCH
CABINETS,
AS PENS,ADDING
FILE CABINETS,
MACHINES,
ADDING
CASHMACHINES,
REGISTERS AND
CASHCOMPUTERS.
REGISTERS AND COMPUTERS.
150 213150 213150 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE SERIES OF OPERATIONS
ARE SERIESOR
OF STEPS
OPERATIONS
PROCEDURES
THAT MUST
OR STEPS
BE PERFORMED
THAT MUSTTO
BECOMPLETE
PERFORMED
A TASK.
TO COMPLETE A TASK.
151 213151 213151 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A LISTING OF ALL
IS AACCOUNTS
LISTING OFUSED
ALL
CHART
ACCOUNTS
IN THE
OFGENERAL
ACCOUNTS
USED LEDGER
IN THE GENERAL
OF AN ORGANIZATION.
LEDGER OF AN ORGANIZATION.
152 213152 213152 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS AN ACCOUNT USED
IS ANTO
ACCOUNT
RECORDUSED
THE
CONTROL
BALANCES
TO RECORD
ACCOUNT
ON
THE
A NUMBER
BALANCES
OFON
SUBSIDIARY
A NUMBERACCOUNTS
OF SUBSIDIARY
AND TO
ACCOUNTS
PROVIDEAND
A CROSS-CHECK
TO PROVIDEON
A CROSS-CHECK
THEM. ON THEM.
153 213153 213153 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS ONE OF THE MEANS
IS ONEOFOFESTABLISHING
THE MEANS
VOUCHER
OF
INTERNAL
ESTABLISHING
SYSTEMCONTROL
INTERNAL
OVER THE
CONTROL
EXPENDITURES
OVER THEOFEXPENDITURES
THE BUSINESS.OF
UNDER
THE BUSINESS.
IT, DIFFERENT
UNDER
PERSONS
IT, DIFFERENT
ARE RESPONSIBLE
PERSONS ARE
FORRESPONSIBLE
AUTHORIZINGFOR
THE
AUTHORIZING
EXPENDITURE,
THERECEIVING
EXPENDITURE,
THE ASSETS
RECEIVING
OR SERVICES,
THE ASSETS
PREPARING
OR SERVICES,
AND SIGNING
PREPARING
THEAND
CHECKS.
SIGNING THE CHECKS.
154 213154 213154 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A FORM OR DOCUMENT
IS A FORMWHICH
OR DOCUMENT
VOUCHER
CONTAINSWHICH
A DESCRIPTION
CONTAINSOF
A TRANSACTION
DESCRIPTION OF
INVOLVING
TRANSACTION
THE PAYMENT
INVOLVING
OFTHE
CASH
PAYMENT
IMMEDIATELY
OF CASH
ORIMMEDIATELY
IN THE FUTURE,
ORAND
IN THE
THEFUTURE,
AUTHORIZATION
AND THE AUTHORIZATION
TO MAKE THE PAYMENT
TO MAKE
AND
THETOPAYMENT
JOURNALIZE
ANDTHE
TO JOURNALIZE
TRANSACTION.
THE TRANSACTION.
1. PAID VOUCHERS FILE
155 213155 213155 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
FILES KEPT FOR THE
FILES
VOUCHERS
KEPT FOR(2THE
ITEMS)
2. VOUCHERS
UNPAID VOUCHERS
(2 ITEMS)FILE
156 213156 213156 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE VOUCHERS USUALLY
ARE VOUCHERS
FILED INUSUALLY
NUMERICAL
PAID VOUCHERS
FILED
ORDER.
IN NUMERICAL ORDER.
157 213157 213157 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE VOUCHERS FILED
ARE VOUCHERS
PREFERABLYFILED
UNPAID
ACCORDING
PREFERABLY
VOUCHERS
TO THE
ACCORDING
DATE ON TO
WHICH
THE DATE
THE DISCOUNT
ON WHICHPERIOD
THE DISCOUNT
ENDS OR PERIOD
PAYMENTENDS
IS DUE.
OR PAYMENT IS DUE.
158 213158 213158 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A COLUMNAR SPECIAL
IS A COLUMNAR
JOURNALSPECIAL
VOUCHER
OR BOOKJOURNAL
OF
REGISTER
ORIGINAL
OR BOOK
ENTRY
OF ORIGINAL
IN WHICH ENTRY
EVERY IN
VOUCHER
WHICH EVERY
AND ITSVOUCHER
DISTRIBUTION
AND ITS
AREDISTRIBUTION
RECORDED. ARE RECORDED.
159 213159 213159 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS THE BASIS OF PREPARING
IS THE BASIS
A OF
VOUCHER.
PREPARING
INVOICE ORAOTHER
VOUCHER.
BUSINESS DOCUMENT
160 213160 213160 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS THE BASIS OFOR
IS MAKING
THE BASIS
ANOFOR
ENTRY
VOUCHER
MAKING
IN THEAN
VOUCHER
ENTRY IN
REGISTER.
THE VOUCHER REGISTER.
161 213161 213161 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS REPLACED BY THE
IS REPLACED
VOUCHERBY
REGISTER
THE
PURCHASES
VOUCHER
UNDER
JOURNAL
REGISTER
THE VOUCHER
UNDER
SYSTEM.
THE VOUCHER SYSTEM.
162 213162 213162 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A RECORD OF ALL
IS ACHECKS
RECORDISSUED.
OF ALL
CHECK
CHECKS
REGISTER
ISSUED.
163 213163 213163 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS REPLACED BY THE
IS REPLACED
CHECK REGISTER
BY THE
CASH
UNDER
CHECK
PAYMENTS
REGISTER
THE VOUCHER
JOURNAL
UNDER
SYSTEM.
THE VOUCHER SYSTEM.
164 213164 213164 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
CONTROL ACCOUNT
CONTROL
: MATERIALS,
ACCOUNTSUBSIDIARY
MATERIALS
: MATERIALS,
LEDGER
LEDGER
SUBSIDIARY
CARDS
OR RECORD
(PERPETUAL
LEDGER
: __________
ORINVENTORY)
RECORD : __________
165 213165 213165 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
CONTROL ACCOUNT
CONTROL
: FACTORY
ACCOUNT
OVERHEAD,
EXPENSE
: FACTORY
LEDGER
SUBSIDIARY
OVERHEAD,
OR DEPARTMENT
LEDGER
SUBSIDIARY
OR RECORD
EXPENSE
LEDGER
: __________
SHEET
OR RECORD
ANALYSIS
: __________
- COST SHEETS (JOB ORDER COSTING)
166 213166 213166 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
CONTROL ACCOUNT
CONTROL
: WORK-IN-PROCESS,
ACCOUNT - PRODUCTION
: WORK-IN-PROCESS,
SUBSIDIARY
REPORT
LEDGER
(PROCESS
SUBSIDIARY
OR RECORD
COSTING)
LEDGER
: __________
OR RECORD : __________
167 213167 213167 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
CONTROL ACCOUNT
CONTROL
: FINISHED
ACCOUNT
GOODS,
FINISHED
: FINISHED
SUBSIDIARY
GOODS
GOODS,
LEDGER
LEDGER
SUBSIDIARY
CARDS
OR RECORD
LEDGER
: __________
OR RECORD : __________
168 213168 213168 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
CONTROL ACCOUNT
CONTROL
: MACHINERY
ACCOUNTPLANT
AND: MACHINERY
EQUIPMENT,
LEDGERS AND
SUBSIDIARY
EQUIPMENT,
LEDGER
SUBSIDIARY
OR RECORD
LEDGER
: __________
OR RECORD : __________
169 213169 213169 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
PURCHASE
ENTRYOF
FOR
DR.
RAW
MATERIALS;
PURCHASE
MATERIALS
OFCR.RAW
VOUCHERS
MATERIALS
PAYABLE
170 213170 213170 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
PURCHASE
ENTRYRETURNS
FOR
DR. VOUCHERS
PURCHASE
AND ALLOWANCES
RETURNS
PAYABLE; AND
CR. MATERIALS
ALLOWANCES
171 213171 213171 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
PAYMENT
ENTRY
OFFOR
DR.
ACCOUNTS
VOUCHERS
PAYMENT
WITH
OF
PAYABLE;
ACCOUNTS
DISCOUNT
CR. MATERIALS,
WITH DISCOUNT
CASH
172 213172 213172 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
FREIGHT-IN
ENTRYFOR
FOR
DR. RAW
MATERIALS;
FREIGHT-IN
MATERIALS
FOR
CR. VOUCHERS
RAW MATERIALS
PAYABLE
173 213173 213173 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
ISSUANCE
ENTRY
OFFOR
DR.
DIRECT
WORK-IN-PROCESS
ISSUANCE
MATERIALS
OF DIRECT
TO CONTROL
PRODUCTION
MATERIALS
- DIRECT
TO PRODUCTION
MATERIALS; CR. MATERIALS
174 213174 213174 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
ISSUANCE
ENTRY
OFFOR
DR.
INDIRECT
FACTORY
ISSUANCE
MATERIALS
OVERHEAD
OF INDIRECT
TO CONTROL;
PRODUCTION
MATERIALS
CR. TO
MATERIALS
PRODUCTION
175 213175 213175 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
EXCESS
ENTRY
RAWFOR
DR.
MATERIALS
MATERIALS;
EXCESS RAW
RETURNED
CR.
MATERIALS
WORK-IN-PROCESS
TO STORE
RETURNED
ROOMCONTROL
TO
FROM
STORE
PRODUCTION
- ROOM
DIRECTFROM
MATERIALS
PRODUCTION
176 213176 213176 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
PAYROLL
ENTRY
ASSEMBLY
FOR
DR. PAYROLL;
PAYROLL ASSEMBLY
CR. WITHHOLDING TAX PAYABLE, SSS AND MEDICARE PREMIUMS PAYABLE, VOUCHERS PAYABLE
177 213177 213177 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
PAYROLL
ENTRY
ACCOUNT
FOR
DR. WORK-IN-PROCESS
PAYROLL
DISTRIBUTION
ACCOUNTCONTROL
DISTRIBUTION
- DIRECT LABOR, FACTORY OVERHEAD CONTROL, SELLING EXPENSES CONTROL, ADMINISTRATIVE EXPENSES CONTROL; CR. PAYROLL
178 213178 213178 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
TREATMENT FOR TREATMENT
OVERTIME PREMIUM
FOR OVERTIME
OVERTIME
IF THE PREMIUM
PREMIUM
JOB IS TAKEN
IS
IF CHARGED
THE
AS AJOB
RUSH
ISTO
TAKEN
ORDER
PRODUCT
ASWITH
A RUSH
(DR.
THEWORK-IN-PROCESS;
ORDER
KNOWLEDGE
WITH THE
THAT
KNOWLEDGE
CR.
OVERTIME
PAYROLL)
WILL
THATBE
OVERTIME
NECESSARY
WILL BE NECESSARY
179 213179 213179 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
TREATMENT FOR TREATMENT
OVERTIME PREMIUM
FOR OVERTIME
OVERTIME
WHENPREMIUM
PREMIUM
THE REGULAR
IS
WHEN
CHARGED
ORDERS
THE REGULAR
TO
CANNOT
FACTORY
ORDERS
BE COMPLETED
OVERHEAD
CANNOTCONTROL
WITHIN
BE COMPLETED
REGULAR
ACCOUNT
WITHIN
WORKING
(DR. FACTORY
REGULAR
HOURS
OVERHEAD
WORKING CONTROL;
HOURS CR. PAYROLL)
180 213180 213180 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
APPLIED
ENTRY
FACTORY
FOR
DR. WORK-IN-PROCESS
APPLIED
OVERHEAD
FACTORY OVERHEAD
CONTROL - FACTORY OVERHEAD; CR. APPLIED FACTORY OVERHEAD
181 213181 213181 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
ACTUAL
ENTRY
FACTORY
FOR
DR. FACTORY
ACTUAL
OVERHEAD
FACTORY
OVERHEAD
OVERHEAD
CONTROL; CR. VOUCHERS PAYABLE
182 213182 213182 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
COST ENTRY
OF COMPLETED
FOR
DR. FINISHED
COSTGOODS
OF COMPLETED
GOODS;
FOR THE
CR. PERIOD
WORK-IN-PROCESS
GOODS FOR THE PERIOD
CONTROL
183 213183 213183 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
SALESENTRY
OF GOODS
FOR
DR. ACCOUNTS
SALES
ON ACCOUNT
OF GOODS
RECEIVABLE;
ON ACCOUNT
CR. SALES
184 213184 213184 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
RECOGNITION
ENTRY FOR
DR.
OFCOST
RECOGNITION
COSTOF
OFGOODS
GOODS
OFSOLD;
SOLD
COSTCR.
OF FINISHED
GOODS SOLD
GOODS
185 213185 213185 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
CLOSING
ENTRY
OF OVERHEAD
FOR
DR. APPLIED
CLOSING
ACCOUNTS
FACTORY
OF OVERHEAD
OVERHEAD,
ACCOUNTS
UNDER-APPLIED FACTORY OVERHEAD (BALANCING FIGURE); CR. FACTORY OVERHEAD CONTROL, OVER-APPLIED FACTORY OVERHEAD (BALANCING FIGURE)
186 213186 213186 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
CLOSING
ENTRY
OF UNDER-APPLIED
FOR
DR. COST
CLOSING
OF GOODS
OFFACTORY
UNDER-APPLIED
SOLD;OVERHEAD
CR. UNDER-APPLIED
FACTORY OVERHEAD
FACTORY OVERHEAD
187 213187 213187 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
CLOSING
ENTRY
OF OVER-APPLIED
FOR
DR. OVER-APPLIED
CLOSING OF
FACTORY
OVER-APPLIED
FACTORY
OVERHEAD
OVERHEAD;
FACTORYCR.
OVERHEAD
COST OF GOODS SOLD
188 213188 213188 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
RULE IF OVER- ORRULE
UNDER-APPLICATION
IF OVER- ORTHE
UNDER-APPLICATION
OVER-
OF FACTORY
OR UNDER-APPLICATION
OVERHEAD
OF FACTORY
IS MATERIAL
OVERHEAD
SHOULD BEISCLOSED
MATERIAL
NOT ONLY TO THE COST OF GOODS SOLD BUT ALSO TO FINISHED GOODS AND WORK-IN-PROCESS IN PROPORTION TO THEIR BALANCES BEFORE THE CLOSING OF OVER- OR UNDER-APPLICATION OF FACTORY OVERHEAD.
1. JOB ORDER COSTING
189 213189 213189 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
SYSTEMS USED INSYSTEMS
THE ACCUMULATION
USED IN 2.
THEPROCESS
OF
ACCUMULATION
COSTS
COSTING
(2 ITEMS)
OF COSTS (2 ITEMS)
190 213190 213190 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A SYSTEM USEDISIN
A ACCUMULATION
SYSTEM USEDJOB
IN OF
ACCUMULATION
ORDER
COSTS
COSTING
WHEREOF
EACH
COSTS
JOBWHERE
IS TRATED
EACH
ASJOB
AN IS
ACCOUNTING
TRATED AS AN
UNIT
ACCOUNTING
IN WHICH MATERIALS,
UNIT IN WHICH
LABOR
MATERIALS,
AND FACTORY
LABOR
OVERHEAD
AND FACTORY
COSTSOVERHEAD
ARE ASSIGNED
COSTS
BYARE
MEANS
ASSIGNED
OF JOBBYORDER
MEANSNUMBERS
OF JOB ORDER
(USUALLY
NUMBERS
USED BY
(USUALLY
LOW VOLUME,
USED BY
HIGH
LOWVARIETY
VOLUME,MANUFACTURING
HIGH VARIETY MANUFACTURING
COMPANIES). COMPANIES).
191 213191 213191 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A DOCUMENT WHERE
IS A DOCUMENT
THE COSTWHERE
JOB
OF EACH
COST
THE
ORDER
SHEET
COST FOR
OF EACH
A GIVEN
ORDER
CUSTOMER
FOR A GIVEN
OR THE
CUSTOMER
COST OF EACH
OR THE
LOT
COST
TO BE
OF PLACED
EACH LOT
IN TO
STOCK
BE PLACED
IS RECORDED.
IN STOCK IS RECORDED.
1. PREVENTION COSTS
2. APPRAISAL COSTS
192 213192 213192 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
CLASSIFICATIONS CLASSIFICATIONS
OF QUALITY COSTSOF
3. (3
FAILURE
QUALITY
ITEMS)COSTS
COSTS (3 ITEMS)
193 213193 213193 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE COSTS INCURRED
ARE COSTS
TO PREVENT
INCURRED
PREVENTION
PRODUCT
TO PREVENT
FAILURE.
COSTS
PRODUCT FAILURE.
194 213194 213194 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE COSTS INCURRED
ARE COSTS
IN ORDER
INCURRED
TOAPPRAISAL
DETECT
IN ORDER
PRODUCT
COSTS
TO DETECT
FAILURE.
PRODUCT FAILURE.
195 213195 213195 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE COSTS INCURRED
ARE COSTS
WHENINCURRED
A PRODUCT
FAILURE
WHEN
FAILS
COSTS
AAND
PRODUCT
DOES NOT
FAILSMEET
AND THE
DOESREQUIRED
NOT MEETSTANDARDS
THE REQUIRED
FOR STANDARDS
QUALITY. FOR QUALITY.
196 213196 213196 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
CONSISTS OF RECYCLABLE
CONSISTSMATERIALS
OF RECYCLABLE
SCRAP
LEFT
MATERIALS
OVER
MATERIALS
FROMLEFT
PRODUCT
OVER MANUFACTURING
FROM PRODUCT MANUFACTURING
OR CONSUMPTION.
OR CONSUMPTION.
197 213197 213197 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
SCRAPENTRY
SALESFOR
DR.
VIEWED
CASH
SCRAP
AS
(OR
SALES
ADDITIONAL
ACCOUNTS
VIEWEDREVENUE
RECEIVABLE);
AS ADDITIONALCR.REVENUE
SCRAP SALES (OR OTHER INCOME)
198 213198 213198 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
SCRAPENTRY
SALESFOR
DR.
VIEWED
CASH
SCRAP
AS
(OR
SALES
A REDUCTION
ACCOUNTS
VIEWED RECEIVABLE);
AS
OF ACOST
REDUCTION
OF GOODS
CR. COST
OF SOLD
COST
OF GOODS
DURING
OF GOODS
SOLD
THESOLD
PERIOD
DURING THE PERIOD
199 213199 213199 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
SCRAPENTRY
SALESFOR
DR.
VIEWED
CASH;
SCRAP
AS(OR
SALES
A REDUCTION
ACCOUNTS
VIEWED AS
RECEIVABLE)
OF ATHE
REDUCTION
FACTORY
CR. FACTORY
OF
OVERHEAD
THE FACTORY
OVERHEAD
INCURRED
OVERHEAD
CONTROL
FOR THE
INCURRED
PERIOD FOR THE PERIOD
200 213200 213200 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
SCRAPENTRY
SALESFOR
DR,
WHEN
CASH
SCRAP
SCRAP
(OR
SALES
ACCOUNTS
IS DIRECTLY
WHEN SCRAP
RECEIVABLE);
TRACEABLE
IS DIRECTLY
TO
CR.A WORK-IN-PROCESS
PARTICULAR
TRACEABLE TO
JOB
A PARTICULAR JOB
201 213201 213201 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ARE GOODS THATARE
HAVE
GOODS
BEENTHAT
DESTROYED
SPOILED
HAVE BEEN
(AT
GOODS
SOME
DESTROYED
POINT (AT
IN THE
SOME
PRODUCTION
POINT IN THE
PROCESS
PRODUCTION
OR AFTER
PROCESS
COMPLETION)
OR AFTER
AND
COMPLETION)
CANNOT BE AND
REPAIRED.
CANNOT BE REPAIRED.
202 213202 213202 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS THE PROCESS OF
IS CORRECTING
THE PROCESS DEFECTIVE
OF
REWORK
CORRECTING
GOODS
DEFECTIVE
IN ORDERGOODS
TO BRING
IN ORDER
THEM INTO
TO BRING
A SALEABLE
THEM INTO
CONDITION
A SALEABLE CONDITION
1. CHARGED TO A PARTICULAR JOB
203 213203 213203 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
ACCOUNTING TREATMENT
ACCOUNTING
FOR TREATMENT
SPOILED
2. CHARGED
GOODS
FORTO
AND
SPOILED
ALLREWORK
PRODUCTION
GOODS
(2 ITEMS)
AND REWORK (2 ITEMS)
204 213204 213204 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
NORMALLY CAUSED
NORMALLY
BY SOMECAUSED
ACTION
SPOILAGE
BY
TAKEN
SOME
OR
BYACTION
REWORK
THE CUSTOMER
TAKEN
CHARGED
BYSUCH
THE
TOCUSTOMER
AS
A PARTICULAR
MODIFICATIONS
SUCHJOB
AS AFTER
MODIFICATIONS
THE JOB WAS
AFTER
BEGAN
THE OR
JOBAN
WAS
IMPOSITION
BEGAN OROF
ANHIGH
IMPOSITION
QUALITYOF
STANDARDS
HIGH QUALITY
BY THE
STANDARDS
CUSTOMER.
BY THE CUSTOMER.
205 213205 213205 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
NORMALLY ARISES
NORMALLY
BECAUES OF
ARISES
INTERNAL
SPOILAGE
BECAUES
FAILURE
OR
OFREWORK
INTERNAL
SUCH AS
CHARGED
FAILURE
AN EMPLOYEE
TO
SUCH
ALLAS
ERROR
PRODUCTION
AN EMPLOYEE
OR WORN-OUT
ERRORMACHINERY
OR WORN-OUT
WHICH
MACHINERY
HAPPENED
WHICH
DURING
HAPPENED
THE PRODUCTION.
DURING THE PRODUCTION.
206 213206 213206 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
MEASUREMENT OF
MEASUREMENT
SPOILED GOODS
OF
MEASURED
INVENTORY
SPOILED GOODS
AT SCRAP
INVENTORY
VALUE
207 213207 213207 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
COMPLETION
ENTRY FOR
DR.
OF SPOILED
COMPLETION
JOB WITHGOODS
SPOILED
OFINVENTORY,
JOB
GOODS
WITH CHARGED
SPOILED
FINISHED
GOODS
TOGOODS
A PARTICULAR
CHARGED
(COST OF
TO
JOB
JOB
A PARTICULAR
- SCRAP VALUE
JOBOF SPOILED GOODS); CR. WORK-IN-PROCESS
208 213208 213208 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
COMPLETION
ENTRY FOR
DR.
OF SPOILED
COMPLETION
JOB WITHGOODS
SPOILED
OFINVENTORY,
JOB
GOODS
WITH CHARGED
SPOILED
FACTORY
GOODS
TO
OVERHEAD
ALL CHARGED
PRODUCTION
CONTROL
TO ALL(COST
PRODUCTION
OF SPOILED GOODS - SCRAP VALUE), FINISHED GOODS INVENTORY; CR. WORK-IN-PROCESS
209 213209 213209 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
REWORK
ENTRY
CHARGED
FOR
DR. WORK-IN-PROCESS;
REWORK
TO A PARTICULAR
CHARGED TO
CR.
JOB
AMATERIALS,
PARTICULARPAYROLL,
JOB APPLIED FACTORY OVERHEAD
210 213210 213210 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
REWORK
ENTRY
CHARGED
FOR
DR. FACTORY
REWORK
TO ALL CHARGED
OVERHEAD
PRODUCTION
TO
CONTROL;
ALL PRODUCTION
CR. MATERIALS, PAYROLL, APPLIED FACTORY OVERHEAD
546 213211 213211 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A SYSTEM USEDISIN
A ACCUMULATION
SYSTEM USEDPROCESS
IN OF
ACCUMULATION
COSTS
COSTING
USED WHEN
OF COSTS
PRODUCTS
USED WHEN
ARE MANUFACTURED
PRODUCTS ARE MANUFACTURED
UNDER CONDITIONS
UNDER
OF CONTINUOUS
CONDITIONS OF
PROCESSING
CONTINUOUS
OR UNDER
PROCESSING
MASS OR
PRODUCTION
UNDER MASS
METHODS.
PRODUCTION METHODS.
1. SEQUENTIAL
2. PARALLEL
547 213212 213212 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
FORMS OF PRODUCTION
FORMS OF
FLOW
PRODUCTION
(3 ITEMS)
3. SELECTIVE
FLOW (3 ITEMS)
548 213213 213213 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A FORM OF PRODUCTION
IS A FORM OF
FLOW
PRODUCTION
SEQUENTIAL
WHERE EACH
FLOW
PRODUCTION
ITEM
WHERE
MANUFACTURED
EACH
FLOWITEM MANUFACTURED
GOES THROUGH THE
GOESSAME
THROUGH
SET OFTHE
OPERATIONS.
SAME SET OF OPERATIONS.
549 213214 213214 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A FORM OF PRODUCTION
IS A FORM OF
FLOW
PRODUCTION
PARALLEL
WHERE CERTAIN
PRODUCTION
FLOW PORTIONS
WHEREFLOW
CERTAIN
OF THEPORTIONS
WORK AREOFDONE
THE WORK
SIMULTANEOUSLY
ARE DONE SIMULTANEOUSLY
AND THEN BROUGHT
ANDTOGETHER
THEN BROUGHT
IN A FINAL
TOGETHER
PROCESS
IN AOR
FINAL
PROCESSES
PROCESS
FOR
ORCOMPLETION
PROCESSES FOR
ANDCOMPLETION
TRANSFER TO
AND
FINISHED
TRANSFER
GOODS
TO FINISHED
INVENTORY.
GOODS INVENTORY.
550 213215 213215 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
IS A FORM OF PRODUCTION
IS A FORM OF
FLOW
PRODUCTION
SELECTIVE
WHERE THE PRODUCTION
FLOW
PRODUCT
WHEREMOVES
FLOW
THE PRODUCT
TO DIFFERENT
MOVESDEPARTMENTS
TO DIFFERENTWITHIN
DEPARTMENTS
THE PLANT,
WITHIN
DEPENDING
THE PLANT,
UPON DEPENDING
THE DESIRED
UPON
FINAL
THEPRODUCT.
DESIRED FINAL PRODUCT.
551 213216 213216 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
ISSUANCE
ENTRY
OFFOR
DR.
MATERIALS
WORK-IN-PROCESS
ISSUANCE
TOOF
A DEPARTMENT
MATERIALS
- DEPARTMENT
TOUNDER
A DEPARTMENT
A;
PROCESS
CR. MATERIALS
COSTING
UNDER PROCESS COSTING
552 213217 213217 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
LABORENTRY
COSTSFOR
DR.
UNDER
WORK-IN-PROCESS
LABOR
PROCESS
COSTS COSTING
UNDER
- DEPARTMENT
PROCESS COSTING
A; CR. PAYROLL
553 213218 213218 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
FACTORY
ENTRY
OVERHEAD
FOR
DR. WORK-IN-PROCESS
FACTORY
COSTSOVERHEAD
UNDER PROCESS
- DEPARTMENT
COSTS COSTING
UNDERA;PROCESS
CR. FACTORY
COSTING
OVERHEAD CONTROL
554 213219 213219 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
TRANSFER
ENTRYOFFOR
DR.
PRODUCT
WORK-IN-PROCESS
TRANSFER
UNITS
OF FROM
PRODUCT
- ONE
DEPARTMENT
UNITS
DEPARTMENT
FROM
B; CR.
ONE
TOWORK-IN-PROCESS
DEPARTMENT
ANOTHER UNDER
TO ANOTHER
-PROCESS
DEPARTMENT
COSTING
UNDERA PROCESS COSTING
555 213220 213220 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
TRANSFER
ENTRYFROM
FOR
DR. WORK-IN-PROCESS
TRANSFER
ONE DEPARTMENT
FROM ONE
DEPARTMENT
TODEPARTMENT
ANOTHER WITH
- B,TO
FACTORY
ABNORMAL
ANOTHER
OVERHEAD
WITH
SPOILAGE
ABNORMAL
CONTROL
UNDERSPOILAGE
-PROCESS
ABNORMAL
COSTING
UNDER
SPOILAGE;
PROCESSCR.COSTING
WORK-IN-PROCESS - DEPARTMENT A
556 213221 213221 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
JOURNAL ENTRY FOR
JOURNAL
TRANSFER
ENTRYOFFOR
DR.
COMPLETED
FINISHED
TRANSFERGOODS;
PRODUCT
OF COMPLETED
CR.
UNITS
WORK-IN-PROCESS
FROM
PRODUCT
FINAL
UNITS
PROCESSING
- DEPARTMENT
FROM FINAL
DEPARTMENT
PROCESSING
B TODEPARTMENT
FINISHED GOODS
TO FINISHED GOODS
557 213222 213222 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
SUMMARIZES THESUMMARIZES
PRODUCTIONTHE
AND
COST
PRODUCTION
COST
OF PRODUCTION
ACTIVITY
ANDWITHIN
COST
REPORT
ACTIVITY
A DEPARTMENT
WITHINFOR
A DEPARTMENT
A REPORTINGFOR
PERIOD.
A REPORTING PERIOD.
1. QUANTITY SCHEDULE
558 213223 213223 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
MAIN PARTS OF AMAIN
COSTPARTS
OF PRODUCTION
OF A2.
COST
COST
OF
REPORT
ANALYSIS
PRODUCTION
(2 ITEMS)REPORT (2 ITEMS)
559 213224 213224 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
560 213225 213225 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
561 213226 213226 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
562 213227 213227 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
563 213228 213228 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
564 213229 213229 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
565 213230 213230 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
566 213231 213231 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
567 213232 213232 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
568 213233 213233 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
569 213234 213234 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
570 213235 213235 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
571 213236 213236 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
572 213237 213237 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
573 213238 213238 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
574 213239 213239 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
575 213240 213240 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
576 213241 213241 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
577 213242 213242 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
578 213243 213243 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
579 213244 213244 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
580 213245 213245 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
581 213246 213246 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
582 213247 213247 AFAR - COST ACCOUNTING
AFAR - COST ACCOUNTING
583 301001 301001 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWINVOLVES
OFACCOUNTING
MANAGEMENT
THE APPLICATION
INVOLVES
ACCOUNTING
THE
OF APPROPRIATE
APPLICATION
MANAGEMENTOF
TECHNIQUES
APPROPRIATE
ACCOUNTING
ANDTECHNIQUES
CONCEPTS TO
AND
ECONOMIC
CONCEPTS
DATA
TO ECONOMIC
SO AS TO ASSIST
DATA MANAGEMENT
SO AS TO ASSISTINMANAGEMENT
ESTABLISHING IN
PLANS
ESTABLISHING
FOR REASONABLE
PLANS FOR
ECONOMIC
REASONABLE
OBJECTIVES
ECONOMIC
AND OBJECTIVES
IN THE MAKING
ANDOF
IN RATIONAL
THE MAKING
DECISIONS
OF RATIONAL
WITH DECISIONS
A VIEW TOWARD
WITH AACHIEVING
VIEW TOWARD
THESEACHIEVING
OBJECTIVES.
THESE OBJECTIVES.
1. SCOREKEEPING
2. INTERPRETING AND REPORTING INFORMATION
584 301002 301002 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWMANAGEMENT
OFACCOUNTING
MANAGEMENT
ACCOUNTING
MANAGEMENT
ACCOUNTING
TASKS,
ACCOUNTING
3. IN
PROBLEM-SOLVING
GENERAL
TASKS,
(3 ITEMS)
IN GENERAL (3 ITEMS)
585 301003 301003 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWENABLES
OFACCOUNTING
MANAGEMENT
BOTH INTERNAL
ENABLES
ACCOUNTING
AND
BOTHEXTERNAL
INTERNAL
SCOREKEEPING
PARTIES
AND EXTERNAL
TO EVALUATE
PARTIES
ORGANIZATIONAL
TO EVALUATE ORGANIZATIONAL
PERFORMANCE AND
PERFORMANCE
POSITION. AND POSITION.
586 301004 301004 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWHELP
OFACCOUNTING
MANAGEMENT
MANAGERSHELP
FOCUS
ACCOUNTING
MANAGERS
ON OPERATING
INTERPRETING
FOCUSPROBLEMS,
ON OPERATING
ANDOPPORTUNITIES
REPORTING
PROBLEMS,
INFORMATION
AS
OPPORTUNITIES
WELL AS INEFFICIENCIES.
AS WELL AS INEFFICIENCIES.
587 301005 301005 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWREFERS
OFACCOUNTING
MANAGEMENT
TO THE QUANTIFICATION
REFERS
ACCOUNTING
TO THE QUANTIFICATION
OF
PROBLEM-SOLVING
THE RELATIVE OF
MERITS
THE RELATIVE
OF POSSIBLE
MERITS
COURSES
OF POSSIBLE
OF ACTION
COURSES
AS WELL
OF ACTION
AS RECOMMENDATIONS
AS WELL AS RECOMMENDATIONS
AS TO THE BES PROCEDURE.
AS TO THE BES PROCEDURE.
1. PLANNING
2. CONTROLLING
588 301006 301006 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWADMINISTRATIVE
OFACCOUNTING
MANAGEMENT ADMINISTRATIVE
FUNCTIONS
ACCOUNTING
WHEREFUNCTIONS
3. DECISION
MANAGEMENT
WHERE
MAKING
ACCOUNTING
MANAGEMENTINFORMATION
ACCOUNTING
ARE
INFORMATION
USUALLY USED
ARE
(3USUALLY
ITEMS) USED (3 ITEMS)
589 301007 301007 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWINVOLVES
OFACCOUNTING
MANAGEMENT
SETTING
INVOLVES
OF
ACCOUNTING
GOALS
SETTING
FOR PLANNING
THE
OFFIRM,
GOALSEVALUATING
FOR THE FIRM,
VARIOUS
EVALUATING
WAYS TO
VARIOUS
MEET THE
WAYS
GOALS
TO MEET
AND PICKING
THE GOALS
OUTAND
WHAT
PICKING
APPEARS
OUTTO
WHAT
BE THE
APPEARS
BEST WAY
TO BE
TOTHE
MEET
BEST
THEWAY
GOALS.
TO MEET THE GOALS.
590 301008 301008 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWINVOLVES
OFACCOUNTING
MANAGEMENT
THE EVALUATION
INVOLVES
ACCOUNTING
THE
OF WHETHER
EVALUATION
CONTROLLING
ACTUAL
OF WHETHER
PERFORMANCE
ACTUALCONFORMS
PERFORMANCE
WITHCONFORMS
PLANNED GOALS.
WITH PLANNED GOALS.
591 301009 301009 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWINVOLVES
OFACCOUNTING
MANAGEMENT
DETERMINATION
INVOLVES
ACCOUNTING
DETERMINATION
OF PREDICTIVE
DECISIONINFORMATION
MAKING
OF PREDICTIVE
(E.G.,
INFORMATION
RELEVANT COSTS)
(E.G., RELEVANT
FOR MAKING
COSTS)
IMPORTANT
FOR MAKING
BUSINESS
IMPORTANT
DECISIONS.
BUSINESS DECISIONS.
592 301010 301010 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFAACCOUNTING
MANAGEMENT
FORMAL STATEMENT
IS AACCOUNTING
FORMAL
OF ESTIMATED
STATEMENT
BUDGETINCOME
OF ESTIMATED
AND EXPENSES
INCOMEBASED
AND EXPENSES
ON FUTURE
BASED
PLANS
ONAND
FUTURE
OBJECTIVES.
PLANS AND OBJECTIVES.
593 301011 301011 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWREFER
OFACCOUNTING
MANAGEMENT
TO THE REPORTS
REFER
ACCOUNTING
TO
USED
THETOREPORTS
EVALUATE
PERFORMANCE
USED
THETO
PERFORMANCE
REPORTS
EVALUATE THEOF
PERFORMANCE
MANAGERS AND
OF MANAGERS
THE OPERATIONS
AND THE
THEY
OPERATIONS
CONTROL. THEY CONTROL.
594 301012 301012 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWFA
OFACCOUNTING
OR
MANAGEMENT
MA: ITS OBJECTIVE
FAACCOUNTING
OR MA:
IS TO
ITS PROVIDE
OBJECTIVE
FINANCIAL
DATA
IS TO
ACCOUNTING
FOR
PROVIDE
BOTH INTERNAL
DATA FOR(MANAGEMENT)
BOTH INTERNAL (MANAGEMENT)
AND EXTERNAL USERS
AND EXTERNAL
(E.G., CREDITORS,
USERS (E.G.,
OWNERS,
CREDITORS,
GOVERNMENT,
OWNERS,ETC.).
GOVERNMENT, ETC.).
595 301013 301013 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWFA
OFACCOUNTING
OR
MANAGEMENT
MA: ITS OBJECTIVE
FAACCOUNTING
OR MA:
IS TO
ITS PROVIDE
OBJECTIVE
MANAGEMENT
DATA
IS TOFOR
PROVIDE
ACCOUNTING
INTERNAL
DATAUSERS
FOR INTERNAL
WITHIN THE
USERS
BUSINESS
WITHIN
ORGANIZATION.
THE BUSINESS ORGANIZATION.
596 301014 301014 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWFA
OFACCOUNTING
OR
MANAGEMENT
MA: FINANCIAL
FAACCOUNTING
ORDATA
MA: FINANCIAL
SHOULD
FINANCIAL
BEDATA
RECORDED
ACCOUNTING
SHOULD
AND
BEPRESENTED
RECORDED IN
ANDACCORDANCE
PRESENTED WITH
IN ACCORDANCE
IFRS. WITH IFRS.
597 301015 301015 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWFA
OFACCOUNTING
OR
MANAGEMENT
MA: REPORTS
FAACCOUNTING
OR
NEED
MA:NOT
REPORTS
BE MANAGEMENT
PRESENTED
NEED NOT
INBE
CONFORMITY
ACCOUNTING
PRESENTED WITH
IN CONFORMITY
IFRS TO BE ABLE
WITHTO
IFRS
PRESENT
TO BE ABLE
MORETOUSEFUL
PRESENT
DATA
MORE
TO USEFUL
MANAGEMENT.
DATA TO MANAGEMENT.
598 301016 301016 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWFA
OFACCOUNTING
OR
MANAGEMENT
MA: THIS PRIMARILY
FAACCOUNTING
OR MA:INVOLVES
THIS PRIMARILY
FINANCIAL
SUMMARIES
INVOLVES
ACCOUNTING
OF PAST
SUMMARIES
FINANCIAL
OFTRANSACTIONS.
PAST FINANCIAL TRANSACTIONS.
599 301017 301017 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWFA
OFACCOUNTING
OR
MANAGEMENT
MA: THIS HAS
FAACCOUNTING
OR
A STONG
MA: THIS
FUTURE
HAS
MANAGEMENT
AORIENTATION.
STONG FUTURE
ACCOUNTING
ORIENTATION.
600 301018 301018 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWFA
OFACCOUNTING
OR
MANAGEMENT
MA: ALL-PURPOSE
FAACCOUNTING
OR MA:
REPORTS
ALL-PURPOSE
FINANCIAL
WITH HISTORICAL
REPORTS
ACCOUNTING
WITH
DATAHISTORICAL
ARE PREPARED
DATAFOR
AREUSE
PREPARED
OF DIFFERENT
FOR USE
PARTIES.
OF DIFFERENT PARTIES.
601 301019 301019 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWFA
OFACCOUNTING
OR
MANAGEMENT
MA: SPECIAL
FAACCOUNTING
REPORTS
OR MA: SPECIAL
CONTAINING
MANAGEMENT
REPORTS
BOTHCONTAINING
HISTORICAL
ACCOUNTING
BOTH
AND HISTORICAL
PROJECTED DATA
AND PROJECTED
ARE PREPARED
DATATOARE
MEET
PREPARED
THE NEEDS
TO MEET
OF SPECIFIC
THE NEEDS
USERS.
OF SPECIFIC USERS.
602 301020 301020 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWFA
OFACCOUNTING
OR
MANAGEMENT
MA: REPORTS
FAACCOUNTING
OR
AREMA:
STILL
REPORTS
USEFUL
FINANCIAL
ARE
EVEN
STILL
IFACCOUNTING
SUBMITTED
USEFUL EVEN
LATE
IF SUBMITTED
AND SHOW LATE
SUMMARIES
AND SHOW
OF FINANCIAL
SUMMARIESCONSEQUENCES
OF FINANCIAL OF
CONSEQUENCES
ACTUAL AND PAST
OF ACTUAL
ACTIVITIES
ANDWHERE
PAST ACTIVITIES
PRECISION WHERE
IS REQUIRED.
PRECISION IS REQUIRED.
603 301021 301021 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWFA
OFACCOUNTING
OR
MANAGEMENT
MA: TIMELINESS
FAACCOUNTING
OR IS
MA:OFTEN
TIMELINESS
MORE
MANAGEMENT
IMPORTANT
IS OFTEN ACCOUNTING
MORE
THAN
IMPORTANT
PRECISION THAN
TO MANAGERS.
PRECISION TO MANAGERS.
604 301022 301022 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWFA
OFACCOUNTING
OR
MANAGEMENT
MA: THIS ISFAPRIMARILY
ACCOUNTING
OR MA: THIS
CONCERNED
ISFINANCIAL
PRIMARILY
WITH
ACCOUNTING
CONCERNED
REPORTINGWITH
FOR THE
REPORTING
COMPANYFOR
ASTHE
A WHOLE.
COMPANY AS A WHOLE.
605 301023 301023 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWFA
OFACCOUNTING
OR
MANAGEMENT
MA: THIS FOCUSES
FAACCOUNTING
OR MA:
REPORTING
THIS FOCUSES
MANAGEMENT
ON THE
REPORTING
PARTS
ACCOUNTING
ORON
SEGMENTS
THE PARTS
(I.E.,
ORPRODUCT
SEGMENTS
LINES,
(I.E., DIVISIONS,
PRODUCT LINES,
TERRITORIES,
DIVISIONS,
DEPARTMENTS)
TERRITORIES,OF
DEPARTMENTS)
THE COMPANY.
OF THE COMPANY.
606 301024 301024 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWFA
OFACCOUNTING
OR
MANAGEMENT
MA: THIS ISFAREQUIRED
ACCOUNTING
OR MA: THIS
BY LAW
ISFINANCIAL
REQUIRED
AS EXEMPLIFIED
ACCOUNTING
BY LAWBY
ASTHE
EXEMPLIFIED
REPORT REQUIREMENTS
BY THE REPORTOF
REQUIREMENTS
THE BIR, SEC AND
OF THE
OTHER
BIR,GOVERNMENTAL
SEC AND OTHER GOVERNMENTAL
ENTITIES. ENTITIES.
607 301025 301025 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWFA
OFACCOUNTING
OR
MANAGEMENT
MA: THIS ISFANOT
ACCOUNTING
OR MANDATORY
MA: THIS ISMANAGEMENT
NOT
(I.E,MANDATORY
NOT REQUIRED
ACCOUNTING
(I.E,BYNOT
LAW).
REQUIRED BY LAW).
608 301026 301026 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFAACCOUNTING
MANAGEMENT
SYSTEMATIC SET
IS AACCOUNTING
OF
SYSTEMATIC
PROCEDURES
SET
COSTFOR
OFACCOUNTING
PROCEDURES
RECORDING AND
FOR RECORDING
REPORTING MEASUREMENTS
AND REPORTING MEASUREMENTS
OF THE COST OF MANUFACTURING
OF THE COST OF MANUFACTURING
GOODS AND PERFORMING
GOODS AND
SERVICES
PERFORMING
IN THE AGGREGATE
SERVICES IN THE
ANDAGGREGATE
IN DETAIL. AND IN DETAIL.
609 301027 301027 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFTHE
ACCOUNTING
MANAGEMENT
AUTHORITYISTO
THE
ACCOUNTING
COMMAND
AUTHORITYACTION
LINE
TO AUTHORITY
COMMAND
OR GIVE ORDERS
ACTION OR
TO GIVE
SUBORDINATES.
ORDERS TOMANAGERS
SUBORDINATES.
WITHMANAGERS
THIS AUTHORITY
WITH (E.G.,
THIS AUTHORITY
SALES, PRODUCTION)
(E.G., SALES,
AREPRODUCTION)
DIRECTLY RESPONSIBLE
ARE DIRECTLY
FORRESPONSIBLE
ATTAINING THE
FOROBJECTIVES
ATTAININGOF
THETHE
OBJECTIVES
BUSINESSOF
FIR,THE
AS BUSINESS
EFFICIENTLY
FIR,ASASPOSSIBLE.
EFFICIENTLY AS POSSIBLE.
610 301028 301028 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFTHE
ACCOUNTING
MANAGEMENT
AUTHORITYISTO
THE
ACCOUNTING
COMMAND
AUTHORITYACTION
STAFF
TO COMMAND
AUTHORITY
OR GIVE ORDERS
ACTION OR
TO GIVE
SUBORDINATES.
ORDERS TOMANAGERS
SUBORDINATES.
WITHMANAGERS
THIS AUTHORITY
WITH (E.G.,
THIS AUTHORITY
SALES, PRODUCTION)
(E.G., SALES,
AREPRODUCTION)
DIRECTLY RESPONSIBLE
ARE DIRECTLY
FORRESPONSIBLE
ATTAINING THE
FOROBJECTIVES
ATTAININGOF
THETHE
OBJECTIVES
BUSINESSOF
FIR,THE
AS BUSINESS
EFFICIENTLY
FIR,ASASPOSSIBLE.
EFFICIENTLY AS POSSIBLE.
611 301029 301029 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFTHE
ACCOUNTING
MANAGEMENT
EXECUTIVEISRESPONSIBLE
THE
ACCOUNTING
EXECUTIVE
FOR
CHIEF
RESPONSIBLE
OVERSEEING
FINANCIAL
FOR
THE
OFFICER
OVERSEEING
FINANCIAL
(CFO)OPERATIONS
OR
THEFINANCE
FINANCIAL
OF
DIRECTOR
AN
OPERATIONS
ORGANIZATION.
OF AN ORGANIZATION.
612 301030 301030 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFAN
ACCOUNTING
MANAGEMENT
AREA OF RESPONSIBILITY
IS AN
ACCOUNTING
AREA OFOF
RESPONSIBILITY
CONTROLLERSHIP
THE CFO WHICHOFINCLUDES
THE CFO WHICH
PROVIDING
INCLUDES
FINANCIAL
PROVIDING
INFORMATION
FINANCIAL
FOR
INFORMATION
REPORTS TO FOR
MANAGERS
REPORTSAND
TO MANAGERS
REPORTS TOAND
SHAREHOLDERS
REPORTS TOAND
SHAREHOLDERS
OVERSEEINGAND
OVERALL
OVERSEEING
OPERATIONS
OVERALL
OF THE
OPERATIONS
ACCOUNTING
OF THE
SYSTEM.
ACCOUNTING SYSTEM.
613 301031 301031 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFAN
ACCOUNTING
MANAGEMENT
AREA OF RESPONSIBILITY
IS AN
ACCOUNTING
AREA OFOF
RESPONSIBILITY
TREASURY
THE CFO WHICHOFINCLUDES
THE CFO WHICH
BANKING
INCLUDES
AND SHORT-
BANKING
ANDAND
LONG-TERM
SHORT- AND
FINANCING,
LONG-TERM
INVESTMENTS
FINANCING,
ANDINVESTMENTS
MANAGEMENTANDOF
MANAGEMENT
CASH. OF CASH.
614 301032 301032 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFAN
ACCOUNTING
MANAGEMENT
AREA OF RESPONSIBILITY
IS AN
ACCOUNTING
AREA OFOF
RESPONSIBILITY
RISK
THE CFO
MANAGEMENT
WHICHOFINCLUDES
THE CFO WHICH
MANAGING
INCLUDES
THE FINANCIAL
MANAGINGRISK
THEOF
FINANCIAL
INTEREST-RATE
RISK OFAND
INTEREST-RATE
EXCHANGE-RATE
AND EXCHANGE-RATE
AND DERIVATIVESAND
MANAGEMENT.
DERIVATIVES MANAGEMENT.
615 301033 301033 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFAN
ACCOUNTING
MANAGEMENT
AREA OF RESPONSIBILITY
IS AN
ACCOUNTING
AREA OFOF
RESPONSIBILITY
TAXATION
THE CFO WHICHOFINCLUDES
THE CFO WHICH
INCOMEINCLUDES
TAXES, SALES
INCOME
TAXES
TAXES,
ANDSALES
INTERNATIONAL
TAXES AND TAX
INTERNATIONAL
PLANNING. TAX PLANNING.
616 301034 301034 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFAN
ACCOUNTING
MANAGEMENT
AREA OF RESPONSIBILITY
IS AN
ACCOUNTING
AREA OFOF
RESPONSIBILITY
INTERNAL
THE CFO WHICH
AUDIT
OFINCLUDES
THE CFO WHICH
REVIEWING
INCLUDES
AND ANALYZING
REVIEWING FINANCIAL
AND ANALYZING
AND OTHER
FINANCIAL
RECORDS
AND OTHER
TO ATTEST
RECORDS
TO THETOINTEGRITY
ATTEST TO
OFTHE
THEINTEGRITY
ORGANIZATION'S
OF THE ORGANIZATION'S
FINANCIAL REPORTS
FINANCIAL
AND TOREPORTS
ADHERENCE
ANDTO
TOITS
ADHERENCE
POLICIES AND
TO ITS
PROCEDURES.
POLICIES AND PROCEDURES.
617 301035 301035 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFTHE
ACCOUNTING
MANAGEMENT
FINANCIALISEXECUTIVE
THE
ACCOUNTING
FINANCIAL
PRIMARILY
CONTROLLER
EXECUTIVE
RESPONSIBLE
PRIMARILY
OR CHIEF
FORACCOUNTING
RESPONSIBLE
MANAGEMENT FOR
OFFICERS
ACCOUNTING
MANAGEMENT
AND
ACCOUNTING
FINANCIAL ACCOUNTING.
AND FINANCIAL ACCOUNTING.
618 301036 301036 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFCONCERNED
ACCOUNTING
MANAGEMENT
WITH
IS CONCERNED
ACCOUNTING
THE ACQUISITION,
WITH
TREASURERSHIP
THE
FINANCING
ACQUISITION,
AND MANAGEMENT
FINANCING ANDOF
MANAGEMENT
ASSETS OF A BUSINESS
OF ASSETS
CONCERN
OF A BUSINESS
TO MAXIMIZE
CONCERN
THETO
WEALTH
MAXIMIZE
OF THE
THE FIRMS
WEALTHFOR
OFITS
THE
OWNERS.
FIRMS FOR ITS OWNERS.
1. COMPETENCE
2. CONFIDENTIALITY
3. INTEGRITY
619 301037 301037 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWETHICAL
OFACCOUNTING
MANAGEMENT
VALUES MANAGEMENT
ETHICAL
ACCOUNTING
VALUESACCOUNTANTS
MANAGEMENT
4. OBJECTIVITYMUST
ACCOUNTANTS
POSSESS (4MUST
ITEMS)
POSSESS (4 ITEMS)
620 301038 301038 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFTHE
ACCOUNTING
MANAGEMENT
PHILOSOPHY
IS THE
ACCOUNTING
THATPHILOSOPHY
ACTIVITIES
JUST-IN-TIME
ARE
THATUNDERTAKEN
ACTIVITIES
(JIT) OR
ARE
ONLY
PULL-IT-THROUGH
UNDERTAKEN
AS NEEDEDONLY
ORAPPROACH
DEMANDED.
AS NEEDED OR DEMANDED.
621 301039 301039 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFAACCOUNTING
MANAGEMENT
TECHNIQUE IN
IS WHICH
AACCOUNTING
TECHNIQUE
MANAGEMENT
IN
TOTAL
WHICH
QUALITY
DEVELOPS
MANAGEMENT
MANAGEMENT
POLICIES
DEVELOPS
AND(TQM)
PRACTICES
POLICIESTO
AND
ENSURE
PRACTICES
THATTO
THEENSURE
FIRM'S THAT
PRODUCTS
THE FIRM'S
AND SERVICES
PRODUCTSEXCEED
AND SERVICES
CUSTOMERS'
EXCEED
EXPECTATIONS.
CUSTOMERS' EXPECTATIONS.
622 301040 301040 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFAACCOUNTING
MANAGEMENT
PROCESS FORISCREATING
AACCOUNTING
PROCESS
COMPETITIVE
FORREENGINEERING
CREATING
ADVANTAGE
COMPETITIVE
IN WHICH
ADVANTAGE
A FIRMIN
REORGANIZES
WHICH A FIRM
ITSREORGANIZES
OPERATING AND
ITS OPERATING
MANAGEMENTANDFUNCTIONS,
MANAGEMENTOFTEN
FUNCTIONS,
WITH THEOFTEN
RESULTWITH
THATTHE
JOBS
RESULT
ARE MODIFIED,
THAT JOBSCOMBINED
ARE MODIFIED,
OR ELIMINATED.
COMBINED OR ELIMINATED.
623 301041 301041 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFAN
ACCOUNTING
MANAGEMENT
APPROACH IS
WHERE
AN
ACCOUNTING
APPROACH
A BUSINESS
PROCESS
WHERE
PROCESS
AREENGINEERING
BUSINESS
IS DIAGRAMMED
PROCESS IS
INDIAGRAMMED
DETAIL, QUESTIONED
IN DETAIL,
ANDQUESTIONED
THEN REDESIGNED
AND THEN
IN ORDER
REDESIGNED
TO ELIMINATE
IN ORDER
UNECESSARY
TO ELIMINATE
STEPS,
UNECESSARY
TO REDUCE
STEPS,
OPPORTUNITIES
TO REDUCEFOR
OPPORTUNITIES
ERRORS ANDFOR
TO REDUCE
ERRORS COST.
AND TO REDUCE COST.
624 301042 301042 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFANY
ACCOUNTING
MANAGEMENT
SERIES OF IS
STEPS
ANY
ACCOUNTING
THAT
SERIESARE
OF FOLLOWED
BUSINESS
STEPS THAT
PROCESS
IN
ARE
ORDER
FOLLOWED
TO CARRY
IN ORDER
OUT SOME
TO CARRY
TASK IN
OUTA BUSINESS.
SOME TASK IN A BUSINESS.
625 301043 301043 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFAACCOUNTING
MANAGEMENT
PROCESS BY WHICH
IS AACCOUNTING
PROCESS
A FIRMBY
DETERMINES
WHICH
BENCHMARKING
A FIRM
ITS CRITICAL
DETERMINES
SUCCESS
ITS CRITICAL
FACTORS,SUCCESS
STUDIES
FACTORS,
THE BESTSTUDIES
PRACTICES
THEOF
BEST
OTHER
PRACTICES
FIRMS OF
(OROTHER
OTHERFIRMS
UNITS(OR
WITHIN
OTHER
A FIRM)
UNITSFOR
WITHIN
ACHIEVING
A FIRM)THESE
FOR ACHIEVING
CRITICAL SUCCESS
THESE CRITICAL
FACTORS,SUCCESS
AND THEN
FACTORS,
IMPLEMENTS
AND THEN
IMPROVEMENTS
IMPLEMENTS IN
IMPROVEMENTS
THE FIRM'S PROCESSES
IN THE FIRM'S
TO MATCH
PROCESSES TO MATCH
626 301044 301044 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFAACCOUNTING
MANAGEMENT
MANAGEMENTIS AACCOUNTING
TECHNIQUE
MANAGEMENT
INMASS
WHICH
TECHNIQUE
CUSTOMIZATION
MARKETING
IN WHICH
ANDMARKETING
PRODUCTION
AND
PROCESSES
PRODUCTION
ARE DESIGNED
PROCESSES
TOARE
HANDLE
DESIGNED
THE INCREASED
TO HANDLEVARIETY
THE INCREASED
THAT RESULTS
VARIETY
FROM
THATDELIVERING
RESULTS FROM
CUSTOMIZED
DELIVERING
PRODUCTS
CUSTOMIZED
AND SERVICES
PRODUCTSTOAND
CUSTOMERS.
SERVICES TO CUSTOMERS.
627 301045 301045 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFAN
ACCOUNTING
MANAGEMENT
ACCOUNTING
IS AN
ACCOUNTING
REPORT
ACCOUNTING
THAT INCLUDES
BALANCED
REPORTTHE
THAT
SCORECARD
FIRM'S
INCLUDES
CRITICAL
THESUCCESS
FIRM'S CRITICAL
IN FOURSUCCESS
AREAS NAMELY,
IN FOURFINANCIAL
AREAS NAMELY,
PERFORMANCE,
FINANCIALCUSTOMER
PERFORMANCE,
SATISFACTION,
CUSTOMER INTERNAL
SATISFACTION,
BUSINESS
INTERNAL
PROCESS
BUSINESS
AND INNOVATION
PROCESS AND
ANDINNOVATION
LEARNING. AND LEARNING.
628 301046 301046 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFUSED
ACCOUNTING
MANAGEMENT
TO DEVELOP
IS USED
ACCOUNTING
A DETAILED
TO DEVELOP
DESCRIPTION
ACTIVITY
A DETAILED
ANALYSIS
OF THE
DESCRIPTION
SPECIFIC ACTIVITIES
OF THE SPECIFIC
PERFORMED
ACTIVITIES
IN THE
PERFORMED
OPERATION
IN OF
THETHE
OPERATION
FIRM. OF THE FIRM.
629 301047 301047 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFUSED
ACCOUNTING
MANAGEMENT
TO IMPROVE
IS USED
ACCOUNTING
THETO
ACCURACY
IMPROVE
ACTIVITY-BASED
OF
THE
COST
ACCURACY
ANALYSIS
COSTING
OFBYCOST
IMPROVING
(ABC)
ANALYSISTHE
BY TRACING
IMPROVING
OF THE
COSTS
TRACING
TO PRODUCTS
OF COSTS
ORTO
TOPRODUCTS
INDIVIDUAL
ORCUSTOMERS.
TO INDIVIDUAL CUSTOMERS.
630 301048 301048 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWEMPHASIZES
OFACCOUNTING
MANAGEMENT
THE EMPHASIZES
IMPORTANCE
ACCOUNTING
THE
OFTHEORY
IMPORTANCE
MANAGING
OF CONSTRAINTS
THE
OFORGANIZATION'S
MANAGING THE ORGANIZATION'S
CONSTRAINTS ORCONSTRAINTS
BARRIERS THAT
ORHINDER
BARRIERS
OR THAT
IMPEDE
HINDER
PROGRESS
OR IMPEDE
TOWARD
PROGRESS
AN OBJECTIVE.
TOWARD AN OBJECTIVE.
631 301049 301049 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFAACCOUNTING
MANAGEMENT
MANAGEMENTIS AACCOUNTING
TECHNIQUE
MANAGEMENT
TOLIFE-CYCLE
IDENTIFY
TECHNIQUE
AND
COSTING
TO
MONITOR
IDENTIFYTHE
ANDCOSTS
MONITOR
OF A PRODUCT
THE COSTSTHROUGHOUT
OF A PRODUCT
ITSTHROUGHOUT
LIFECYCLE. ITS LIFECYCLE.
632 301050 301050 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWINVOLVES
OFACCOUNTING
MANAGEMENT
THE DETERMINATION
INVOLVES
ACCOUNTING
THE DETERMINATION
OFTARGET
THE DESIRED
COSTING
COST
OF THE
FOR
DESIRED
A PRODUCT
COST OR
FORTHE
A PRODUCT
BASIS OF OR
A GIVEN
THE BASIS
COMPETITIVE
OF A GIVEN
PRICE
COMPETITIVE
SO THAT THE
PRICE
PRODUCT
SO THAT
WILL
THEEARNE
PRODUCT
A DESIRED
WILL EARNE
PROFIT.
A DESIRED PROFIT.
633 301051 301051 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWFORMULA
OFACCOUNTING
MANAGEMENT
FOR TARGET
FORMULA
ACCOUNTING
COSTFOR TARGET
TARGET
COST
COST = MARKET DETERMINED PRICE - DESIRED PROFIT
634 301052 301052 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFTHE
ACCOUNTING
MANAGEMENT
USE OF COMPUTERS
IS THE
ACCOUNTING
USEIN
OFPRODUCT
COMPUTERS
COMPUTER-AIDED
DEVELOPMENT,
IN PRODUCT
DESIGN
ANALYSIS
DEVELOPMENT,
(CAD)AND DESIGN
ANALYSIS
MODIFICATION
AND DESIGNTO
MODIFICATION
IMPROVE THETO
QUALITY
IMPROVE
ANDTHE
PERFORMANCE
QUALITY ANDOF
PERFORMANCE
THE PRODUCT.OF THE PRODUCT.
635 301053 301053 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFTHE
ACCOUNTING
MANAGEMENT
USE OF COMPUTERS
IS THE
ACCOUNTING
USETO
OFPLAN,
COMPUTERS
COMPUTER-AIDED
IMPLEMENT
TO PLAN,
ANDMANUFACTURING
IMPLEMENT
CONTROL PRODUCTION.
AND (CAM)
CONTROL PRODUCTION.
636 301054 301054 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFTHE
ACCOUNTING
MANAGEMENT
TECHNOLOGY
IS THE
ACCOUNTING
BY TECHNOLOGY
WHICH A PROCESS
AUTOMATION
BY WHICH
OR PROCEDURE
A PROCESSISOR
PERFORMED
PROCEDURE
WITH
IS PERFORMED
MINIMAL HUMAN
WITH MINIMAL
ASSISTANCE.
HUMAN ASSISTANCE.
637 301055 301055 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWISOFTHE
ACCOUNTING
MANAGEMENT
ACTIVITY OF
IS BUYING
THE
ACCOUNTING
ACTIVITY
OR SELLING
OF
E-COMMERCE
BUYING
PRODUCTS
OR SELLING
ON ONLINE
PRODUCTS
SERVICES
ON ONLINE
OR OVER
SERVICES
THE INTERNET.
OR OVER THE INTERNET.
638 301056 301056 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWREFERS
OFACCOUNTING
MANAGEMENT
TO THE SEQUENCE
REFERS
ACCOUNTING
TOOF
THE
BUSINESS
SEQUENCE
VALUEFUNCTIONS
CHAIN
OF BUSINESS
IN WHICH
FUNCTIONS
USEFULNESS
IN WHICH
IS ADDED
USEFULNESS
TO THEIS
PRODUCTS
ADDED TOOR
THE
SERVICES
PRODUCTS
OF AOR
COMPANY.
SERVICES OF A COMPANY.
1. RESEARCH AND DEVELOPMENT
2. PRODUCT DESIGN
3. MANUFACTURING
4. MARKETING
5. DISTRIBUTION
639 301057 301057 MAS - OVERVIEWMAS
OF MANAGEMENT
- OVERVIEWBUSINESS
OFACCOUNTING
MANAGEMENT
FUNCTIONS
BUSINESS
ACCOUNTING
MAKING
FUNCTIONS
UP THE
6. CUSTOMER
VALUE
MAKINGCHAIN
UP
SERVICE
THE
(6 ITEMS)
VALUE CHAIN (6 ITEMS)
640 302001 302001 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
INVOLVES
STATEMENTS
CAREFUL
ANALYSIS
INVOLVES
SELECTION
CAREFUL
OF FINANCIAL
DATA
SELECTION
FROMSTATEMENTS
FINANCIAL
OF DATA FROM
STATEMENTS
ANALYSIS
FINANCIAL
FORSTATEMENTS
THE PRIMARYFOR
PURPOSE
THE PRIMARY
OF FORECASTING
PURPOSE OF
THEFORECASTING
FINANCIAL HEALTH
THE FINANCIAL
OF THE COMPANY.
HEALTH OF THE COMPANY.
641 302002 302002 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
ARE
STATEMENTS
USERS OF ANALYSIS
FINANCIAL
ARE USERS
STATEMENTS
OF FINANCIAL
CURRENT
CONCERNED
STATEMENTS
SHAREHOLDERS
ABOUT
CONCERNED
THEIR
OR OWNERS
INVESTMENT
ABOUT THEIR
INCOME
INVESTMENT
AS WELLINCOME
AS ABOUT
ASTHE
WELL
COMPANY'S
AS ABOUT OVERALL
THE COMPANY'S
PROFITABILITY,
OVERALLSTABILITY
PROFITABILITY,
AND SOUND
STABILITY
CAPITAL
ANDSTRUCTURE
SOUND CAPITAL
NECESSARY
STRUCTURE
FOR CONTINUED
NECESSARY FOR
SUCCESSFUL
CONTINUED
OPERATIONS.
SUCCESSFUL OPERATIONS.
642 302003 302003 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
ARE
STATEMENTS
USERS OF ANALYSIS
FINANCIAL
ARE USERS
STATEMENTS
OF FINANCIAL
POTENTIAL
WHOSTATEMENTS
ARE
INVESTORS
INTERESTED
WHO IN
ARE
"SOLD"
INTERESTED
COMPANIES,
IN "SOLD"
ONESCOMPANIES,
WHOSE FINANCIAL
ONES WHOSE
STATEMENTS
FINANCIAL
INDICATE
STATEMENTS
STABLEINDICATE
EARNINGSSTABLE
AND DIVIDENDS
EARNINGSWITH
AND DIVIDENDS
LIMITED ORWITH
MODERATE
LIMITEDGROWTH
OR MODERATE
(OTHERS
GROWTH
OREFER (OTHERS
COMPANIES
OREFER
SHOWING
COMPANIES
RAPID SHOWING
GROWTH AND
RAPID
DIVERSIFICATION
GROWTH AND DIVERSIFICATION
INTO DIFFERE INTO DIFFERE
643 302004 302004 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
ARE
STATEMENTS
USERS OF ANALYSIS
FINANCIAL
ARE USERS
STATEMENTS
OF FINANCIAL
SHORT-TERM
WHOSTATEMENTS
ARECREDITORS
INTERESTED
WHO IN
ARE
A INTERESTED
FIRM'S SHORT-RUN
IN A FIRM'S
LIQUIDITY,
SHORT-RUN
ITS ABILITY
LIQUIDITY,
TO PAY
ITSCURRENT
ABILITY TO
OBLIGATIONS
PAY CURRENT
AS OBLIGATIONS
THEY MATURE.AS THEY MATURE.
644 302005 302005 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
ARE
STATEMENTS
USERS OF ANALYSIS
FINANCIAL
ARE USERS
STATEMENTS
OF FINANCIAL
LONG-TERM
WHOSTATEMENTS
ARE
CREDITORS
CONCERNED
WHO ARE
ABOUT
CONCERNED
THE LONG-TERM
ABOUT THE
SECURITY
LONG-TERM
OF THEIR
SECURITY
INTEREST
OFINCOME
THEIR INTEREST
AND THEINCOME
COMPANY'S
AND ABILITY
THE COMPANY'S
TO MAINTAIN
ABILITY
SUCCESSFUL
TO MAINTAIN
EARNINGS
SUCCESSFUL
AND CASH
EARNINGS
FLOWSAND
TO MEET
CASH CONTINUING
FLOWS TO MEET
FINANCIAL
CONTINUING
COMMITMENTS.
FINANCIAL COMMITMENTS.
645 302006 302006 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
IS
STATEMENTS
A METHOD OF
ANALYSIS
FINANCIAL
IS A METHOD
STATEMENTS
OF FINANCIAL
HORIZONTAL
ANALYSIS
STATEMENTS
ANALYSIS
WHERE OF
ANALYSIS
FINANCIAL
COMPARATIVE
WHERE
STATEMENT
STATEMENTS
FINANCIAL
AMOUNTS
STATEMENT
(INCREASE-DECREASE
FOR TWO
AMOUNTS
OR MORE
FOR
METHOD)
YEARS
TWO ARE
OR MORE
PLACED
YEARS
SIDE ARE
BY SIDE
PLACED
IN ADJACENT
SIDE BY SIDE
COLUMNS.
IN ADJACENT COLUMNS.
646 302007 302007 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FAVORABLE
STATEMENTSORANALYSIS
UNFAVORABLE:
FAVORABLE ORPERCENTAGE
UNFAVORABLE:
UNFAVORABLE
INCREASE
PERCENTAGE
(DETERIORATION
IN TOTAL
INCREASE
CURRENT
IN SHORT-TERM
IN ASSETS
TOTAL CURRENT
ISSOLVENCY
LOWERASSETS
THAN
POSITION)
PERCENTAGE
IS LOWER THAN
INCREASE
PERCENTAGE
IN TOTAL
INCREASE
CURRENT
IN LIABILITIES.
TOTAL CURRENT LIABILITIES.
647 302008 302008 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FAVORABLE
STATEMENTSORANALYSIS
UNFAVORABLE:
FAVORABLE ORPERCENTAGE
UNFAVORABLE:
UNFAVORABLE
INCREASE
PERCENTAGE
(SLOWER
IN ACCOUNTS
CONVERSION
INCREASE
RECEIVABLE
IN
OFACCOUNTS
INVENTORY
AND RECEIVABLE
INVENTORY
AND RECEIVABLES
AND
IS HIGHER
INVENTORY
TO THAN
CASH;PERCENTAGE
IS
SHORT-TERM
HIGHER THAN
INCREASE
SOLVENCY
PERCENTAGE
INANALYSIS)
SALES
INCREASE
REVENUE.
IN SALES REVENUE.
648 302009 302009 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FAVORABLE
STATEMENTSORANALYSIS
UNFAVORABLE:
FAVORABLE ORPERCENTAGE
UNFAVORABLE:
FAVORABLEINCREASE
(SHIFT
PERCENTAGE
OFINCOMPANY'S
TOTAL
INCREASE
LIABILITIES
CAPITAL
IN TOTAL
ISSTRUCTURE
LESSLIABILITIES
THAN PERCENTAGE
FROMIS LESS
BORROWING
THAN
INCREASE
PERCENTAGE
TOWARD
IN SHAREHOLDERS'
CAPITAL
INCREASE
PROVIDED
IN EQUITY.
SHAREHOLDERS'
BY PROFITABLE
EQUITY.
OPERATION; LONG-TERM FINANCIAL POSITION ANALYSIS)
649 302010 302010 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FAVORABLE
STATEMENTSORANALYSIS
UNFAVORABLE:
FAVORABLE ORPERCENTAGE
UNFAVORABLE:
UNFAVORABLE
INCREASE
PERCENTAGE
(THE COMPANY
IN SALES
INCREASE
REVENUES
IS UNABLE
IN SALES
ISTO
LESS
ADJUST
REVENUES
THANTHE
PERCENTAGE
SELLING
IS LESS THAN
PRICE
INCREASE
PERCENTAGE
OF THE
INGOODS
COSTINCREASE
OF
COMMENSURATE
GOODS
IN SOLD.
COST OFTO
GOODS
THE INCREASE
SOLD. IN COST OF GOODS PURCHASED OR MANUFACTURED OR IT WAS UNABLE TO CONTROL THE PRICE FACTOR OF ITS COST OF SALES; OPERATING EFFICIENCY AND PROFITABILITY A
650 302011 302011 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FAVORABLE
STATEMENTSORANALYSIS
UNFAVORABLE:
FAVORABLE ORPERCENTAGE
UNFAVORABLE:
FAVORABLEINCREASE
(MANAGEMENT'S
PERCENTAGE
IN SALES
INCREASE
EFFICIENCY
IS HIGHER
IN THAN
SALES
IN KEEPING
PERCENTAGE
IS HIGHER
EXPENSES
THAN
INCREASE
PERCENTAGE
WITHININCONTROL;
SELLING
INCREASE
AND
OPERATING
ADMINISTRATIVE
IN SELLING
EFFICIENCY
AND ADMINISTRATIVE
EXPENSES.
AND PROFITABILITY
EXPENSES.
ANALYSIS)
651 302012 302012 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
ARE
STATEMENTS
INDEX NUMBERS
ANALYSIS
ARE INDEX
SHOWING
NUMBERS
RELATIVE
TRENDSHOWING
PERCENTAGES
CHANGES
RELATIVE
IN FINANCIAL
CHANGES
DATA
IN FINANCIAL
RESULTINGDATA
WITHRESULTING
THE PASSAGE
WITH
OF THE
TIME.
PASSAGE OF TIME.
652 302013 302013 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FAVORABLE
STATEMENTSORANALYSIS
UNFAVORABLE:
FAVORABLE ORINCREASE
UNFAVORABLE:
FAVORABLE
IN CURRENT
INCREASE
ASSETS
IN CURRENT
ACCOMPANIED
ASSETSBYACCOMPANIED
DECREASE IN CURRENT
BY DECREASE
LIABILITIES.
IN CURRENT LIABILITIES.
653 302014 302014 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FAVORABLE
STATEMENTSORANALYSIS
UNFAVORABLE:
FAVORABLE ORSALES
UNFAVORABLE:
FAVORABLE
REVENUE(INDICATES
INCREASES
SALES REVENUE
MORE
AT A FASTER
EFFECTIVE
INCREASES
RATE
CREDIT,
ATTHAN
A FASTER
COLLECTION
ACCOUNTS
RATE THAN
RECEIVABLE
ANDACCOUNTS
MERCHANDISING
AND RECEIVABLE
INVENTORY.
POLICIES)
AND INVENTORY.
654 302015 302015 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FAVORABLE
STATEMENTSORANALYSIS
UNFAVORABLE:
FAVORABLE ORRELATIVELY
UNFAVORABLE:
FAVORABLESMALLER
(REFLECTS
RELATIVELY
AMOUNT
MORE
SMALLER
OF
RAPID
TRADE
TURNOVER
AMOUNT
RECEIVABLES.
OFOFTRADE
CUSTOMER
RECEIVABLES.
ACCOUNTS AND POSSIBLY A LARGE INCREASE IN CASH SALES.)
655 302016 302016 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
IS
STATEMENTS
A TOOL USEDE
ANALYSIS
IS
INAFINANCIAL
TOOL USEDE
STATEMENTS
COMMON-SIZE
IN FINANCIAL
ANALYSIS
STATEMENTS
FINANCIAL
THAT TRANSLATES
STATEMENTS
ANALYSIS THAT
PESOTRANSLATES
AMOUNTS TOPESO
PERCENTAGES
AMOUNTS TO
WHICH
PERCENTAGES
INDICATE WHICH
THE RELATIVE
INDICATE
SIZETHE
OFRELATIVE
AN ITEM IN
SIZE
PROPORTION
OF AN ITEMTO
IN PROPORTION
THE WHOLE. TO THE WHOLE.
656 302017 302017 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
IS
STATEMENTS
A COMPARISON
ANALYSIS
ISIN
A FRACTION,
COMPARISONPROPORTION,
FINANCIAL
IN FRACTION,
RATIO
DECIMAL
PROPORTION,
OR PERCENTAGE
DECIMAL FORM
OR PERCENTAGE
OF TWO SIGNIFICANT
FORM OF TWO
FIGURES
SIGNIFICANT
TAKEN FROM
FIGURES
FINANCIAL
TAKEN FROM
STATEMENTS.
FINANCIAL STATEMENTS.
657 302018 302018 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(SIGNIFICANCE):
RATIOCURRENT
PRIMARY
(SIGNIFICANCE):
TEST
RATIOOFPRIMARY
SOLVENCY
TEST
TO OF
MEET
SOLVENCY
CURRENT
TOOBLIGATIONS
MEET CURRENT
FROM
OBLIGATIONS
CURRENT ASSETS
FROM CURRENT
AS A GOING
ASSETS
CONCERN;
AS A GOING
MEASURE
CONCERN;
OF ADEQUACY
MEASURE
OFOF
WORKING
ADEQUACY
CAPITAL
OF WORKING CAPITAL
658 302019 302019 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(FORMULA):
RATIO
CURRENT
CURRENT
(FORMULA):
RATIO
RATIO
CURRENT
= TOTAL
RATIO
CURRENT ASSETS / TOTAL CURRENT LIABILITIES
659 302020 302020 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(SIGNIFICANCE):
RATIOACID-TEST
A(SIGNIFICANCE):
MORE SEVERE
RATIOTEST
AORMORE
QUICK
OF IMMEDIATE
SEVERE
RATIOTESTINSOLVENCY;
OF IMMEDIATE
TEST
INSOLVENCY;
OF ABILITY TO
TEST
MEET
OF ABILITY
DEMANDS TO FROM
MEET DEMANDS
CURRENT ASSETS.
FROM CURRENT ASSETS.
660 302021 302021 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(FORMULA):
RATIO
ACID-TEST
ACID-TEST
(FORMULA):
RATIO
RATIO
ACID-TEST
OR QUICK
OR QUICK
RATIO
RATIO
OR QUICK
= TOTAL
RATIO
QUICK ASSETS / TOTAL CURRENT LIABILITIES
661 302022 302022 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
COMPONENTS
STATEMENTS ANALYSIS
OFCOMPONENTS
QUICK ASSETSOF
(3CASH
ITEMS)
QUICK
+ MARKETABLE
ASSETS (3 ITEMS)
SECURITIES + ACCOUNTS RECEIVABLE
662 302023 302023 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(SIGNIFICANCE):
RATIOWORKING
INDICATES
(SIGNIFICANCE):
CAPITAL
RELATIVE
INDICATES
TOLIQUIDITY
TOTALRELATIVE
ASSETS
OF TOTAL
LIQUIDITY
ASSETSOF
AND
TOTAL
DISTRIBUTION
ASSETS AND
OFDISTRIBUTION
RESOURCES EMPLOYED.
OF RESOURCES EMPLOYED.
663 302024 302024 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FORMULA
STATEMENTS
USED
ANALYSIS
TO
FORMULA
COMPUTE
USED
FORTO
WORKING
WORKING
COMPUTE
CAPITAL
CAPITAL
FOR WORKING
= CURRENT
CAPITAL
ASSETS - CURRENT LIABILITIES
664 302025 302025 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(SIGNIFICANCE):
RATIOCASH
MEASURES
(SIGNIFICANCE):
FLOWSHORT-TERM
LIQUIDITY
MEASURES
RATIO
LIQUIDITY
SHORT-TERM
BY CONSIDENRING
LIQUIDITY BYCASH
CONSIDENRING
RESOURCESCASH
AS NUMERATOR.
RESOURCES AS NUMERATOR.
665 302026 302026 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(FORMULA):
RATIO
CASH
CASH
(FORMULA):
FLOW
FLOW
LIQUIDITY
LIQUIDITY
CASH RATIO
FLOW
RATIO
LIQUIDITY
= (CASHRATIO
+ MARKETABLE SECURITIES + CASH FLOW FROM OPERATING ACTIVITIES) / CURRENT LIABILITIES
666 302027 302027 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(SIGNIFICANCE):
RATIODEFENSIVE
MEASURES
(SIGNIFICANCE):
INTERVAL
THE LENGTH
MEASURES
RATIO
OF TIME
THE LENGTH
IN DAYS OF
THETIME
FIRMINCAN
DAYS
OPERATE
THE FIRM
ONCAN
ITS PRESENT
OPERATELIQUID
ON ITS RESOURCES.
PRESENT LIQUID RESOURCES.
667 302028 302028 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(FORMULA):
RATIO
DEFENSIVE
DEFENSIVE
(FORMULA):
INTERVAL
INTERVAL
DEFENSIVE
RATIO
RATIO
INTERVAL
= QUICK
RATIO
ASSETS / PROJECTED DAILY OPERATIONAL EXPENSES
668 302029 302029 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(SIGNIFICANCE):
RATIOTRADE
VELOCITY
(SIGNIFICANCE):
RECEIVABLE
OF COLLECTION
VELOCITY
TURNOVER
OF
OFTRADE
COLLECTION
ACCOUNTS
OF TRADE
AND NOTES;
ACCOUNTS
TESTAND
OF EFFICIENCY
NOTES; TEST
OFOF
COLLECTION.
EFFICIENCY OF COLLECTION.
669 302030 302030 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(FORMULA):
RATIO
TRADE
TRADE
(FORMULA):
RECEIVABLE
RECEIVABLE
TRADE
TURNOVER
TURNOVER
RECEIVABLE= (NET
TURNOVER
CREDIT SALES OR NET SALES IF NET CREDIT SALES FIGURE IS NOT AVAILABLE) / AVERAGE NET TRADE RECEIVABLE
670 302031 302031 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(SIGNIFICANCE):
RATIOAVERAGE
EVALUATES
(SIGNIFICANCE):
COLLECTION
THE LIQUIDITY
EVALUATES
PERIOD
OFTHE
ACCOUNTS
ORLIQUIDITY
NUMBER RECEIVABLE
OF DAYS'
ACCOUNTS
SALES
AND RECEIVABLE
THE
UNCOLLECTED
FIRM'S CREDIT
AND THEPOLICIES.
FIRM'S CREDIT POLICIES.
671 302032 302032 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(SIGNIFICANCE):
RATIOINVENTORY
MEASURES
(SIGNIFICANCE):
THE
TURNOVER
EFFICIENCY
MEASURESOF
THE
THE
EFFICIENCY
FIRM IN MANAGING
OF THE FIRM
AND
IN MANAGING
SELLING INVENTORIES.
AND SELLING INVENTORIES.
672 302033 302033 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(FORMULA):
RATIO
MERCHANDISE
MERCHANDISE
(FORMULA):
ORMERCHANDISE
FINISHED
OR FINISHED
GOODS
GOODS
OR FINISHED
INVENTORY
INVENTORY
GOODS
TURNOVER
TURNOVER
INVENTORY= COST
TURNOVER
OF GOODS SOLD / AVERAGE MERCHANDISE OR FINISHED GOODS INVENTORY
673 302034 302034 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FORMULA
STATEMENTS
FORANALYSIS
AVERAGE
FORMULAINVENTORY
FOR AVERAGE
AVERAGEINVENTORY
INVENTORY = (BEGINNING INVENTORY + ENDING INVENTORY) / 2
674 302035 302035 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(FORMULA):
RATIO
GOODS
GOODS
(FORMULA):
IN PROCESS
IN PROCESS
GOODS
TURNOVER
TURNOVER
IN PROCESS= COST
TURNOVER
OF GOODS MANUFACTURED / AVERAGE GOODS IN PROCESS INVENTORY
675 302036 302036 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(SIGNIFICANCE):
RATIORAW
NUMBER
(SIGNIFICANCE):
MATERIALS
OF TIMES
NUMBER
INVENTORY
RAW MATERIALS
OFTURNOVER
TIMES RAW
INVENTORY
MATERIALS
WAS INVENTORY
USED AND REPLENISHED
WAS USED AND
DURING
REPLENISHED
THE PERIOD.
DURING THE PERIOD.
676 302037 302037 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(FORMULA):
RATIO
RAWRAW
(FORMULA):
MATERIAL
MATERIALS
INVENTORY
RAWINVENTORY
MATERIAL
TURNOVER
TURNOVER
INVENTORY=TURNOVER
RAW MATERIALS USED / AVERAGE RAW MATERIALS INVENTORY
677 302038 302038 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(SIGNIFICANCE):
RATIODAYS'
MEASURES
(SIGNIFICANCE):
SUPPLY
AVERAGE
IN INVENTORY
MEASURES
NUMBERAVERAGE
OF DAYSNUMBER
TO SELL OF
OR DAYS
CONSUME
TO SELL
THEOR
AVERAGE
CONSUME
INVENTORY
THE AVERAGE INVENTORY
678 302039 302039 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(FORMULA):
RATIO
DAYS'
DAYS'
(FORMULA):
SUPPLY
SUPPLY
IN INVENTORY
DAYS'
IN INVENTORY
SUPPLY IN=INVENTORY
360 DAYS / INVENTORY TURNOVER
679 302040 302040 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(SIGNIFICANCE):
RATIOWORKING
INDICATES
(SIGNIFICANCE):
CAPITAL
ADEQUACY
INDICATES
TURNOVER
AND ACTIVITY
ADEQUACYOFAND
WORKING
ACTIVITY
CAPITAL.
OF WORKING CAPITAL.
680 302041 302041 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(FORMULA):
RATIO
WORKING
WORKING
(FORMULA):
CAPITAL
CAPITAL
WORKING
TURNOVER
TURNOVER
CAPITAL= NET
TURNOVER
SALES / AVERAGE WORKING CAPITAL
681 302042 302042 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(SIGNIFICANCE):
RATIOPERCENT
INDICATES
(SIGNIFICANCE):
OFRELATIVE
EACHINDICATES
CURRENT
INVESTMENT
RELATIVE
ASSETIN
TOEACH
INVESTMENT
TOTAL
CURRENT
CURRENT
INASSET.
EACH
ASSETCURRENT ASSET.
682 302043 302043 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(SIGNIFICANCE):
RATIOCURRENT
MEASURES
(SIGNIFICANCE):
ASSETS
MOVEMENT
MEASURES
TURNOVER
ANDMOVEMENT
UTILIZATIONAND
OF CURRENT
UTILIZATION
ASSETS
OF CURRENT
TO MEET ASSETS
OPERATING
TO MEET
REQUIREMENTS.
OPERATING REQUIREMENTS.
683 302044 302044 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(FORMULA):
RATIO
CURRENT
CURRENT
(FORMULA):
ASSETS
ASSETS
CURRENT
TURNOVER
TURNOVER
ASSETS= (COST
TURNOVER
OF SALES + OPERATING EXPENSES + INCOME TAXES + OTHER EXPENSES EXCLUDING DEPRECIATION AND AMORTIZATION) / AVERAGE CURRENT ASSETS
684 302045 302045 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(SIGNIFICANCE):
RATIOPAYABLE
MEASURES
(SIGNIFICANCE):
TURNOVER
EFFICIENCY
MEASURES
OF THE
EFFICIENCY
COMPANYOFINTHE
MEETING
COMPANY
TRADE
IN PAYABLE.
MEETING TRADE PAYABLE.
685 302046 302046 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(FORMULA):
RATIO
PAYABLE
PAYABLE
(FORMULA):
TURNOVER
TURNOVER
PAYABLE= NET
TURNOVER
PURCHASES / AVERAGE ACCOUNTS PAYABLE
686 302047 302047 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(SIGNIFICANCE):
RATIOOPERATING
MEASURES
(SIGNIFICANCE):
THE
CYCLE
LENGTH
MEASURES
OF TIME
THE LENGTH
REQUIRED
OFTO
TIME
CONVERT
REQUIRED
CASH
TOTO
CONVERT
FINISHED
CASH
GOODS;
TO FINISHED
THEN TOGOODS;
RECEIVABLE
THENAND
TO RECEIVABLE
THEN BACK TO
AND
CASH.
THEN BACK TO CASH.
687 302048 302048 MAS - FINANCIAL MAS
STATEMENTS
- FINANCIAL
ANALYSIS
FINANCIAL
STATEMENTSRATIO
ANALYSIS
FINANCIAL
(FORMULA):
RATIO
OPERATING
OPERATING
(FORMULA):
CYCLE
CYCLE
OPERATING
= AVERAGE
CYCLECONVERSION PERIOD OF INVENTORIES + AVERAGE COLLECTION PERIOD OF RECEIVABLE + DAYS CASH
688 401001 401001 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS THE POWER
OF TAXATION
BYISWHICH
THE POWER
THE SOVEREIGN,
BYTAXATION
WHICH THROUGH
THE SOVEREIGN,
ITS LAW-MAKING
THROUGH ITS
BODY,
LAW-MAKING
RAISES REVENUE
BODY, RAISES
TO DEFRAY
REVENUE
THE NECESSARY
TO DEFRAYEXPENSES
THE NECESSARY
OF GOVERNMENT.
EXPENSES OF GOVERNMENT.
689 401002 401002 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS THE PRIMARY
OF TAXATION
PURPOSE
IS THE PRIMARY
OF TAXATION
PURPOSE
REVENUE
WHICH
OF
PURPOSE
TAXATION
ASSERTS THAT
WHICHTHE
ASSERTS
PURPOSE
THAT
OF THE
TAXATION
PURPOSE
IS TO
OFRAISE
TAXATION
FUNDS
IS OR
TO PROPERTY
RAISE FUNDS
TOOR
ENABLE
PROPERTY
THE STATE
TO ENABLE
TO PROMOTE
THE STATE
THETO
GENERAL
PROMOTE
WELFARE
THE GENERAL
AND PROTECTION
WELFARE AND
OF THE
PROTECTION
PEOPLE. OF THE PEOPLE.
1. PROMOTION OF GENERAL WELFARE
2. REGULATION OF ACTIVITIES/INDUSTRIES
3. REDUCTION OF SOCIAL INEQUALITY
4. ENCOURAGE ECONOMIC GROWTH
690 401003 401003 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
SECONDARY OFOR
TAXATION
NON-REVENUE
SECONDARY ORPURPOSES
NON-REVENUE
5. PROTECTIONISM
OF TAXATION
PURPOSES
(5 ITEMS)
OF TAXATION (5 ITEMS)
691 401004 401004 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A PURPOSE
OF TAXATION
OF IS
TAXATION
A PURPOSE
THAT
OFASSERTS
PROMOTION
TAXATIONTHAT
THAT
OF
TAXATION
GENERAL
ASSERTSMAY
THAT
WELFARE
BE
TAXATION
USED AS MAY
AN IMPLEMENT
BE USED ASOF
ANPOLICE
IMPLEMENT
POWEROFTO
POLICE
PROMOTE
POWER
GENERAL
TO PROMOTE
WELFARE
GENERAL
OF THEWELFARE
PEOPLE. OF THE PEOPLE.
692 401005 401005 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A PURPOSE
OF TAXATION
OF IS
TAXATION
A PURPOSE
THAT
OFASSERTS
REGULATION
TAXATIONTHAT
THAT
OF
TAXES
ASSERTS
ACTIVITIES/INDUSTRIES
MAYTHAT
BE IMPOSED
TAXES MAY
FOR BE
A REGULATORY
IMPOSED FORPURPOSE
A REGULATORY
AS, FORPURPOSE
INSTANCE,
AS,INFOR
THEINSTANCE,
REHABILITATION
IN THE AND
REHABILITATION
STABILIZATION
ANDOFSTABILIZATION
A THREATHENEDOF A
INDUSTRY
THREATHENED
WHICHINDUSTRY
IS AFFECTED
WHICH
WITHISPUBLIC
AFFECTED
INTEREST.
WITH PUBLIC INTEREST.
693 401006 401006 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A PURPOSE
OF TAXATION
OF IS
TAXATION
A PURPOSE
WHICH
OF REDUCTION
TAXATION
ASSERTS THAT
WHICH
OF SOCIAL
A PROGRESSIVE
ASSERTS
INEQUALITY
THATSYSTEM
A PROGRESSIVE
OF TAXATION
SYSTEM
PREVENTS
OF TAXATION
THE UNDUE
PREVENTS
CONCENTRATION
THE UNDUE CONCENTRATION
OF WHEALTH IN THE
OF WHEALTH
HANDS OFIN
FEW
THEINDIVIDUALS.
HANDS OF FEW INDIVIDUALS.
694 401007 401007 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A PURPOSE
OF TAXATION
OF IS
TAXATION
A PURPOSE
WHICH
OF ENCOURAGE
TAXATION
ASSERTS THAT
WHICH
ECONOMIC
THE
ASSERTS
GRANT
GROWTH
THAT
OF INCENTIVES
THE GRANTOR
OFEXEMPTIONS
INCENTIVES ENCOURAGE
OR EXEMPTIONS
INVESTMENT
ENCOURAGE
THEREBY
INVESTMENT
STIMULATING
THEREBY
ECONOMIC
STIMULATING
ACTIVITY.
ECONOMIC ACTIVITY.
695 401008 401008 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A PURPOSE
OF TAXATION
OF IS
TAXATION
A PURPOSE
WHICH
OF PROTECTIONISM
TAXATION
ASSERTS THAT
WHICHPROTECTIVE
ASSERTS THAT
TARIFFS
PROTECTIVE
AND CUSTOMS
TARIFFSDUTIES
AND CUSTOMS
ARE IMPOSED
DUTIES
AS ARE
TAXES
IMPOSED
IN ORDER
AS TO
TAXES
PROTECT
IN ORDER
IMPORTANT
TO PROTECT
SECTORS
IMPORTANT
OF THE ECONOMY
SECTORS OFOR
THE
LOCAL
ECONOMY
INDUSTRIES,
OR LOCAL
AS ININDUSTRIES,
THE CASE OF
ASFOREIGN
IN THE CASE
IMPORTATIONS.
OF FOREIGN IMPORTATIONS.
1. INHERENT ATTRIBUTE OF SOVEREIGNTY
696 401009 401009 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TWO-FOLDOFNATURE
TAXATION
TWO-FOLD
OF THE STATE'S
NATURE
2.POWER
LEGISLATIVE
OF THETO
STATE'S
TAX
IN CHARACTER
POWER TO TAX
697 401010 401010 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
__________OFDO
TAXATION
NOT
__________
GIVE RISEDO
TONOT
CONSTITUTIONAL
THEGIVE
POWERRISETO
TOTAX
THE
PROVISIONS
BUT
POWER
MERELY
TO TAX
IMPOSE
BUT LIMITATIONS
MERELY IMPOSE
ON LIMITATIONS
WHAT WOULD ON
OTHERWISE
WHAT WOULD
BE AN
OTHERWISE
INVINCIBLEBE
POWER.
AN INVINCIBLE POWER.
698 401011 401011 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
A NATUREOFOFTAXATION
TAXATION
A NATURE
WHICH
OF TAXATION
ASSERTS
LEGISLATIVE
THAT
WHICHIN
THEASSERTS
CHARACTER
POWERTHAT
OF TAXATION
THE POWER
CANOFONLY
TAXATION
BE EXERCISED
CAN ONLY
THROUGH
BE EXERCISED
THE ENACTMENT
THROUGH THE
OF LAWS.
ENACTMENT OF LAWS.
1. AMOUNT OR RATE OF TAX
2. SUBJECTS OF TAXATION
3. KIND OF TAX TO BE COLLECTED
4. METHOD OF COLLECTION
5. APPORTIONMENT OF THE TAX
6. PURPOSES FOR WHICH THE TAXES SHALL BE LEVIED (MUST BE FOR PUBLIC PURPOSE)
699 401012 401012 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
ELEMENTSOFTOTAXATION
BE ELEMENTS
DETERMINED
TO IN
BETHE
DETERMINED
7. SITUS
EXERCISE
OF TAXATION
OF
IN THE
THE EXERCISE
LEGISLATIVE
OF THE
POWER
LEGISLATIVE
IN TAXATION
POWER
(7 ITEMS)
IN TAXATION (7 ITEMS)
1. COMPREHENSIVE
2. UNLIMITED
3. PLENARY
700 401013 401013 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
CHARACTERISTICS
OF TAXATION
CHARACTERISTICS
OF TAXATION (4 4.
ITEMS)
OFSUPREME
TAXATION (4 ITEMS)
701 401014 401014 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS THE INHERENT
OF TAXATION
IS
RIGHT
THE INHERENT
OF THE STATE
POWER
RIGHT
TOOF
CONDEMN
OFTHE
EMINENT
STATE
ORTO
DOMAIN
TOCONDEMN
TAKE PRIVATE
OR TO
PROPERTY
TAKE PRIVATE
FOR PUBLIC
PROPERTY
USE UPON
FOR PUBLIC
PAYMENT
USE OF
UPON
JUSTPAYMENT
COMPENSATION.
OF JUST COMPENSATION.
702 401015 401015 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS THE POWER
OF TAXATION
OFISTHE
THESTATE
POWERTOOF
PROMOTE
POLICE
THE STATE
POWER
PUBLIC
TO PROMOTE
WELFARE PUBLIC
BY RESTRAINING
WELFARE AND
BY RESTRAINING
REGULATINGAND
THEREGULATING
USE OF LIBERTY
THEAND
USEPROPERTY
OF LIBERTYWITHOUT
AND PROPERTY
COMPENSATION.
WITHOUT COMPENSATION.
703 401016 401016 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
INHERENTOFPOWERS:
TAXATION
INHERENT
EXERCISED
POWERS:
BY TAXATION
THEEXERCISED
GOVERNMENT
ANDBY
POLICE
THE
ORGOVERNMENT
POWER
ITS POLITICAL OR
SUBDIVISION
ITS POLITICAL SUBDIVISION
704 401017 401017 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
INHERENTOFPOWERS:
TAXATION
INHERENT
EXERCISED
POWERS:
BY EMINENT
GOVERNMENT
EXERCISED
DOMAIN
BY
ORGOVERNMENT
PUBLIC SERVICE
ORCOMPANIES
PUBLIC SERVICE
ANDCOMPANIES
PUBLIC UTILITIES
AND PUBLIC UTILITIES
705 401018 401018 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
INHERENTOFPOWERS:
TAXATION
INHERENT
THE PURPOSE
POWERS:
TAXATION
IS TO
THERAISE
PURPOSE
REVENUE
IS TOINRAISE
SUPPORT
REVENUE
OF THE
IN SUPPORT
GOVERNMENT.
OF THEREGULATION
GOVERNMENT.
IS MERELY
REGULATION
INCIDENTAL
IS MERELY INCIDENTAL
706 401019 401019 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
INHERENTOFPOWERS:
TAXATION
INHERENT
THE PURPOSE
POWERS:
POLICE
IS THE
THEPROMOTION
POWER
PURPOSE IS THE
OF GENERAL
PROMOTION
WELFARE
OF GENERAL
THROUGH
WELFARE
REGULATIONS
THROUGH REGULATIONS
707 401020 401020 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
INHERENTOFPOWERS:
TAXATION
INHERENT
THE PURPOSE
POWERS:
EMINENT
IS TO
THEFACILITATE
PURPOSE
DOMAINISTHE
TOTAKING
FACILITATE
OF PRIVATE
THE TAKING
PROPERTY
OF PRIVATE
FOR PUBLIC
PROPERTY
PURPOSE
FOR PUBLIC PURPOSE
708 401021 401021 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
INHERENTOFPOWERS:
TAXATION
INHERENT
PRODUCE
POWERS:
EFFECTS
TAXATION
PRODUCE
UPONAND
THE
EFFECTS
POLICE
COMMUNITY
UPON
POWER
THE
OR COMMUNITY
CLASS OF INDIVIDUALS
OR CLASS OF INDIVIDUALS
709 401022 401022 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
INHERENTOFPOWERS:
TAXATION
INHERENT
PRODUCES
POWERS:
EFFECTS
EMINENT
PRODUCES
ON DOMAIN
AN INDIVIDUAL
EFFECTS ONASAN
THE
INDIVIDUAL
OWNER OF ASATHE
PARTICULAR
OWNER OFPROPERTY
A PARTICULAR PROPERTY
710 401023 401023 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
INHERENTOFPOWERS:
TAXATION
INHERENT
THE AMOUNT
POWERS:
TAXATION
OFTHE
MONETARY
AMOUNTIMPOSITION
OF MONETARY
HAS IMPOSITION
NO CEILING EXCEPT
HAS NOINHERENT
CEILING EXCEPT
LIMITATIONS
INHERENT LIMITATIONS
711 401024 401024 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
INHERENTOFPOWERS:
TAXATION
INHERENT
THE AMOUNT
POWERS:
POLICE
OFTHE
MONETARY
POWER
AMOUNTIMPOSITION
OF MONETARY
IS LIMITED
IMPOSITION
TO THEISCOST
LIMITED
OF REGULATION,
TO THE COST OF
ISSUANCE
REGULATION,
OF LICENSE
ISSUANCE
OR SURVEILLANCE
OF LICENSE OR SURVEILLANCE
712 401025 401025 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
INHERENTOFPOWERS:
TAXATION
INHERENT
NO MONETARY
POWERS:
EMINENT
IMPOSITION,
NO MONETARY
DOMAIN
THEIMPOSITION,
OWNER IS PAID
THETHE
OWNER
FAIR MARKET
IS PAID THE
VALUE
FAIROF
MARKET
HIS PROPERTY
VALUE OF HIS PROPERTY
713 401026 401026 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
INHERENTOFPOWERS:
TAXATION
INHERENT
THE BENEFIT
POWERS:
RECEIVED
TAXATION
THE BENEFIT
ISAND
THE POLICE
PROTECTION
RECEIVED
POWER
IS THE
OF APROTECTION
SECURED AND
OFORGANIZED
A SECURED AND
SOCIETY
ORGANIZED
(NO DIRECT
SOCIETY
BENEFIT)
(NO DIRECT BENEFIT)
714 401027 401027 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
INHERENTOFPOWERS:
TAXATION
INHERENT
THE PERSON
POWERS:
RECEIVES
EMINENT
THE PERSON
THE
DOMAIN
FAIR
RECEIVES
MARKETTHE
VALUE
FAIROF
MARKET
THE PROPERTY
VALUE OF
TAKEN
THE PROPERTY
FROM HIMTAKEN
(DIRECT
FROM
BENEFIT).
HIM (DIRECT BENEFIT).
715 401028 401028 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
INHERENTOFPOWERS:
TAXATION
INHERENT
OBLIGATIONS
POWERS:
TAXATION
OF OBLIGATIONS
CONTRACTS MAY
OF CONTRACTS
NOT BE IMPAIRED
MAY NOT BE IMPAIRED
716 401029 401029 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
INHERENTOFPOWERS:
TAXATION
INHERENT
CONTRACTS
POWERS:
MAY
POLICE
CONTRACTS
BE IMPAIRED
POWER AND
MAY EMINENT
BE IMPAIRED
DOMAIN
717 401030 401030 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
INHERENTOFPOWERS:
TAXATION
INHERENT
TO BE VALID,
POWERS:
THE
TAXATION
TO
EXERCISE
BE VALID,
MUST
THENOT
EXERCISE
BE CONTRARY
MUST NOT
TOBE
INHERENT
CONTRARY
AND
TOCONSTITUTIONAL
INHERENT AND CONSTITUTIONAL
LIMITATIONS LIMITATIONS
718 401031 401031 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
INHERENTOFPOWERS:
TAXATION
INHERENT
TO BE VALID,
POWERS:
THE
POLICE
TO
EXERCISE
BE
POWER
VALID,
MUST
THECOMPLY
EXERCISEWITH
MUSTTHE
COMPLY
TESTS ON
WITH
"LAWFUL
THE TESTS
SUBJECTS"
ON "LAWFUL
AND "LAWFUL
SUBJECTS"
MEANS"
AND "LAWFUL MEANS"
719 401032 401032 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
INHERENTOFPOWERS:
TAXATION
INHERENT
TO BE VALID,
POWERS:
THE
EMINENT
TO
EXERCISE
BE VALID,
DOMAIN
MUST
THEBE
EXERCISE
FOR PUBLIC
MUSTPURPOSE
BE FOR PUBLIC
AND WITH
PURPOSE
PAYMENT
ANDOF
WITH
JUSTPAYMENT
COMPENSATION
OF JUST COMPENSATION
1. LIFEBLOOD THEORY
2. NECESSITY THEORY
3. BENEFITS PROTECTION THEORY
720 401033 401033 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
THEORIES OF
UNDERLYING
TAXATION
THEORIES
THEUNDERLYING
POWER4.OF
JURISDICTION
TAXATION
THE POWER(4OVER
ITEMS)
OF TAXATION
SUBJECTS (4
ANDITEMS)
OBJECTS
721 401034 401034 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A THEORY
OFWHICH
TAXATION
IS AASSERTS
THEORYTHAT
WHICH
LIFEBLOOD
TAXATION
ASSERTSTHEORY
ISTHAT
A GOVERNMENTAL
TAXATION IS A GOVERNMENTAL
NECESSITY, FOR INDEED,
NECESSITY,
WITHOUT
FOR INDEED,
TAXATION,
WITHOUT
A GOVERNMENT
TAXATION, CAN
A GOVERNMENT
NEITHER EXIST
CANNOR
NEITHER
ENDURE.
EXIST NOR ENDURE.
722 401035 401035 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A THEORY
OFWHICH
TAXATION
IS AASSERTS
THEORYTHAT
WHICH
NECESSITY
WITHOUT
ASSERTSTHEORY
TAXES,
THAT WITHOUT
THE GOVERNMENT
TAXES, THE
CANNOT
GOVERNMENT
FULFILL CANNOT
ITS MANDATE
FULFILL
OF ITS
PROMOTING
MANDATETHE
OF PROMOTING
GENERAL WELFARE
THE GENERAL
AND WELL-BEING
WELFARE AND
OF THE
WELL-BEING
PEOPLE. OF THE PEOPLE.
723 401036 401036 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A THEORY
OFWHICH
TAXATION
IS AASSERTS
THEORYTHAT
WHICH
BENEFITS-PROTECTION
TAXATION
ASSERTSINVOLVES
THAT TAXATION
THE
THEORY
POWER
INVOLVES
OF THE
THESTATE
POWERTOOF
DEMAND
THE STATE
ANDTO
RECEIVE
DEMANDTAXES
ANDBASED
RECEIVE
ON TAXES
THE RECIPROCAL
BASED ON THE
DUTIES
RECIPROCAL
OF SUPPORT
DUTIES
ANDOF
PROTECTION
SUPPORT AND
BETWEEN
PROTECTION
THE STATE
BETWEEN
AND ITS
THECITIZEN.
STATE AND ITS CITIZEN.
724 401037 401037 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A THEORY
OFWHICH
TAXATION
IS AASSERTS
THEORYTHAT
WHICH
JURISDICTION
IT ASSERTS
IS THE COUNTRY,
THAT
OVER
IT SUBJECTS
IS
STATE
THE COUNTRY,
ORAND
SOVEREIGN
OBJECTS
STATETHAT
OR SOVEREIGN
GIVES PROTECTION
THAT GIVES
(OVER
PROTECTION
ITS TERRITORY)
(OVERAND
ITS TERRITORY)
HAS THE RIGHT
ANDTO
HAS
DEMAND
THE RIGHT
PAYMENT
TO DEMAND
OF TAXES
PAYMENT
(WITHINOFITS
TAXES
TERRITORY)
(WITHINWITH
ITS TERRITORY)
WHICH TO FINANCE
WITH WHICH
ACTIVITIES
TO FINANCE
SO IT COULD
ACTIVITIES
CONTINUE
SO IT COULD
TO GIVE
CONTINUE
PROTECTION.
TO GIVE PROTECTION.
1. FISCAL ADEQUACY
2. ADMINISTRATIVE FEASIBILITY
725 401038 401038 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
BASIC PRINCIPLES
OF TAXATION
BASIC
OF A SOUND
PRINCIPLES
TAX3.
OF
SYSTEM
THEORETICAL
A SOUND
OR CANONS
TAXJUSTICE
SYSTEM
OF SOUND
OR CANONS
TAXATION
OF SOUND
(3 ITEMS)
TAXATION (3 ITEMS)
726 401039 401039 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A PRINCIPLE
OF TAXATION
OFISAASOUND
PRINCIPLE
TAX OF
SYSTEM
FISCAL
A SOUND
WHICH
ADEQUACY
TAXASSERTS
SYSTEMTHAT
WHICH
REVENUE
ASSERTSRAISED
THAT REVENUE
MUST BE RAISED
SUFFICIENT
MUSTTOBE
MEET
SUFFICIENT
GOVERNMENT/PUBLIC
TO MEET GOVERNMENT/PUBLIC
EXPENDITURES. EXPENDITURES.
727 401040 401040 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A PRINCIPLE
OF TAXATION
OFISAASOUND
PRINCIPLE
TAX OF
SYSTEM
ADMINISTRATIVE
A SOUND
WHICH
TAXASSERTS
SYSTEM
FEASIBILITY
THAT
WHICH THE
ASSERTS
TAX SYSTEM
THAT THE
SHOULD
TAX SYSTEM
BE CAPABLE
SHOULD
OF BEING
BE CAPABLE
EFFECTIVELY
OF BEING
ADMINISTERED
EFFECTIVELYAND
ADMINISTERED
ENFORCED WITH
AND ENFORCED
THE LEAST INCONVENIENCE
WITH THE LEAST INCONVENIENCE
TO THE TAXPAYER.
TO THE TAXPAYER.
728 401041 401041 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A PRINCIPLE
OF TAXATION
OFISAASOUND
PRINCIPLE
TAX OF
SYSTEM
THEORETICAL
A SOUND
WHICH
TAXJUSTICE
ASSERTS
SYSTEMTHAT,
WHICHINASSERTS
THE EXERCISE
THAT, OF
IN THE
THE EXERCISE
POWER OF OFTAXATION,
THE POWERONE
OFMUST
TAXATION,
TAKE INTO
ONE MUST
CONSIDERATION
TAKE INTO THE
CONSIDERATION
TAXPAYER'S ABILITY
THE TAXPAYER'S
TO PAY. ABILITY TO PAY.
729 401042 401042 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
A TAX LAWOF
WILL
TAXATION
RETAIN
A TAX LAW
ITS VALIDITY
WILL RETAIN
FISCAL
EVEN
ADEQUACY
ITS
IF VALIDITY
IT IS NOT
AND
EVEN
IN CONSONANCE
ADMINISTRATIVE
IF IT IS NOT IN
WITH
CONSONANCE
FEASIBILITY
THE PRINCIPLES
WITHOF
THE
__________
PRINCIPLESAND
OF __________
__________AND
BECAUSE
__________
THE CONSTITUTION
BECAUSE THEDOES
CONSTITUTION
NOT EXPRESSLY
DOESREQUIRE
NOT EXPRESSLY
SO. REQUIRE SO.
[PENTI]
1. PUBLIC PURPOSE
2. INHERENTLY LEGISLATIVE
3. TERRITORIAL
4. INTERNATIONAL COMITY
730 401043 401043 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
INHERENTOFLIMITATIONS
TAXATION
INHERENT
ON LIMITATIONS
THE EXERCISE
5. EXEMPTION
ON
OF THE
THE EXERCISE
OF
POWER
GOVERNMENT
OFOFTAXATION
THE POWER
ENTITIES,
(5 ITEMS)
OF AGENCIES
TAXATIONAND
(5 ITEMS)
INSTRUMENTALITIES
731 401044 401044 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
A TAX LAWOF
IS TAXATION
CONSIDERED
A TAX LAW__________
IS CONSIDERED
FOR PUBLIC
IF IT __________
IS PURPOSE
FOR THE WELFARE
IF IT IS FOR
OFTHE
THEWELFARE
NATION AND/OR
OF THE NATION
FOR THEAND/OR
GREATERFOR
PORTION
THE GREATER
OF THE PORTION
POPULATION
OF THE
ANDPOPULATION
IT AFFECTS THE
ANDAREA
IT AFFECTS
AS A COMMUNITY
THE AREA ASRATHER
A COMMUNITY
THAN ASRATHER
INDIVIDUALS.
THAN AS INDIVIDUALS.
1. DUTY TEST
732 401045 401045 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TESTS IN DETERMINING
OF TAXATION
TESTS IN
IF A
DETERMINING
TAX LAW
2. PROMOTION
IS FOR
IF APUBLIC
TAX LAW
OFPURPOSE
GENERAL
IS FOR PUBLIC
(2WELFARE
ITEMS)
PURPOSE
TEST (2 ITEMS)
733 401046 401046 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A TEST WHICH
OF TAXATION
ASSERTS
IS A TESTTHAT
WHICHA TAX
ASSERTS
DUTYLAW
TEST
THAT
IS FORAPUBLIC
TAX LAW
PURPOSE
IS FOR PUBLIC
IF THE THING
PURPOSE
TO BE
IF THE
FURTHERED
THING TOBYBETHE
FURTHERED
APPROPRIATION
BY THE OF
APPROPRIATION
PUBLIC REVENUE
OF PUBLIC
IS SOMETHING
REVENUE
WHICH
IS SOMETHING
IS THE DUTY
WHICH
OF THE
IS THE
STATE
DUTY
AS OF
A GOVERNMENT
THE STATE AS TO
A GOVERNMENT
PROVIDE. TO PROVIDE.
734 401047 401047 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A TEST WHICH
OF TAXATION
ASSERTS
IS A TESTTHAT
WHICHA TAX
ASSERTS
PROMOTION
LAW THAT
IS FOR
OF
APUBLIC
GENERAL
TAX LAW
PURPOSE
IS
WELFARE
FOR PUBLIC
IF THE
TESTPROCEEDS
PURPOSE IFOFTHE
THEPROCEEDS
TAX WILL OF
DIRECTLY
THE TAX
PROMOTE
WILL DIRECTLY
THE WELFARE
PROMOTE
OFTHE
THEWELFARE
COMMUNITY
OF THE
IN EQUAL
COMMUNITY
MEASURE.
IN EQUAL MEASURE.
735 401048 401048 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS AN INHERENT
OF TAXATION
LIMITATION
IS AN INHERENT
ON THE
LIMITATION
INHERENTLY
EXERCISEON
OF
LEGISLATIVE
THE
THE EXERCISE
POWER OF OFTAXATION
THE POWER
WHICH
OF TAXATION
ASSERTS THAT
WHICHTHE
ASSERTS
POWERTHAT
TO TAX
THEISPOWER
EXCLUSIVELY
TO TAXVESTED
IS EXCLUSIVELY
IN THE LEGISLATIVE
VESTED IN THE
BODYLEGISLATIVE
AND MAY NOT
BODY
BEAND
DELEGATED.
MAY NOT BE DELEGATED.
1. SELECTION OF THE SUBJECT TO BE TAXED
2. DETERMINATION OF THE PURPOSES OF TAX
3. FIXING OF THE RATE/AMOUNT OF TAX
4. SITUS OF TAX
736 401049 401049 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
ASPECTS OFOFTHE
TAXATION
POWER
ASPECTSTO
OFTAX
THETHAT
POWER
5. KIND
ARETO
OF
NON-DELEGABLE
TAX
TAXTHAT ARE NON-DELEGABLE
(5 ITEMS) (5 ITEMS)
1. THOSE DELEGATED TO LOCAL GOVERNEMENT (CERTAIN TAXES, FEES AND CHARGES)
2. THOSE DELEGATED TO THE PRESIDENT (FIXING OF TARIFF RATES, TONNAGE AND WHARFAGE DUES, AND OTHER DUTIES)
737 401050 401050 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
ASPECTS OFOFTHE
TAXATION
POWER
ASPECTSTO
OFTAX
THETHAT
POWER
3. ADMINISTRATIVE
MAYTOBETAX
DELEGATED
THATIMPLEMENTATION
MAY
(3BE
ITEMS)
DELEGATED
(BIR)
(3 ITEMS)
738 401051 401051 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS AN INHERENT
OF TAXATION
LIMITATION
IS AN INHERENT
ON THE
LIMITATION
TERRITORIAL
EXERCISEON
OF THE
THE EXERCISE
POWER OF OFTAXATION
THE POWER
WHICH
OF TAXATION
ASSERTS THAT
WHICHTHE
ASSERTS
TAXINGTHAT
POWER
THEOF
TAXING
A COUNTRY
POWERISOF
LIMITED
A COUNTRY
TO PERSONS
IS LIMITED
ANDTO
PROPERTY
PERSONSWITHIN
AND PROPERTY
AND SUBJECT
WITHIN
TO AND
ITS JURISDICTION
SUBJECT TO ITS
(INJURISDICTION
GENERAL) (IN GENERAL)
1. RESIDENT CITIZENS - WHERE TAX LAWS OPERATE OUTSIDE TERRITORIAL JURISDICTION
739 401052 401052 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
EXCEPTIONSOFTO
TAXATION
THE
EXCEPTIONS
TERRITORIAL
TO THE
INHERENT
2. EXCEMPTIONS
TERRITORIAL
LIMITATION
INHERENT
BY TREATY
OF TAXATION
LIMITATION
OBLIGATIONS
OF OR
TAXATION
INTERNATIONAL COMITY - WHERE TAX LAWS DO NOT OPERATE WITHIN THE TERRITORIAL JURISDICTION OF THE STATE
740 401053 401053 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS AN INHERENT
OF TAXATION
LIMITATION
IS AN INHERENT
ON THE
LIMITATION
INTERNATIONAL
EXERCISEON
OF THE
THE
COMITY
EXERCISE
POWER OF OFTAXATION
THE POWER
WHICH
OF TAXATION
REFERS TOWHICH
THE RESPECT
REFERS ACCORDED
TO THE RESPECT
BY NATIONS
ACCORDED
TO EACH
BY NATIONS
OTHER BECAUSE
TO EACH THEY
OTHERARE
BECAUSE
SOVEREIGN
THEYEQUALS.
ARE SOVEREIGN
THUS, THE
EQUALS.
PROPERTY
THUS,
ORTHE
INCOME
PROPERTY
OF A OR
FOREIGN
INCOME
STATE
OF AMAY
FOREIGN
NOT BE
STATE
THE MAY
SUBJECT
NOTOF
BETAXATION
THE SUBJECT
BY ANOTH
OF TAXATION BY ANOTH
[DEO NUER]
1. DUE PROCESS OF LAW
2. EQUAL PROTECTION OF THE LAWS
3. NON-IMPRISONMENT OF OBLIGATION OF CONTRACTS
4. NON-IMPRISONMENT FOR NON-PAYMENT OF POLL TAX
5. RULE OF TAXATION SHALL BE UNIFORM AND EQUITABLE
741 401054 401054 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
CONSTITUTIONAL
OF TAXATION
CONSTITUTIONAL
LIMITATIONS ON 6.
LIMITATIONS
THEEXEMPTION
EXERCISEON
OF
FROM
THE
THEREAL
EXERCISE
POWER
PROPERTY
OFOFTAXATION
THETAX
POWER
OF(7CHARI
ITEMS)
OF TAXATION (7 ITEMS)
[EPPP SLP]
1. ENFORCED CONTRIBUTION
2. GENERALLY PAYABLE IN MONEY
3. PROPORTIONATE IN CHARACTER
4LEVIED ON PERSONS, PROPERTY OR EXERCISE OF RIGHT OR PRIVILEGE
5. LEVIED BY STATE WHICH HAS JURISDICTION OVER THE SUBJECT OR OBJECT OF TAXATION
742 401055 401055 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
ESSENTIALOF
ELEMENTS
TAXATION
ESSENTIAL
OF TAXELEMENTS
(7 ITEMS)
6. LEVIED
OF TAX
BY(7 ITEMS)
1. PERSONAL, CAPITATION OR POLL
2. PROPERTY
743 401056 401056 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
KINDS OF TAXES
OF TAXATION
AS
KINDS
TO SUBJECT
OF TAXES
MATTER
AS
3. TO
EXCISE
SUBJECT
OR OBJECT
(PRIVILEGE)
MATTER
(3 ITEMS)
OR OBJECT (3 ITEMS)
744 401057 401057 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS THE TAXOF
IMPOSED
TAXATION
IS THE
ONTAX
PERSONS
IMPOSED
PERSONAL,
RESIDING
ON PERSONS
WITHIN
CAPITATION
RESIDING
A SPECIFIED
ORWITHIN
POLL
TERRITORY
TAX
A SPECIFIED
WITHOUT
TERRITORY
REGARDWITHOUT
TO THEIRREGARD
PROPERTY
TO THEIR
OR OCCUPATION
PROPERTY OR
(E.G.,
OCCUPATION
COMMUNITY
(E.G.,
TAX).
COMMUNITY TAX).
745 401058 401058 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS THE TAXOF
ONTAXATION
PROPERTY
IS THE TAX
WHETHER
ON PROPERTY
PROPERTY
REAL OR
WHETHER
TAX
PERSONAL.(E.G.,
REAL OR REAL
PERSONAL.(E.G.,
PROPERTY TAX).
REAL PROPERTY TAX).
746 401059 401059 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS THE TAXOF
IMPOSED
TAXATION
IS THE
UPON
TAXTHE
IMPOSED
PERFORMANCE
EXCISE
UPONOR THE
PRIVILEGE
OFPERFORMANCE
AN ACT,
TAX ENJOYMENT
OF AN ACT,
OF PRIVILEGE
ENJOYMENTOR OF
ENGAGING
PRIVILEGE
INOR
ANENGAGING
OCCUPATION
IN AN
(E.G.,
OCCUPATION
INCOME TAX,
(E.G.,
DONOR'S
INCOME
TAX,
TAX,
ESTATE
DONOR'S
TAX).TAX, ESTATE TAX).
1. DIRECT
747 401060 401060 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
KINDS OF TAXES
OF TAXATION
AS
KINDS
TO WHO
OF TAXES
BEARSAS
2.THE
TO
INDIRECT
BURDEN
WHO BEARS
(2 ITEMS)
THE BURDEN (2 ITEMS)
748 401061 401061 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A TAX DEMANDED
OF TAXATION
IS A FROM
TAX DEMANDED
PERSONS
DIRECT
WHO
FROMTAX
ALSO
PERSONS
SHOULDER
WHO THE
ALSOBURDEN
SHOULDER
OF THE
THE TAX
BURDEN
(E.G.,OF
INCOME
THE TAX
TAX,
(E.G.,
ESTATE
INCOME
TAX,TAX,
DONOR'S
ESTATE
TAX)
TAX, DONOR'S TAX)
749 401062 401062 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A TAX DEMANDED
OF TAXATION
IS A FROM
TAX DEMANDED
A PERSON
INDIRECT
FROM
WHO SHALL
TAX
A PERSON
INDEMNIFY
WHO SHALL
HIMSELF
INDEMNIFY
AT THE EXPENSE
HIMSELF OF
AT ANOTHER
THE EXPENSE
(E.G.,
OFVAT,
ANOTHER
OTHER(E.G.,
PERCENTAGE
VAT, OTHER
TAXES).
PERCENTAGE TAXES).
1. SPECIFIC
750 401063 401063 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
KINDS OF TAXES
OF TAXATION
AS
KINDS
TO DETERMINATION
OF TAXES AS
2. TO
ADDETERMINATION
OF
VALOREM
AMOUNT (2 ITEMS)
OF AMOUNT (2 ITEMS)
751 401064 401064 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A KIND OF
OF TAX
TAXATION
IS
THEA KIND
AMOUNT
OF TAX
OFSPECIFIC
THE
WHICH
AMOUNT
ISTAX
DETERMINED
OF WHICHBY
IS THE
DETERMINED
HEAD, NUMBER
BY THEOR
HEAD,
SOMENUMBER
STANDARD
OR SOME
OF WEIGHT
STANDARD
OR MEASUREMENT
OF WEIGHT OR(E.G.,
MEASUREMENT
EXCISE TAX (E.G.,
ON DISTILLED
EXCISE TAX
SPIRITS,
ON DISTILLED
WINES, LIQUORS).
SPIRITS, WINES, LIQUORS).
752 401065 401065 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A KIND OF
OF TAX
TAXATION
IS
THEA KIND
AMOUNT
OF TAX
OFAD
THE
WHICH
VALOREM
AMOUNT
IS DETERMINED
TAX
OF WHICHAS
IS THE
DETERMINED
FIXED PROPORTION
AS THE FIXED
OF THE
PROPORTION
VALUE OFOF
PROPERTY
THE VALUE
WITH
OF RESPECT
PROPERTYTOWITH
WHICH
RESPECT
TAX ISTO
ASSESSED.
WHICH TAX IS ASSESSED.
1. GENERAL, FISCAL OR REVENUE
753 401066 401066 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
KINDS OF TAXES
OF TAXATION
AS
KINDS
TO PURPOSE
OF TAXES(2AS
2.
ITEMS)
TO
SPECIAL
PURPOSE
OR REGULATORY
(2 ITEMS)
754 401067 401067 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A KIND OF
OF TAX
TAXATION
IS
IMPOSED
A KIND OF
TO TAX
RAISE
GENERAL,
IMPOSED
REVENUETO
FISCAL
FOR
RAISE
THE
ORREVENUE
REVENUE
GENERALFOR
TAX
PURPOSES
THE GENERAL
OF THEPURPOSES
GOVERNMENT
OF THE
(E.G.,
GOVERNMENT
INCOME TAX,
(E.G.,
VAT).
INCOME TAX, VAT).
755 401068 401068 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A KIND OF
OF TAX
TAXATION
IS
IMPOSED
A KIND OF
FORTAX
SPECIAL
SPECIAL
IMPOSED
PURPOSES
OR
FOR
REGULATORY
SPECIAL
(E.G., CUSTOMS
PURPOSES
TAX DUTIES,
(E.G., CUSTOMS
SUGAR ADJUSTMENT
DUTIES, SUGAR
TAXES).
ADJUSTMENT TAXES).
1. NATIONAL
756 401069 401069 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
KINDS OF TAXES
OF TAXATION
AS
KINDS
TO IMPOSING
OF TAXES AS
AUTHORITY
2. TO
MUNICIPAL
IMPOSING
(2 ITEMS)
ORAUTHORITY
LOCAL (2 ITEMS)
757 401070 401070 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A KIND OF
OF TAX
TAXATION
IS
IMPOSED
A KIND OF
BY TAX
NATIONAL
NATIONAL
IMPOSED
GOVERNMENT
BY
TAX
NATIONAL
(E.G.,
GOVERNMENT
INTERNAL REVENUE
(E.G., INTERNAL
TAXES, REVENUE
CUSTOMSTAXES,
DUTIES).
CUSTOMS DUTIES).
758 401071 401071 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A KIND OF
OF TAX
TAXATION
IS
IMPOSED
A KIND OF
BY TAX
LOCAL
MUNICIPAL
IMPOSED
GOVERNMENT
BYOR
LOCAL
LOCAL
UNITS
GOVERNMENT
TAX
(E.G., SANDUNITS
AND GRAVEL
(E.G., SAND
TAX,AND
OCCUPATION
GRAVEL TAX,
TAX)OCCUPATION TAX)
1. PROPORTIONAL
2. PROGRESSIVE
759 401072 401072 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
KINDS OF TAXES
OF TAXATION
AS
KINDS
TO GRADUATION
OF TAXES AS
3. TO
OR
REGRESSIVE
GRADUATION
RATE (3 ITEMS)
OR RATE (3 ITEMS)
760 401073 401073 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A KIND OF
OF TAX
TAXATION
IS
BASED
A KIND
ONOF
A FIXED
TAX PROPORTIONAL
BASED
PERCENTAGE
ON A FIXED
OF
TAXPROPERTY,
PERCENTAGERECEIPTS
OF PROPERTY,
OR OTHER
RECEIPTS
BASIS TO
OR BE
OTHER
TAXED
BASIS
(E.G.,
TOVAT).
BE TAXED (E.G., VAT).
761 401074 401074 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A KIND OF
OF TAX
TAXATION
IS
THEA KIND
RATEOF
OFTAX
WHICH
PROGRESSIVE
THEINCREASES
RATE OF WHICH
TAX
AS THEINCREASES
TAX BASE AS
INCREASES
THE TAX (E.G.,
BASE INCREASES
INCOME TAX,
(E.G.,
ESTATE
INCOME
TAX,TAX,
DONOR'S
ESTATE
TAX)
TAX, DONOR'S TAX)
762 401075 401075 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A KIND OF
OF TAX
TAXATION
IS
THEA KIND
RATEOF
OFTAX
WHICH
REGRESSIVE
THEDECREASES
RATE OFTAX
WHICH
AS THE
DECREASES
TAX BASE AS
INCREASES.
THE TAX BASE INCREASES.
763 401076 401076 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TAX OR TOLL:
OF TAXATION
DEMAND
TAX OROF
TOLL:
PROPRIETORSHIP
DEMAND
TOLL OF PROPRIETORSHIP
764 401077 401077 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TAX OR TOLL:
OF TAXATION
DEMAND
TAX OROF
TOLL:
SOVEREIGNTY
DEMAND
TAX OF SOVEREIGNTY
765 401078 401078 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TAX OR TOLL:
OF TAXATION
PAID
TAX
FOR
ORTHE
TOLL:
USEPAID
OFTOLL
ANOTHER'S
FOR THE USE
PROPERTY.
OF ANOTHER'S PROPERTY.
766 401079 401079 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TAX OR TOLL:
OF TAXATION
PAID
TAX
FOR
ORTHE
TOLL:
SUPPORT
PAID
TAX
FOR
OF THE
THE SUPPORT
GOVERNMENT
OF THE GOVERNMENT
767 401080 401080 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TAX OR TOLL:
OF TAXATION
AMOUNT
TAX ORISTOLL:
BASEDAMOUNT
ON
TOLL
COSTISOF
BASED
CONTRUCTION
ON COST OF
ORCONTRUCTION
MAINTENANCEOROFMAINTENANCE
PUBLIC IMPROVEMENT
OF PUBLIC IMPROVEMENT
768 401081 401081 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TAX OR TOLL:
OF TAXATION
BASED
TAXON
OR NECESSITIES
TOLL: BASED
TAXOF
ONTHE
NECESSITIES
STATE OF THE STATE
769 401082 401082 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TAX OR TOLL:
OF TAXATION
IMPOSED
TAX ORBY
TOLL:
GOVERNMENT,
IMPOSED
TOLL BYPRIVATE
GOVERNMENT,
INDIVIDUALS
PRIVATE
OR ENTITIES
INDIVIDUALS OR ENTITIES
770 401083 401083 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TAX OR TOLL:
OF TAXATION
IMPOSED
TAX ORONLY
TOLL:BYIMPOSED
THE
TAXGOVERNMENT
ONLY BY THE GOVERNMENT
771 401084 401084 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TAX OR LICENSE:
OF TAXATION
IMPOSED
TAX OR LICENSE:
FOR REGULATION
IMPOSED
LICENSE FOR REGULATION
772 401085 401085 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TAX OR LICENSE:
OF TAXATION
LEVIED
TAX ORFOR
LICENSE:
REVENUE
LEVIED
TAX FOR REVENUE
773 401086 401086 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TAX OR LICENSE:
OF TAXATION
INVOLVES
TAX OR LICENSE:
EXERCISE
INVOLVES
LICENSE
OF POLICE
EXERCISE
POWEROF POLICE POWER
774 401087 401087 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TAX OR LICENSE:
OF TAXATION
INVOLVES
TAX OR LICENSE:
EXERCISE
INVOLVES
TAXOF TAXING
EXERCISE
POWER OF TAXING POWER
775 401088 401088 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TAX OR LICENSE:
OF TAXATION
AMOUNT
TAX OR LICENSE:
IS LIMITED
AMOUNT
LICENSE
TO EXPENSES
IS LIMITED
OF REGULATION
TO EXPENSES OF REGULATION
776 401089 401089 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TAX OR LICENSE:
OF TAXATION
NO
TAXLIMIT
OR LICENSE:
ON THENO
TAX
AMOUNT
LIMIT ON
TOTHE
BE IMPOSED
AMOUNT TO BE IMPOSED
777 401090 401090 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TAX OR LICENSE:
OF TAXATION
FAILURE
TAX OR LICENSE:
TO PAY MAKES
FAILURE
LICENSETHE
TOACT
PAYOR
MAKES
BUSINESS
THE ACT
ILLEGAL
OR BUSINESS ILLEGAL
778 401091 401091 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TAX OR LICENSE:
OF TAXATION
FAILURE
TAX OR LICENSE:
TO PAY DOES
FAILURE
TAX NOTTO
MAKE
PAY DOES
THE BUSINESS
NOT MAKEILLEGAL
THE BUSINESS ILLEGAL
779 401092 401092 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TAX OR DEBT:
OF TAXATION
BASED
TAX ON
OR DEBT:
CONTRACT
BASED
DEBTON CONTRACT
780 401093 401093 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TAX OR DEBT:
OF TAXATION
BASED
TAX ON
OR DEBT:
LAW BASED
TAX ON LAW
781 401094 401094 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TAX OR DEBT:
OF TAXATION
ASSIGNABLE
TAX OR DEBT: ASSIGNABLE
DEBT
782 401095 401095 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TAX OR DEBT:
OF TAXATION
CANNOT
TAX ORGENERALLY
DEBT: CANNOT
TAX
BE ASSIGNED
GENERALLY BE ASSIGNED
783 401096 401096 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TAX OR DEBT:
OF TAXATION
MAY
TAX
BEOR
PAID
DEBT:
IN KIND
MAY
DEBT
BE PAID IN KIND
784 401097 401097 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TAX OR DEBT:
OF TAXATION
GENERALLY
TAX OR DEBT:
PAYABLE
GENERALLY
TAX
IN MONEY
PAYABLE IN MONEY
785 401098 401098 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TAX OR DEBT:
OF TAXATION
IMPRISONMENT
TAX OR DEBT: IS
IMPRISONMENT
NOT
DEBT
A SANCTION
IS NOT
FOR ANON-PAYMENT
SANCTION FOR NON-PAYMENT
786 401099 401099 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
TAX OR DEBT:
OF TAXATION
IMPRISONMENT
TAX OR DEBT: IS
IMPRISONMENT
ATAX
SANCTION (EXCEPT
IS A SANCTION
POLL TAX)
(EXCEPT POLL TAX)
787 401100 401100 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
MEANS TAXING
OF TAXATION
TWICE
MEANSTHE
TAXING
SAMETWICE
OBJECT
DIRECT
THE
BY
DOUBLE
SAME
THE SAME
TAXATION
OBJECT
TAXING
BY THE
AUTHORITY
SAME TAXING
AND JURISDICTION
AUTHORITY AND
FORJURISDICTION
THE SAME PURPOSE
FOR THEAND
SAME
PERIOD
PURPOSE
(NOTAND
UNCONSTITUTIONAL
PERIOD (NOT UNCONSTITUTIONAL
BUT BEING DISCOURAGED).
BUT BEING DISCOURAGED).
788 401101 401101 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS DOUBLEOF
TAXATION
TAXATION
IS DOUBLE
OTHERTAXATION
THANINDIRECT
DIRECT
OTHER
DUPLICATE
DOUBLE
THAN DIRECT
TAXATION
(E.G., DUPLICATE
INCOME TAX(E.G.,
ON CORPORATIONS
INCOME TAX ONAND
CORPORATIONS
DIVIDEND TAX
ANDONDIVIDEND
SHAREHOLDERS).
TAX ON SHAREHOLDERS).
789 401102 401102 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS THE USEOF
OFTAXATION
ILLEGAL
IS THEOR
USE
FRAUDULENT
OF ILLEGAL
TAX EXASION
OR
MEANS
FRAUDULENT
OR
TO DEFEAT
TAX DODGING
MEANS
OR LESSEN
TO DEFEAT
PAYMENT
OR LESSEN
OF TAX.PAYMENT OF TAX.
790 401103 401103 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS THE USEOF
OFTAXATION
LEGAL
IS THE
ORUSE
PERMISSIBLE
OF LEGAL
TAXMEANS
OR
AVOIDANCE
PERMISSIBLE
TO REDUCE
OR TAX
MEANS
TAX
MINIMIZATION
LIABILITY.
TO REDUCE TAX LIABILITY.
791 401104 401104 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS THE TRANSFER
OF TAXATION
IS
OFTHE
BURDEN
TRANSFER
OF TAX
SHIFTING
OFBY
BURDEN
THE ORIGINAL
OF TAX BY
PAYOR
THE ORIGINAL
OR THE ONE
PAYOR
ON WHOM
OR THETHE
ONETAX
ON WAS
WHOMASSESSED
THE TAXOR
WAS
IMPOSED
ASSESSED
TO ANOTHER
OR IMPOSED
OR SOMEONE
TO ANOTHER
ELSE.
ORITSOMEONE
IS POSSIBLE
ELSE.
ONLY
IT ISWHEN
POSSIBLE
THERE
ONLY
IS AN
WHEN
EXCHANGE
THERE IS
OFAN
COMMODITIES.
EXCHANGE OF COMMODITIES.
792 401105 401105 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS THE REDUCTION
OF TAXATION
IS IN
THE
THE
REDUCTION
PRICE OFCAPITALIZATION
THE
IN THE
TAXED
PRICE
OBJECT
OF THE
EQUAL
TAXED
TOOBJECT
THE CAPITALIZED
EQUAL TO THE
VALUE
CAPITALIZED
OF FUTUREVALUE
TAXESOF
WHICH
FUTURE
THETAXES
PURCHASER
WHICH EXPECTS
THE PURCHASER
TO BE CALLED
EXPECTS
UPON
TO BE
TOCALLED
PAY. UPON TO PAY.
GR: LIBERALLY IN FAVOR OF THE TAXPAYER AND STRICTLY AGAINST THE GOVERNMENT.
793 401106 401106 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
RULES ON OF
THETAXATION
INTERPRETATION
RULES ON THE INTERPRETATION
OFXPN:
TAX IN
LAWS
CASES OF
OF EXEMPTIONS
TAX LAWS AND DEDUCTIONS.
1. THE CONSTITUTION
2. STATUTORY ENACTMENTS
3. ADMINISTRATIVE RULINGS AND REGULATIONS
794 401107 401107 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
SOURCES OFOF TAX
TAXATION
SOURCES
LAWS (4 ITEMS)
OF TAX LAWS
4. JUDICIAL
(4 ITEMS)
DECISIONS
795 401108 401108 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
THE PROVISIONS
OF TAXATION
THE
OF THE
PROVISIONS
_________
CONSTITUTION;
OFDEALING
THE _________
ON TAXATION
CONSTITUTIONAL
DEALING
MERELY
ON TAXATION
REGULATE
MERELY
THE EXERCISE
REGULATEOF THE
THE EXERCISE
POWER OF OFTAXATION.
THE POWERTHEY
OF ARE
TAXATION.
NOT ACTUALLY
THEY AREGRANTS
NOT ACTUALLY
OF POWER,
GRANTS
BECAUSE
OF POWER,
TAXATION
BECAUSE
CAN BETAXATION
EXERCISED
CAN
BY BE
THEEXERCISED
GOVERNMENT
BY THE
EVEN
GOVERNMENT
WITHOUT AEVEN
__________
WITHOUTGRANT.
A __________ GRANT.
796 401109 401109 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
REFER TO THE
OF TAXATION
TAXREFER
LAWSTO
PASSED
THE TAX
BY
STATUTORY
LAWS
THE CONGRESS.
PASSED
ENACTMENTS
BY THE CONGRESS.
797 401110 401110 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
ARE LESS GENERAL
OF TAXATION
ARE
INTERPRETATION
LESS GENERAL
ADMINISTRATIVE
INTERPRETATION
OF TAX LAWS WHICH
RULINGS
OF TAX
ARELAWS
ISSUED
WHICH
FROMARE
TIME
ISSUED
TO TIME
FROM
BY TIME
THE COMMISSIONER
TO TIME BY THE OF
COMMISSIONER
INTERNAL REVENUE.
OF INTERNAL REVENUE.
798 401111 401111 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
ARE INTENDED
OF TAXATION
TOARE
CLARIFY
INTENDED
OR EXPLAIN
TOREGULATIONS
CLARIFY
THE LAW
OR EXPLAIN
AND CARRY
THE LAW
INTO AND
EFFECT
CARRY
ITS GENERAL
INTO EFFECT
PROVISIONS
ITS GENERAL
BY PROVIDING
PROVISIONS
THE
BYDETAILS
PROVIDING
OF ADMINISTRATION
THE DETAILS OF ADMINISTRATION
AND PROCEDURE.AND PROCEDURE.
799 401112 401112 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
REFERS TOOF
DECISIONS
TAXATION
REFERS
OFTO
THEDECISIONS
COURTJUDICIAL
OFOF
TAX
THE
DECISIONS
APPEALS
COURT AND
OF TAX
THEAPPEALS
SUPREMEAND
COURT
THE SUPREME
APPLYINGCOURT
OR INTERPRETING
APPLYING OR
TAX
INTERPRETING
LAWS. TAX LAWS.
GR: NO SET-OFF OR COMPENSATION IS ADMISSIBLE AGAINST DEMANDS FOR TAXES LEVIED FOR GENERAL OR LOCAL PURPOSES.
800 401113 401113 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
RULES ON OF
SET-OFF
TAXATION
RULES
OF TAXES
ON SET-OFFXPN:
OF TAXES
WHERE BOTH THE CLAIMS OF THE GOVERNMENT AND THE TAXPAYER AGAINST EACH OTHER HAVE ALREADY BECOME DUE AND DEMANDABLE AS WELL AS FULLY LIQUIDATE
801 401114 401114 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS A SYSTEM
OFWHICH
TAXATION
IS AITEMIZES
SYSTEM WHICH
THE SCHEDULAR
DIFFERENT
ITEMIZESINCOMES
SYSTEM
THE DIFFERENT
AND PROVIDES
INCOMESFOR
ANDVARIED
PROVIDES
PERCENTAGES
FOR VARIED
OFPERCENTAGES
TAXES TO BE APPLIED
OF TAXES
THERETO.
TO BE APPLIED THERETO.
802 401115 401115 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS AN INCOME
OF TAXATION
TAX
IS SYSTEM
AN INCOME
THATTAX
AGGREGATE
GLOBAL
SYSTEM
SYSTEM
THAT
INCOME
AGGREGATE
FROM ALL
INCOME
SOURCES
FROM
AT THE
ALL SOURCES
INDIVIDUAL
AT OR
THECORPORATE
INDIVIDUALLEVEL.
OR CORPORATE
THE INCOME
LEVEL.
IS THEN
THE INCOME
TAXED ATISATHEN
SINGLE
TAXED
RATE.AT A SINGLE RATE.
803 401116 401116 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
MEANS PLACE
OF TAXATION
OFMEANS
TAXATION
PLACE
OR OF
THE
SITUS
TAXATION
TAXING
OF TAXATION
BODY
OR THE
WHICH
TAXING
HASBODY
JURISDICTION
WHICH HAS
ORJURISDICTION
WHICH EXERCISES
OR WHICH
DOMINION
EXERCISES
OVERDOMINION
THE SUBJECT
OVER
IN QUESTION.
THE SUBJECT IN QUESTION.
804 401117 401117 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
ASSERTS THAT
OF TAXATION
INCOME
ASSERTS
ORTHAT
INTANGIBLE
INCOME
MULTIPLICITY
PERSONAL
OR INTANGIBLE
OFPROPERTIES
SITUSPERSONAL
MAYPROPERTIES
BE SUBJECT MAY
TO TAXATION
BE SUBJECT
IN SEVERAL
TO TAXATION
TAXING
IN SEVERAL
JURISDICTIONS.
TAXING JURISDICTIONS.
1. PROVISION OF EXEMPTIONS
2. ALLOWANCE OF DEDUCTION OR TAX CREDIT FOR FOREIGN TAXES
805 401118 401118 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
REMEDIESOFAGAINST
TAXATION
REMEDIES
MULTIPLICITY
AGAINSTOF
3. MULTIPLICITY
TREATIES
SITUS (3 ITEMS)
WITHOFOTHER
SITUS STATES
(3 ITEMS)
806 401119 401119 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
SITUS OF TAXATION:
OF TAXATION
SITUS
POLL
OF TAX
TAXATION:
ON RESIDENCE
PERSONS
POLL TAX
OFON
THE
PERSONS
PERSON
807 401120 401120 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
SITUS OF TAXATION:
OF TAXATION
SITUS
REAL
OF PROPERTY
TAXATION:
LOCATION
TAX
REAL PROPERTY
OF PROPERTY
TAX
808 401121 401121 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
SITUS OF TAXATION:
OF TAXATION
SITUS
TAXOFON
TAXATION:
TANGIBLE
LOCATION
TAX
PERSONAL
ONOF
TANGIBLE
PROPERTY
PROPERTY
PERSONAL PROPERTY
809 401122 401122 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
SITUS OF TAXATION:
OF TAXATION
SITUS
TAXOFON
TAXATION:
INTANGIBLE
DOMICILE
TAXPERSONAL
ONOF
INTANGIBLE
THE OWNER
PROPERTY
PERSONAL PROPERTY
810 401123 401123 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
SITUS OF TAXATION:
OF TAXATION
SITUS
INCOME
OF TAXATION:
TAX WHERE
INCOME
THE TAXPAYER
TAX IS A CITIZEN OR RESIDENT, OR THE PLACE WHERE THE INCOME IS EARNED.
811 401124 401124 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
SITUS OF TAXATION:
OF TAXATION
SITUS
BUSINESS,
OF TAXATION:
OCCUPATION
PLACE
BUSINESS,
WHERE
AND OCCUPATION
THE
TRANSACTION
BUSINESSAND
IS TAX
DONE,
TRANSACTION
OR THE OCCUPATION
TAX IS ENGAGED IN, OR THE TRANSACTION TOOK PLACE
812 401125 401125 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
SITUS OF TAXATION:
OF TAXATION
SITUS
GRATUITOUS
OF TAXATION:
RESIDENCE
TRANSFER
GRATUITOUS
OF
ORPROPERTY
CITIZENSHIP
TRANSFER OF
OF THE
PROPERTY
TAXPAYER, OR WHRE THE PROPERTY IS LOCATED
813 401126 401126 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS THE PLACE
OF TAXATION
WHERE
IS THE
A PERSON
PLACE WHERE
IS EXPECTED
RESIDENCE
A PERSON
TO LIVE
IS EXPECTED
IN FOR A TO
TEMPORARY
LIVE IN FOR
PERIOD.
A TEMPORARY PERIOD.
814 401127 401127 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
IS THE PLACE
OF TAXATION
WHERE
IS THE
A PERSON
PLACE WHERE
IS PLANNING
DOMICILE
A PERSON
TO LIVE
IS PLANNING
IN FOR ANTOINDEFINITE
LIVE IN FOR
PERIOD.
AN INDEFINITE PERIOD.
815 401128 401128 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
FOR NATIONAL
OF TAXATION
TAXES,
FOR NATIONAL
ALL REVENUE
TAXES,
HOUSE
OR ALL
TARIFF
OFREVENUE
REPRESENTATIVES;
BILLS SHALL
OR TARIFF
ORIGINATE
SENATE
BILLS SHALL
IN THEORIGINATE
__________,
IN THE
BUT__________,
THE __________
BUT MAY
THE __________
PROPOSE ORMAY
CONCUR
PROPOSE
WITHOR
AMMENDMENTS.
CONCUR WITH AMMENDMENTS.
816 401129 401129 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
FOR LOCALOF
TAXES,
TAXATION
FOR
LOCAL
LOCAL
GOVERNMENT
TAXES,TAX
LOCAL
ORDINANCE
UNITS
GOVERNMENT
MAY ENACT
UNITS
LOCAL
MAY
TAXENACT
MEASURES
LOCALTHRU
TAX MEASURES
PASSAGE OF
THRU
A __________.
PASSAGE OF A __________.
817 401130 401130 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
AN ACTIONOFBROUGHT
TAXATION
AN ACTION
BY AN INDIVIDUAL
BROUGHT
TAPAYER'S
BYWHOSE
ANSUIT
INDIVIDUAL
INCOME IS
WHOSE
SUBJECTED
INCOME
TO IS
CHARGES
SUBJECTED
IMPOSED
TO CHARGES
BY THE IMPOSED
STATE FORBYTHE
THEBENEFIT
STATE FOR
OF THAT
THE BENEFIT
INDIVIDUAL
OF THAT
AND INDIVIDUAL
OTHERS IN ORDER
AND OTHERS
TO PREVENT
IN ORDER
THE TO
UNLAWFUL
PREVENTDIVERSION
THE UNLAWFUL
OF PUBLIC
DIVERSION
FUNDS.OF PUBLIC FUNDS.
818 401131 401131 TAX - GENERAL PRINCIPLES
TAX - GENERAL
OF TAXATION
PRINCIPLES
STATES THAT
OF TAXATION
A CLAIM
STATES
FOR
THAT
REFUND
A CLAIM
EQUITABLE
WHICH
FORISREFUND
PREVENTED
RECOUPMENT
WHICH
BY IS
PRESCRIPTION
PREVENTED BY
MAY
PRESCRIPTION
BE ALLOWEDMAY
TO BE
BE USED
ALLOWED
AS PAYMENT
TO BE USED
FORAS
UNSETTLED
PAYMENTLIABILITIES
FOR UNSETTLED
IF BOTH
LIABILITIES
TAXES ARISE
IF BOTH
FROMTAXES
THE ARISE
SAME FROM
TRANSACTION
THE SAME
IN TRANSACTION
WHICH OVERPAYMENT
IN WHICHISOVERPAYMENT
MADE AND UNDERPAYMENT
IS MADE AND UNDERPAYMENT
IS DUE. IS DUE.
1. RESIDENT CITIZENS
2. NON-RESIDENT CITIZENS
3. RESIDENT ALIENS
4. NON-RESIDENT ALIENS ENGAGED IN TRADE OR BUSINESS IN THE PHILS.
819 402001 402001 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
CLASSIFICATION
FOR
ESTATES
INDIVIDUALS,
OF
CLASSIFICATION
AND
INDIVIDUALS
TRUSTS
ESTATES
(5
OF
5.ITEMS)
ANDINDIVIDUALS
NON-RESIDENT
TRUSTS (5 ITEMS)
ALIENS NOT ENGAGED IN TRADE OR BUSINESS IN THE PHILS.
CITIZENS ARE:
1. THOSE WHO ARE CITIZENS OF THE PHILIPPINES AT THE TIME OF THE ADOPTION OF THE CONSTITUTION (FEB. 2, 1987)
2. THOSE WHOSE FATHERS OR MOTHERS ARE CITIZENS OF THE PHILIPPINES;
820 402002 402002 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
QUALIFICATIONS
FOR
ESTATES
INDIVIDUALS,
QUALIFICATIONS
FOR
ANDAN
TRUSTS
INDIVIDUAL
ESTATESFOR
3.AND
THOSE
TOAN
TRUSTS
BEINDIVIDUAL
CONSIDERED
BORN BEFORE
TOABE
JAN.
CITIZEN
CONSIDERED
17, 1973
OF THE
OFAPHILIPPINES
FILIPINO
CITIZEN OF
MOTHERS
(4
THEITEMS)
PHILIPPINES
WHO ELECT(4 ITEMS)
P
821 402003 402003 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
IS A CITIZEN
FOR
ESTATES
OF
INDIVIDUALS,
THE
ISAND
APHILLIPINES
CITIZEN
TRUSTS
ESTATES
OF RESIDING
THE
RESIDENT
AND
PHILLIPINES
TRUSTS
THEREIN.
CITIZEN
RESIDING THEREIN.
1. A CITIZEN OF THE PHILIPPINES WHO ESTABLISHES TO THE SATISFACTION OF THE COMMISSIONER THE FACT OF HIS PHYSICAL PRESENCE ABROAD WITH A DEFINITE INTENTION TO RESIDE THEREIN;
822 402004 402004 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
QUALIFICATIONS
FOR
ESTATES
INDIVIDUALS,
QUALIFICATIONS
FOR
ANDAN
TRUSTS
INDIVIDUAL
ESTATESFOR
2/
ANDA
TOAN
CITIZEN
TRUSTS
BEINDIVIDUAL
CONSIDERED
OF THETO
PHILIPPINES
ABE
NON-RESIDENT
CONSIDERED
WHO LEAVES
ACITIZEN
NON-RESIDENT
THE
(5 ITEMS)
PHILIPPINES
CITIZEN
DURING
(5 ITEMS)
THE TAXABLE YEA
823 402005 402005 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
MEANINGFOR
ESTATES
OFINDIVIDUALS,
THEMEANING
PHRASE
AND TRUSTS
"MOST
ESTATES
OF THEOF
183
PHRASE
AND
THE
DAYS
TRUSTS
TIME"
"MOST
IN AGGREGATE
WITH
OF REGARD
THE TIME"
DURING
TOWITH
THE
THE
PHYSICAL
REGARD
TAXABLE
TO
PRESENCE
YEAR
THE PHYSICAL
ABROADPRESENCE
OF NON-RESIDENT
ABROAD OFCITIZENS
NON-RESIDENT CITIZENS
824 402006 402006 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
ARE INDIVIDUALS
FOR
ESTATES
INDIVIDUALS,
ARE
WHO
ANDINDIVIDUALS
TRUSTS
AREESTATES
NOT FILIPINOS.
ALIENS
WHO
AND TRUSTS
ARE NOT FILIPINOS.
825 402007 402007 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
IS AN INDIVIDUAL
FOR
ESTATES
INDIVIDUALS,
ISWHOSE
AND
AN INDIVIDUAL
TRUSTS
RESIDENCE
ESTATESRESIDENT
WHOSE
AND
IS WITHIN
TRUSTS
RESIDENCE
ALIEN
THE PHILIPPINES
IS WITHIN AND
THE PHILIPPINES
WHO IS NOTAND
A CITIZEN
WHO ISTHEREOF.
NOT A CITIZEN THEREOF.
826 402008 402008 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
IS AN INDIVIDUAL
FOR
ESTATES
INDIVIDUALS,
ISWHO
AND
AN INDIVIDUAL
TRUSTS
COMES
ESTATES
TORESIDENT
THE
WHO
ANDPHILIPPINES
TRUSTS
COMES
ALIEN
TO FOR
THE A
PHILIPPINES
DEFINITE PURPOSE
FOR A DEFINITE
WHICH PURPOSE
IN ITS NATURE
WHICHWOULD
IN ITS REQUIRE
NATURE WOULD
AN EXTENDED
REQUIRE
STAY
ANAND
EXTENDED
TO THAT
STAY
END
AND
MAKES
TO THAT
HIS HOME
END MAKES
TEMPORARILY
HIS HOME
IN TEMPORARILY
THE PHILIPPINES,
IN THE
ALTHOUGH
PHILIPPINES,
IT MAY
ALTHOUGH
BE HIS INTENTION
IT MAY BEATHIS
ALLINTENTION
TIME TO RETURN
AT ALL TIME
TO HIS
TODOMICILE
RETURN TO
A HIS DOMICILE A
827 402009 402009 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
IS AN INDIVIDUAL
FOR
ESTATES
INDIVIDUALS,
ISWHOSE
AND
AN INDIVIDUAL
TRUSTS
RESIDENCE
ESTATESNON-RESIDENT
WHOSE
AND
IS NOT
TRUSTS
RESIDENCE
WITHIN
ALIEN
THE
IS NOT
PHILIPPINES
WITHIN AND
THE PHILIPPINES
WHO IS NOTAND
A CITIZEN
WHO ISTHEREON.
NOT A CITIZEN THEREON.
828 402010 402010 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
IS AN INDIVIDUAL
FOR
ESTATES
INDIVIDUALS,
ISWHO
AND
AN INDIVIDUAL
TRUSTS
COMES
ESTATES
TONON-RESIDENT
THE
WHO
ANDPHILIPPINES
TRUSTS
COMES TO ALIEN
FOR
THE A
PHILIPPINES
DEFINITE PURPOSE
FOR A DEFINITE
WHICH PURPOSE
IN ITS NATURE
WHICHMAY
IN ITS
BE PROMPTLY
NATURE MAY
ACCOMPLISHED.
BE PROMPTLY ACCOMPLISHED.
829 402011 402011 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
IS A NON-RESIDENT
FOR
ESTATES
INDIVIDUALS,
ISAND
AALIEN
NON-RESIDENT
TRUSTS
INDIVIDUAL
ESTATESNON-RESIDENT
AND
ALIEN
WHOTRUSTS
INDIVIDUAL
COMESALIEN
TO THE
WHO
ENGAGED
PHILIPPINES
COMESIN TO
TRADE
AND
THEOR
PHILIPPINES
STAYS
BUSINESS
THEREIN
AND
IN THE
FOR
STAYS
PHILIPPINES
AN THEREIN
AGGREGATE
FORPERIOD
AN AGGREGATE
OF MOREPERIOD
THAN 180
OF MORE
DAYS DURING
THAN 180
ANYDAYS
CALENDAR
DURINGYEAR.
ANY CALENDAR YEAR.
830 402012 402012 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
MEANS THE
FOR
ESTATES
PERTINENT
INDIVIDUALS,
MEANS
AND TRUSTS
ITEMS
THEESTATES
PERTINENT
OF GROSS
TAXABLE
AND TRUSTS
ITEMS
INCOME
INCOME
OFSPECIFIED
GROSS INCOME
IN THE SPECIFIED
TAX CODE,INLESS
THEDEDUCTIONS
TAX CODE, LESS
IF ANY,
DEDUCTIONS
AUTHORIZED
IF ANY,
FORAUTHORIZED
SUCH TYPES OF
FORINCOME
SUCH TYPES
BY THE
OFTAX
INCOME
CODEBY
ORTHE
OTHER
TAX SPECIAL
CODE ORLAWS.
OTHER SPECIAL LAWS.
831 402013 402013 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
INCOMEFOR
TAX
ESTATES
INDIVIDUALS,
BASEINCOME
AND
OF RESIDENT
TRUSTS
TAX
ESTATES
BASE
CITIZENS
TAXABLE
AND
OF RESIDENT
TRUSTS
INCOME
CITIZENS
WITHIN AND WITHOUT (OUTSIDE) THE PHILIPPINES
832 402014 402014 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
INCOMEFOR
TAX
ESTATES
INDIVIDUALS,
BASEINCOME
AND
OF NON-RESIDENT
TRUSTS
TAX
ESTATES
BASETAXABLE
AND
OFCITIZENS
NON-RESIDENT
TRUSTS
INCOME WITHIN
CITIZENS
THE PHILIPPINES
833 402015 402015 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
INCOMEFOR
TAX
ESTATES
INDIVIDUALS,
BASEINCOME
AND
OF RESIDENT
TRUSTS
TAX
ESTATES
BASE
ALIENS
TAXABLE
AND
OF RESIDENT
TRUSTS
INCOME
ALIENS
WITHIN THE PHILIPPINES
834 402016 402016 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
INCOMEFOR
TAX
ESTATES
INDIVIDUALS,
BASEINCOME
AND
OF NON-RESIDENT
TRUSTS
TAX
ESTATES
BASETAXABLE
AND
OFALIENS
NON-RESIDENT
TRUSTS
INCOME
ENGAGED
WITHIN
ALIENS
IN TRADE
THE
ENGAGED
PHILIPPINES
OR BUSINESS
IN TRADE
WITHIN
OR BUSINESS
THE PHILIPPINES
WITHIN THE PHILIPPINES
835 402017 402017 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
INCOMEFOR
TAX
ESTATES
INDIVIDUALS,
BASEINCOME
AND
OF NON-RESIDENT
TRUSTS
TAX
ESTATES
BASETAXABLE
AND
OFALIENS
NON-RESIDENT
TRUSTS
INCOME
NOT ENGAGED
WITHIN
ALIENSIN
THE
NOT
TRADE
PHILIPPINES
ENGAGED
OR BUSINESS
IN TRADE
IN THE
OR BUSINESS
PHILIPPINES
IN THE PHILIPPINES
836 402018 402018 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
COMPUTATION
FOR
ESTATES
INDIVIDUALS,
OF
COMPUTATION
AND
THE TRUSTS
TAXABLE
ESTATES
INCOME
OFHUSBAND
AND
THE TRUSTS
TAXABLE
OF OR
MARRIED
WIFE
INCOME
TAXABLE
INDIVIDUALS
OF MARRIED
INCOME DIRECTLY
INDIVIDUALS
ATTRIBUTABLE TO HIM OR HER + (INCOME OF MARRIED INDIVIDUALS NOT DEFINITELY ATTRIBUTABLE TO ANY OF THE SPOUSES / 2) = HUSBAND OR WIFE TAXABLE INCOME
837 402019 402019 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
REFERS TO
FOR
ESTATES
A INDIVIDUALS,
WORKER
REFERS
ANDINTRUSTS
TO
THE
ESTATES
APRIVATE
WORKER
MINIMUM
AND
SECTOR
INTRUSTS
THEWAGE
PAID
PRIVATE
THE
EARNER
SECTOR
STATUTORY
(MWE)
PAID MINIMUM
THE STATUTORY
WAGEMINIMUM
OR TO AN WAGE
EMPLOYEE
OR TO
IN AN
THEEMPLOYEE
PUBLIC SECTOR
IN THEWITH
PUBLIC
COMPENSATION
SECTOR WITH INCOME
COMPENSATION
OF NOT MORE
INCOME
THAN
OF NOT
THE MORE
STATUTORY
THAN MINIMUM
THE STATUTORY
WAGEMINIMUM
IN THE NON-AGRICULTURAL
WAGE IN THE NON-AGRICULTURAL
SECTOR WHERE HE/OR
SECTOR
SHE
WHERE
IS ASSIGNED.
HE/OR SHE IS ASSIGNED.
838 402020 402020 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
PART OFFOR
TAXABLE
ESTATES
INDIVIDUALS,
PART
INCOME
ANDOF
TRUSTS
TAXABLE
ESTATES
OR EXEMPT:
EXEMPT
INCOME
ANDINCOME
TRUSTS
OR EXEMPT:
OF MINIMUM
INCOME
WAGE
OF MINIMUM
EARNERS WAGE EARNERS
839 402021 402021 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
PART OFFOR
TAXABLE
ESTATES
INDIVIDUALS,
PART
INCOME
ANDOF
TRUSTS
TAXABLE
ESTATES
OR EXEMPT:
EXEMPT
INCOME
ANDHOLIDAY
TRUSTS
OR EXEMPT:
PAY, OVERTIME
HOLIDAYPAY,
PAY,NIGHT
OVERTIME
SHIFTPAY,
DIFFERENTIAL
NIGHT SHIFT
PAYDIFFERENTIAL
AND HAZARDPAY
PAYAND
RECEIVED
HAZARDBYPAY
MINIMUM
RECEIVED
WAGE
BY MINIMUM
EARNERS WAGE EARNERS
840 402022 402022 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
TAX RATE
FOR
ESTATES
APPLICABLE
INDIVIDUALS,
TAX
ANDRATE
TO
TRUSTS
INDIVIDUALS
ESTATES
APPLICABLE
GRADUATED
ANDEARNING
TO
TRUSTS
INDIVIDUALS
INCOME
PURELYEARNING
TAX
COMPENSATION
RATESPURELY INCOME
COMPENSATION
(EXCLUDING
INCOME
NRA-NETB)
(EXCLUDING NRA-NETB)
 AT THE OPTION OF THE TAXPAYER IF HE MEETS SPECIFIC CRITERION STATED BELOW:
1. GRADUATED INCOME TAX RATES (DEFAULT IF TAXPAYER DID NOT ELECT HIS CHOICE)
841 402023 402023 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
TAX RATE
FOR
ESTATES
APPLICABLE
INDIVIDUALS,
TAX
ANDRATE
TO
TRUSTS
SELF-EMPLOYED
ESTATES
APPLICABLE
2.AND
IF TO
TOTAL
TRUSTS
INDIVIDUALS
SELF-EMPLOYED
GROSS SALES/RECEIPTS
AND/OR
INDIVIDUALS
PROFESSIONALS
AND
AND/OR
OTHER(EXCLUDING
PROFESSIONALS
NON-OPERATING
NRA-NETB)
(EXCLUDING
INCOME
(2 ITEMS)
DONRA-NETB)
NOT EXCEED
(2 ITEMS)
THE VAT THRESHOLD, 8 PERCENT TAX
842 402024 402024 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
TAX RATE
FOR
ESTATES
APPLICABLE
INDIVIDUALS,
TAX
ANDRATE
TO
TRUSTS
MIXED
ESTATES
APPLICABLE
INCOME
GRADUATED
ANDTO
TRUSTS
EARNERS
MIXED
INCOME
INCOME
WITHTAX
RESPECT
EARNERS
RATESTOWITH
ALL INCOME
RESPECTFROM
TO ALLCOMPENSATION
INCOME FROM (EXCLUDING
COMPENSATION
NRA-NETB)
(EXCLUDING NRA-NETB)
AT THE OPTION OF THE TAXPAYER IF HE MEETS SPECIFIC CRITERION STATED BELOW:
1. GRADUATED INCOME TAX RATES (DEFAULT IF TAXPAYER DID NOT ELECT HIS CHOICE)
843 402025 402025 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
TAX RATE
FOR
ESTATES
APPLICABLE
INDIVIDUALS,
TAX
ANDRATE
TO
TRUSTS
MIXED
ESTATES
APPLICABLE
INCOME
2.AND
IF TO
TOTAL
TRUSTS
EARNERS
MIXED
GROSS
INCOME
WITH
SALES/RECEIPTS
RESPECT
EARNERSTOWITH
ALL
ANDINCOME
RESPECT
OTHER NON-OPERATING
FROM
TO ALLBUSINESS
INCOME OR
FROM
INCOME
PRACTICE
BUSINESS
DO NOT
OF PROFESSION
OR
EXCEED
PRACTICE
THE(EXCLUDING
OF
VATPROFESSION
THRESHOLD,
NRA-NETB)
(EXCLUDING
8 PERCENT TAX
NRA-NETB)
1. VAT-REGISTERED TAXPAYERS REGARDLESS OF GROSS SALES/RECEIPTS;
2. TAXPAYERS WHO ARE SUBJECT TO OTHER PERCENTAGE TAXES UNDER TITLE V OF THE TAX CODE, AS AMENDED, EXCEPT THOSE SUBJECT UNDER SECTION 116 OF THE SAME TITLE;
844 402026 402026 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
INDIVIDUALS
FOR
ESTATES
INDIVIDUALS,
WHOINDIVIDUALS
AND
MAYTRUSTS
NOT
ESTATES
AVAIL
WHO3.AND
OF
MAY
PARTNERS
THE
TRUSTS
NOT
8 PERCENT
AVAIL
OF AOF
GENERAL
INCOME
THE 8 PERCENT
PROFESSION
TAX RATE
INCOME
OPTIONTAX
(3 ITEMS)
RATE OPTION (3 ITEMS)
845 402027 402027 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
COMPUTATION
FOR
ESTATES
INDIVIDUALS,
OF
COMPUTATION
AND
INCOME
TRUSTS
ESTATES
TAX DUE
OF
GROSS
AND
INCOME
OF NON-RESIDENT
TRUSTS
INCOME
TAX DUE
DERIVED
OFALIENS
NON-RESIDENT
FROMNOT
ALLENGAGED
SOURCES
ALIENS
INWITHIN
NOT
TRADE
ENGAGED
THE
OR BUSINESS
PHILIPPINES
IN TRADE
IN THE
*OR
25BUSINESS
PHILIPPINES
PERCENT =ININCOME
THE PHILIPPINES
TAX DUE OF NRA-NETB
1. ITEMIZED DEDUCTIONS (DEFAULT UNLESS THE TAXPAYER SIGNIFIES HIS INTENTION TO ELECT OSD)
846 402028 402028 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
ALLOWABLE
FOR
ESTATES
DEDUCTION
INDIVIDUALS,
ALLOWABLE
AND TRUSTS
SCHEMES
ESTATES
DEDUCTION
2.
FOR
AND
OPTIONAL
INCOME
TRUSTS
SCHEMES
STANDARD
TAXFOR
PURPOSES
INCOME
DEDUCTION
(2TAX
ITEMS)
PURPOSES
(OSD) (2 ITEMS)
847 402029 402029 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
IN __________,
FOR
ESTATES
INDIVIDUALS,
ALL
INAND
__________,
EXPENSES
TRUSTS
ESTATES
AREALL
ITEMIZED
TRACKED
AND
EXPENSES
TRUSTS
DEDUCTIONS
TO ARE
GET TRACKED
THE NET EXPENSE
TO GET THE
WHICH
NET WILL
EXPENSE
THEN
WHICH
BE DEDUCTED
WILL THEN
TOBE
A TAXPAYER'S
DEDUCTED TOGROSS
A TAXPAYER'S
INCOME TOGROSS
GET HIS/HER
INCOMETAXABLE
TO GET HIS/HER
INCOME.TAXABLE INCOME.
848 402030 402030 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
IN LIEU OF
FOR
ESTATES
ITEMIZED
INDIVIDUALS,
INAND
LIEU
DEDUCTIONS,
TRUSTS
OFESTATES
ITEMIZED
OPTIONAL
ALL
AND
DEDUCTIONS,
INDIVIDUALS,
TRUSTS
STANDARD
ALL
SUBJECT
INDIVIDUALS,
DEDUCTION
TO TAX(OSD)
UNDER
SUBJECTSECTION
TO TAX 24,
UNDER
OTHER
SECTION
THAN 24,
NRA,OTHER
MAY ELECT
THAN THE
NRA,__________,
MAY ELECT THE
IN AN
__________,
AMOUNT NOTIN AN
EXCEEDING
AMOUNT 40
NOT
PERCENT
EXCEEDING
OF HIS/HER
40 PERCENT
GROSS
OFSALES/RECEIPTS,
HIS/HER GROSS AS
SALES/RECEIPTS,
THE CASE MAYASBE.THE CASE MAY BE.
849 402031 402031 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AN INDIVIDUAL
FOR
ESTATES
INDIVIDUALS,
WHO
AN
AND
INDIVIDUAL
IS TRUSTS
ENTITLED
ESTATES
WHO
TO
FINANCIAL
AND
AND
IS TRUSTS
ENTITLED
CLAIMED
STATEMENTS;
TO
FOR
AND
THECLAIMED
GROSS
OSD SHALL
SALES/RECEIPTS
FORNOT
THEBE
OSD
REQUIRED
SHALL NOT
TO BE
SUBMIT
REQUIRED
WITHTO
HISSUBMIT
TAX RETURN
WITH SUCH
HIS TAX
__________
RETURN SUCH
OTHERWISE
__________
REQUIRED
OTHERWISE
UNDERREQUIRED
THE TAX CODE.
UNDERTHE
THESAID
TAXINDIVIDUAL
CODE. THE SAID
SHALLINDIVIDUAL
ONLY KEEPSHALL
SUCH ONLY
RECORDS
KEEPPERTAINING
SUCH RECORDS
TO HIS
PERTAINING
__________.
TO HIS __________.
850 402032 402032 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
REFERS TO
FOR
ESTATES
THE
INDIVIDUALS,
MASS
REFERS
ANDOFTRUSTS
TO
ALL
ESTATES
THE
PROPERTY,
MASS
ESTATE
ANDOFRIGHTS
TRUSTS
ALL PROPERTY,
AND OBLIGATIONS
RIGHTS AND
OF OBLIGATIONS
A PERSON WHICH
OF AARE
PERSON
NOT EXTINGUISHED
WHICH ARE NOTBYEXTINGUISHED
HIS DEATH. BY HIS DEATH.
851 402033 402033 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
IS A RIGHT
FOR
ESTATES
ON
INDIVIDUALS,
PROPERTY,
ISAND
A RIGHT
TRUSTS
REAL
ESTATES
ON OR
PROPERTY,
TRUST
PERSONAL,
AND TRUSTS
REAL
HELD
OR PERSONAL,
BY ONE PARTY
HELD
FOR
BYTHE
ONEBENEFIT
PARTY FOR
OF ANOTHER.
THE BENEFIT OF ANOTHER.
1. IF UNDER THE TERMS OF THE TRUST, THE TITLE TO ANY PART OF THE CORPUS/PRINCIPAL OF THE TRUST MAY BE REVESTED TO THE GRANTOR (REVOCABLE), THE INCOME OF THE PART OF THE CORPUS/PRINCIPAL SHALL BE TAXABLE TO THE GRANTOR.
852 402034 402034 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
CASES WHEN
FOR
ESTATES
INDIVIDUALS,
THECASES
INCOME
AND TRUSTS
WHEN
ESTATES
OF THE
THETRUST
2.
INCOME
AND
IF UNDER
TRUSTS
IS TAXABLE
OF THE TERMS
TRUST
TO THE
IS
OFGRANTOR
TAXABLE
THE TRUST,
TO
(2 THE
ITEMS)
GRANTOR (2 ITEMS)
1. IT IS A SPECIAL ITEM OF DEDUCTION FOR THE ESTATE/TRUST;
853 402035 402035 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
TREATMENT
FOR
ESTATES
INDIVIDUALS,
OF INCOME
TREATMENT
AND TRUSTS
DISTRIBUTION
ESTATES
OF INCOME
2.AND
IT IS
OF
TRUSTS
ALSO
DISTRIBUTION
THE YEAR'S
A SPECIAL
INCOME
OF
ITEM
THEOF
TO
YEAR'S
INCOME
HEIR INCOME
(IN ESTATES)
TO THE
TOHEIR/BENEFICIARY.
HEIR
OR BENEFICIARY
(IN ESTATES) (IN
OR TRUSTS)
BENEFICIARY (IN TRUSTS)
854 402036 402036 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
COMPUTATION
FOR
ESTATES
INDIVIDUALS,
OF
COMPUTATION
AND
THE TRUSTS
TAXABLE
ESTATES
INCOME
OFGROSS
AND
THE TRUSTS
TAXABLE
INCOME
OF THE ESTATE
INCOME
- DEDUCTIONS
OR
OFTRUST
THE"BUSINESS
ESTATE OREXPENSES
TRUST AND DISTRIBUTION OF THE YEAR'S INCOME TO THE HEIR OR BENEFICIARY" = TAXABLE INCOME
855 402037 402037 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
IS THE FORM
FOR
ESTATES
INDIVIDUALS,
IN WHICH
ISAND
THE TRUSTS
A
FORM
TAXPAYER
ESTATES
IN WHICH
INCOME
AND
FILESTRUSTS
AINFORMATION
TAXPAYER
TAX RETURN
FILES
(ITR)
ABOUT
INFORMATION
HIS/HER INCOME
ABOUT HIS/HER
AND TAXINCOME
THEREON
AND
TOTAX
THETHEREON
BUREAU OF
TOINTERNAL
THE BUREAU
REVENUE
OF INTERNAL
(BIR). REVENUE (BIR).
856 402038 402038 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
ITR FILING
FOR
ESTATES
REQUIREMENT
INDIVIDUALS,
ITR
AND
FILING
TRUSTS
FOR
ESTATES
REQUIREMENT
SEVERAL
AAND
SEPARATE
TRUSTS
TRUSTS
FORRETURN
SEVERAL
WITH A WILL
COMMON
TRUSTS
HAVE
WITH
GRANTOR
TO BE
A COMMON
FILED
AND
FOR
COMMON
GRANTOR
EACH TRUST
BENEFICIARY
ANDBYCOMMON
THE RESPECTIVE
BENEFICIARY
TRUSTEE OR FIDUCIARY WHICH WILL THEN BE CONSOLIDATED IN THE BIR.
857 402039 402039 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
COMPUTATION
FOR
ESTATES
INDIVIDUALS,
OF
COMPUTATION
AND
THE TRUSTS
APPORTIONMENT
ESTATES
OF
APPORTIONED
AND
THE TRUSTS
APPORTIONMENT
OF CONSOLIDATED
INCOME TAX
OFINCOME
CONSOLIDATED
TO THE TAX
TRUST
TO=DIFFERENT
INCOME
(TAXABLETAX
INCOME
TRUSTS
TO DIFFERENT
WHEN
OF THETHERE
TRUST
TRUSTS
ARE
/ TAXABLE
WHEN
SEVERAL
THERE
INCOME
TRUSTS
AREOF
SEVERAL
WITH
ALLATRUSTS)
COMMON
TRUSTS/ CONSOLIDATED
WITH
GRANTOR
A COMMON
ANDINCOME
A GRANTOR
COMMON
TAX AND
BENEFICIARY
A COMMON BENEFICIARY
858 402040 402040 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
COMPUTATION
FOR
ESTATES
INDIVIDUALS,
OF
COMPUTATION
AND
THE TRUSTS
INCOME
ESTATES
TAX
OF
INCOME
AND
THE
STILLTRUSTS
INCOME
DUE
TAX OF
APPORTIONED
TAX
A TRUST
STILL WHEN
DUETOOFTHE
THERE
A TRUST
TRUST
AREWHEN
-SEVERAL
INCOME
THERE
TRUSTS
TAXARE
ALREADY
SEVERAL
WITH APAID
COMMON
TRUSTS
BY THE
WITH
GRANTOR
FIDUCIARY
A COMMON
AND
OF THE
A GRANTOR
COMMON
TRUST =AND
INCOME
BENEFICIARY
A COMMON
TAX STILLBENEFICIARY
DUE
859 402041 402041 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
INDIVIDUALS
FOR
ESTATES
INDIVIDUALS,
REQUIRED
INDIVIDUALS
AND TRUSTS
TOESTATES
FILEREQUIRED
ITRALL
ANDINDIVIDUALS
TRUSTS
TO FILE ITREXCEP NRA-NETB
860 402042 402042 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
INDIVIDUAL
FOR
ESTATES
TAXPAYERS
INDIVIDUALS,
INDIVIDUAL
AND TRUSTS
SHALL
ESTATES
TAXPAYERS
NOTHE/SHE
BE
ANDREQUIRED
TRUSTS
SHALL
IS RECEIVING
NOT
TO BE
FILEPURELY
REQUIRED
AN ANNUAL
COMPENSATION
TO ITR
FILEIFAN ANNUAL
INCOME,
ITR REGARDLESS
IF OF AMOUNT, FROM ONLY ONE EMPLOYER IN THE PHILIPPINES FOR THE CALENDAR YEAR, THE INCOME TAX OF WHICH HAS BEEN WITHHELD CORRECTLY BY THE SAID EMPLOYER (TAX DUE EQUALS TAX WITHHELD).
EXCEPT IN CASES WHERE THE COMMISSIONER OTHERWISE PERMITS, THE RETURN SHALL BE FILED WITH:
1. AN AUTHORIZED AGENT BANK,
2. REVENUE DISTRICT OFFICER,
861 402043 402043 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
OFFICES FOR
WHERE
ESTATES
INDIVIDUALS,
ITR
OFFICES
AND
IS FILED
TRUSTS
WHERE
ESTATES
(4 ITEMS)
ITR
3.AND
COLLECTION
IS FILED
TRUSTS
(4 ITEMS)
AGENT OR DULY AUTHORIZED TREASURER OF THE CITY OR MUNICIPALITY IN WHICH SUCH PERSON HAS A LEG
1. FIRST QUARTER - MAY 15 OF THE CURRENT YEAR
2. SECOND QUARTER - AUGUST 15 OF THE CURRENT YEAR
3. THIRD QUARTER - NOVEMBER 15 OF THE CURRENT YEAR
862 402044 402044 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
DATE OFFOR
FILING
ESTATES
INDIVIDUALS,
OF
DATE
AND
ITR OF
(4
TRUSTS
ITEMS)
FILING
ESTATES
OF4.AND
ITR
FINAL
(4
TRUSTS
ITEMS)
ADJUSTED RETURN - APRIL 15 OF THE SUCCEEDING YEAR
863 402045 402045 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
TIME WHEN
FOR
ESTATES
INCOME
INDIVIDUALS,
TIME
ANDTAX
WHEN
TRUSTS
ISESTATES
PAID
INCOME
THE
ANDTAX
INCOME
TRUSTS
IS PAID
TAX IS PAID AS THE RETURN IS FILED
864 402046 402046 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
MEANS ALL
FOR
ESTATES
INCOME
INDIVIDUALS,
MEANS
AND
DERIVED
TRUSTS
ALLESTATES
INCOME
FROM
GROSS
AND
WHATEVER
DERIVED
TRUSTS
INCOME
FROM
SOURCE.
WHATEVER SOURCE.
865 402047 402047 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
ACTUAL
AND
TREATMENT
TRUSTS
TAXATION,
AMOUNTFORPAID
TREATMENT
COMPENSATION
IS TAXABLE.
FOR FOR
COMPENSATION
PERSONAL SERVICES
FOR PERSONAL
RENDERED
SERVICES
PAID IN
RENDERED
CASH PAID IN CASH
866 402048 402048 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
COMPENSATION
AND
TREATMENT
TRUSTS
TAXATION,
FOR
INCOME
TREATMENT
COMPENSATION
IS THE FOR
FAIRFOR
COMPENSATION
MARKET
PERSONAL
VALUESERVICES
OF
FORTHE
PERSONAL
PROPERTY
RENDERED
SERVICES
RECEIVED.
PAID IN
RENDERED
KIND PAID IN KIND
867 402049 402049 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
TAXABLE
AND
TREATMENT
TRUSTS
TAXATION,
FOR TREATMENT
COMPENSATION
FOR FOR
COMPENSATION
PERSONAL SERVICES
FOR PERSONAL
RENDERED
SERVICES
PAID IN
RENDERED
THE FORM
PAID
OF TIPS
IN THE
AND
FORM
GRATUITIES
OF TIPS AND GRATUITIES
868 402050 402050 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
IFAND
TREATMENT
THE TRUSTS
NOTE
TAXATION,
CAN
FOR
BETREATMENT
COMPENSATION
DISCOUNTED,
FORTHE
PAID
COMPENSATION
FAIR
IN MARKET
PROMISSORY
VALUE
PAIDNOTE
INOF
PROMISSORY
THE NOTE UPON
NOTERECEIPT IS THE FAIR DICOUNTED VALUE.
IF THEY ARE:
1. ORDINARY AND NECESSARY EXPENSES OF THE EMPLOYER;
2. PAID OR INCURRED IN THE PURSUIT OF TRADE, BUSINESS OR PROFESSION; AND/OR
869 402051 402051 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
3.AND
TRANSPORTATION,
THETRUSTS
EMPLOYEE
TAXATION,ISTRANSPORTATION,
REQUIRED
REPRESENTATION
TO ACCOUNT/LIQUIDATE.
REPRESENTATION
AND OTHER ALLOWANCES
AND OTHER
RECEIVED
ALLOWANCES
BY OFFICIALS
RECEIVED
OR EMPLOYEES
BY OFFICIALSARE
OR TAXABLE
EMPLOYEES
AS COMPENSATION
ARE TAXABLE AS INCOME.
COMPENSATION
EXCEPTIONS
INCOME.
TO THIS
EXCEPTIONS
RULE (3 ITEMS)
TO THIS RULE (3 ITEMS)
870 402052 402052 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
TAXABLE
AND
TREATMENT
TRUSTS
TAXATION,
INCOME
FORIFTREATMENT
EXCESS
SUCH AMOUNT
ADVANCES
FOR IS
EXCESS
NOT
OVERRETURNED
ADVANCES
THE ACTUAL
TO
OVER
EXPENSES
THETHE
EMPLOYER.
ACTUAL
INCURRED
EXPENSES
FOR TRANSPORTATION,
INCURRED FOR TRANSPORTATION,
REPRESENTATIONREPRESENTATION
AND OTHER ALLOWANCES
AND OTHER
RECEIVED
ALLOWANCES
BY OFFICIALS
RECEIVED
OR EMPLOYEES
BY OFFICIALS OR EMPLOYEES
871 402053 402053 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
TAXABLE
AND
TREATMENT
TRUSTS
TAXATION,
EXCEPT
FOR
MONETIZED
TREATMENT
VACATIONVALUE
AND
FORSICK
VACATION
OF UNUTILIZED
LEAVE ALLOWANCES
AND VACATION
SICK LEAVELEAVE
ALLOWANCES
CREDITS NOT EXCEEDING 10 DAYS.
872 402054 402054 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
TAXABLE
AND
TREATMENT
TRUSTS
TAXATION,
INCOME
FORTO
TREATMENT
CONDONATION
THE DEBTOR.
FOROF
CONDONATION
DEBT IF DEBTOR
OFRENDERED
DEBT IF DEBTOR
SERVICES
RENDERED
TO THE SERVICES
CREDITORTO THE CREDITOR
873 402055 402055 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
TAXABLE
AND
TREATMENT
TRUSTS
TAXATION,
TO THE
FOR
CREDITOR
TREATMENT
CONDONATION
AS GIFT
FORGIVEN
OF
CONDONATION
DEBT
TOIFTHE
NO DEBTOR.
SERVICES
OF DEBTWERE
IF NORENDERED
SERVICES WERE
BY THERENDERED
DEBTOR TO
BYTHE
THECREDITOR
DEBTOR TO THE CREDITOR
874 402056 402056 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
ITAND
TREATMENT
HASTRUSTS
THE
TAXATION,
EFFECT
FOROF
TREATMENT
CONDONATION
A PAYMENT
FOR
OF
OF
CONDONATION
DIVIDEND.
DEBT WHEN THE
OF CREDITOR
DEBT WHENIS THE
A CORPORATION
CREDITOR IS A
WHILE
CORPORATION
THE DEBTOR
WHILE
IS A THE
STOCKHOLDER
DEBTOR IS A STOCKHOLDER
875 402057 402057 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
AMOUNT
AND
TREATMENT
TRUSTS
TAXATION,
CONDONED
FOR TREATMENT
CONDONATION
IS CONSIDERED
FOROF
CONDONATION
AS
DEBT
AN ADDITIONAL
WHEN THE
OF CREDITOR
DEBT
INVESTMENT.
WHENIS THE
A STOCKHOLDER
CREDITOR IS WHILE
A STOCKHOLDER
THE DEBTOR
WHILE
IS THE
THECORPORATION
DEBTOR IS THE CORPORATION
APPLICATION OF THE TAX BENEFIT RULE:
1. TAXABLE - IF DEDUCTION OF BAD DEBT HAS REDUCED THE TAX LIABILITY OF TAXPAYER.
876 402058 402058 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
2.AND
TREATMENT
NOTTRUSTS
TAXABLE
TAXATION,
FOR
- IFTREATMENT
RECOVERY
THERE WAS
OFFOR
NO
BAD
REDUCTION
RECOVERY
DEBT PREVIOUSLY
OF
INBAD
THE DEBT
TAX
DEDUCTED
LIABILITY
PREVIOUSLY
(2OF
SCENARIOS)
TAXPAYER.
DEDUCTED (2 SCENARIOS)
877 402059 402059 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
SUBJECT
AND
TREATMENT
TRUSTS
TAXATION,
TO 10 FOR
PERCENT
TREATMENT
TAX INFORMER'S
FINAL WITHHOLDING
FOR TAX
REWARD
INFORMER'S
TAX OF REWARDS
REWARD RECEIVED.
878 402060 402060 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
DETERMINATION
FOR
ESTATES
INDIVIDUALS,
DETERMINATION
OF
AND
THETRUSTS
AMOUNT
ESTATES10
OF
TO
AND
PERCENT
THE
BETRUSTS
PAID
AMOUNT
OF
TO AMOUNT
INFORMER
TO BE PAID
COLLECTED
ASTO
TAXINFORMER
INFORMER'S
BY THEAS
GOVERNMENT
TAX
REWARD
INFORMER'S
NOT REWARD
EXCEEDING P1,000,000.00.
879 402061 402061 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
TAXABLE
AND
TREATMENT
TRUSTS
TAXATION,
INCOME
FORTO
TREATMENT
RENT
THEFOR
LESSOR
THE
FOR
BUT
USE
RENT
DEDUCTIBLE
OF PROPERTY
FOR THE EXPENSE
USE OF PROPERTY
TO THE LESSEE.
880 402062 402062 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
CONSTITUTES
AND
TREATMENT
TRUSTS
TAXATION,
ADDITIONAL
FOR TREATMENT
TAXES ASSUMED
RENTFOR
ANDTAXES
BY
TAXABLE
LESSEE
ASSUMED
INCOME
ON BEHALF
BYTO
LESSEE
OF
THETHE
LESSOR.
ONLESSOR
BEHALF OF THE LESSOR
1. OUTRIGHT METHOD
881 402063 402063 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
METHODSFOR
ESTATES
ININDIVIDUALS,
WHICH
METHODS
AND
INCOME
TRUSTS
ESTATES
INMAY
WHICH
2.
BE
AND
SPREAD
REPORTED
INCOME
TRUSTS
OUT
MAY
BY
METHOD
BE
THEREPORTED
LESSOR IFBY
LEASEHOLD
THE LESSOR
IMPROVEMENTS
IF LEASEHOLD ON
IMPROVEMENTS
LEASED PREMISES
ON LEASED
WILL GO
PREMISES
TO HIM UPON
WILL GO
TERMINATION
TO HIM UPON
(2 TERMINATION
ITEMS) (2 ITEMS)
882 402064 402064 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
IS A METHOD
FOR
ESTATES
INDIVIDUALS,
OF RECOGNIZING
ISAND
A METHOD
TRUSTS
ESTATES
OF
INCOME
RECOGNIZING
OUTRIGHT
AND BY
TRUSTS
THE
METHOD
LESSOR,
INCOMEFROM
BY THE
LEASEHOLD
LESSOR, FROM
IMPROVEMENTS
LEASEHOLD TO
IMPROVEMENTS
BE TRANSFERRED
TO BE
TOTRANSFERRED
HIM UPON THE
TOTERMINATION
HIM UPON THE
OFTERMINATION
THE CONTRACT,
OFWHEREIN
THE CONTRACT,
THE FAIR
WHEREIN
MARKETTHE
VALUE
FAIROF
MARKET
THE IMPROVEMENTS
VALUE OF THE IN
IMPROVEMENTS
THE YEAR OF COMPLETION
IN THE YEAR OF
IS REPORTED
COMPLETION
AS INCOME.
IS REPORTED AS INCOME.
883 402065 402065 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
IS A METHOD
FOR
ESTATES
INDIVIDUALS,
OF RECOGNIZING
ISAND
A METHOD
TRUSTS
ESTATES
OF
INCOME
RECOGNIZING
SPREAD
AND BY
TRUSTS
OUT
THE METHOD
LESSOR,
INCOMEFROM
BY THE
LEASEHOLD
LESSOR, FROM
IMPROVEMENTS
LEASEHOLD TO
IMPROVEMENTS
BE TRASFERRED
TOTO
BEHIM
TRASFERRED
UPON THE
TOTERMINATION
HIM UPON THE
OFTERMINATION
THE CONTRACT,
OFWHEREIN
THE CONTRACT,
THE BOOK
WHEREIN
VALUETHE
OF THE
BOOKIMPROVEMENTS
VALUE OF THE AT
IMPROVEMENTS
THE TERMINATION
AT THE
OFTERMINATION
THE LEASE CONTRACT
OF THE LEASE
IS SPREAD
CONTRACT
OVER THE
IS SPREAD
REMAINING
OVER TER
THE REMAINING TER
884 402066 402066 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
THE
AND
TREATMENT
LESSEE
TRUSTS
TAXATION,
MAY
FOR
CLAIM
TREATMENT
DEPRECIATION
DEPRECIATION
FOR
ONDEPRECIATION
THE
OF IMPROVEMENTS
LEASEHOLD
ONIMPROVEMENTS
THEOVER
LEASEHOLD
THE REMAINING
IMPROVEMENTS
TERM OF THE LEASE OR THE LIFE OF THE IMPROVEMENTS, WHICHEVER IS SHORTER.
885 402067 402067 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
THE
AND
TREATMENT
INCOME
TRUSTS
TAXATION,
TOFOR
BE TREATMENT
PREMATURE
REPORTED BYFOR
TERMINATION
THEPREMATURE
LESSOR SHALL
OFTERMINATION
THE
BELEASE
COMPUTED
WHEN
OF THE
BY
THERE
SUBTRACTING
LEASE
AREWHEN
LEASEHOLD
THE
THERE
AMOUNTS
IMPROVEMENTS
ARE LEASEHOLD
ALREADYTO
IMPROVEMENTS
REPORTED
BE TRANSFERRED
AS INCOME
TO BE
TOTRANSFERRED
THE
BY THE
LESSOR
LESSORTOFROM
THE LESSOR
THE BOOK VALUE UPON TERMINATION.
GR: EXCLUSION FROM GROSS INCOME
886 402068 402068 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
XPN:
AND
TREATMENT
TAXABLE
TRUSTS
TAXATION,
FOR
IF THE
TREATMENT
PROCEEDS
INSUREDOF
OUTLIVES
FOR
LIFEPROCEEDS
INSURANCE
THE POLICY.
OFPAYABLE
LIFE INSURANCE
UPON THE
PAYABLE
DEATHUPON
OF THE
THE
INSURED
DEATH OF THE INSURED
887 402069 402069 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
EXCLUSION
AND
TREATMENT
TRUSTS
TAXATION,
FROM
FORGROSS
TREATMENT
RETURN
INCOME
OF PREMIUMS
FOR RETURN
EITHER
OF PREMIUMS
DURING THE
EITHER
TERM,
DURING
AT THETHE
MATURITY
TERM, ATOR
THE
UPON
MATURITY
SURRENDER
OR UPON
OF THE
SURRENDER
INSURANCE
OFCONTRACT
THE INSURANCE CONTRACT
888 402070 402070 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
EXCLUSION
AND
TREATMENT
TRUSTS
TAXATION,
FROM
FORGROSS
TREATMENT
THE VALUE
INCOME
OF
FOR
PROPERTY
THE VALUE
ACQUIRED
OF PROPERTY
BY GIFT,
ACQUIRED
BEQUEST,
BYDEVISE
GIFT, BEQUEST,
OR DESCENT
DEVISE OR DESCENT
889 402071 402071 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
EXCLUSION
AND
TREATMENT
TRUSTS
TAXATION,
FROM
FORGROSS
TREATMENT
COMPENSATION
INCOME
FOR FOR
COMPENSATION
PERSONAL INJURIES
FOR PERSONAL
OR SICKNESS
INJURIES
RECEIVED
OR SICKNESS
FROM INSURANCE
RECEIVED FROM
PLUSINSURANCE
DAMAGES PLUS DAMAGES
890 402072 402072 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
EXCLUSION
AND
TREATMENT
TRUSTS
TAXATION,
FROM
FORGROSS
TREATMENT
INCOME
INCOME
OF ANY
FOR KIND
INCOME
WHICH
OF ANY
ARE KIND
CONTAINED
WHICH IN
AREA TREATY
CONTAINED
BINDING
IN A TREATY
UPON THE
BINDING
PHILIPPINE
UPONGOVERNMENT
THE PHILIPPINE GOVERNMENT
1. THE EMPLOYER MUST MAINTAIN A PRIVATE PENSION PLAN WHICH IS APPROVED BY THE BIR;
2. THE EMPLOYEE HAS BEEN IN THE SERVICE OF THE SAME EMPLOYER FOR AT LEAST 10 YEARS;
3. THE RETIRING EMPLOYEE MUST NOT BE LESS THAN 50 YEARS OLD UPON RETIREMENT; AND
891 402073 402073 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
REQUISITES
FOR
ESTATES
FOR
INDIVIDUALS,
RETIREMENT
REQUISITES
AND TRUSTS
ESTATES
FOR
BENEFITS
RETIREMENT
4.AND
THE
TO
TRUSTS
BE CONSIDERED
BENEFITS TOAS
BEEXCLUSIONS
CONSIDEREDFROM
AS EXCLUSIONS
GROSS INCOME
FROM(4GROSS
ITEMS)INCOME (4 ITEMS)
892 402074 402074 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
REQUISITES
FOR
ESTATES
FOR
INDIVIDUALS,
SEPARATION
REQUISITES
AND TRUSTS
ESTATES
FOR
PAY SEPARATION
TO
THE
AND
BE
SEPARATION
CONSIDERED
TRUSTSPAY TO
OFAS
BE
EMPLOYEE
EXCLUSION
CONSIDERED
FROM
FROM
ASSERVICE
EXCLUSION
GROSSMUST
INCOME
FROM
BE DUE
GROSS
TO DEATH,
INCOMESICKNESS, PHYSICAL DISABILITY OR ANY CAUSE BEYOND THE CONTROL OF THE EMPLOYEE.
1. THE RECIPIENT DID NOT JOIN THE CONTEST; AND
893 402075 402075 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
REQUISITES
FOR
ESTATES
FOR
INDIVIDUALS,
PRIZES
REQUISITES
AND TRUSTS
ANDESTATES
AWARDS
FOR PRIZES
2.AND
HE
GIVEN
IS
TRUSTS
AND
NOT
TO
AWARDS
REQUIRED
RELIGIOUS,
GIVEN
TOCHARITABL,
RENDER
TO RELIGIOUS,
SUBSTANTIAL
SCIENTIFIC,
CHARITABL,
EDUCATIONAL,
FUTURE
SCIENTIFIC,
SERVICES.
ARTISTIC,
EDUCATIONAL,
LITERARY
ARTISTIC,
OR CIVIC
LITERARY
ACHIEVEMENT
OR CIVIC
TOACHIEVEMENT
BE CONSIDERED
TOAS
BEEXCLUSIONS
CONSIDEREDFROM
AS EXCLUSIONS
GROSS INCOME
FROM(2GROSS
ITEMS)INCOME (2 ITEMS)
894 402076 402076 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
EXCLUSION
AND
TREATMENT
TRUSTS
TAXATION,
FROM
FORGROSS
TREATMENT
BENEFITS
INCOME
RECEIVED
FOR BENEFITS
BY PERSONS
RECEIVED
RESIDING
BY PERSONS
IN THE PHILIPPINES
RESIDING IN UNDER
THE PHILIPPINES
U.S. LAWSUNDER
ADMINISTERED
U.S. LAWSBYADMINISTERED
U.S. VETERANSBY
ADMINISTRATION
U.S. VETERANS ADMINISTRATION
895 402077 402077 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
EXCLUSION
AND
TREATMENT
TRUSTS
TAXATION,
FROM
FORGROSS
TREATMENT
BENEFITS
INCOME
RECEIVED
FOR BENEFITS
FROM SSS,
RECEIVED
GSIS INCLUDING
FROM SSS, RETIREMENT
GSIS INCLUDING
GRATUITY
RETIREMENT
RECEIVED
GRATUITY
BY GOVERNMENT
RECEIVED BY
OFFICIALS
GOVERNMENT
AND EMPLOYEES
OFFICIALS AND EMPLOYEES
896 402078 402078 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
EXCLUSION
AND
TREATMENT
TRUSTS
TAXATION,
FROM
FORGROSS
TREATMENT
INCOME
INCOME
DERIVED
FOR INCOME
BY FOREIGN
DERIVED
GOVERNMENTS
BY FOREIGN GOVERNMENTS
897 402079 402079 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
EXCLUSION
AND
TREATMENT
TRUSTS
TAXATION,
FROM
FORGROSS
TREATMENT
INCOME
INCOME
DERIVED
FOR INCOME
BY THE GOVERNMENT
DERIVED BY THE
ORGOVERNMENT
ITS POLITICAL OR
SUBDIVISIONS
ITS POLITICAL
FROM
SUBDIVISIONS
PUBLIC UTILITY
FROMOR
PUBLIC
ANY ESSENTIAL
UTILITY ORGOVERNMENTAL
ANY ESSENTIAL GOVERNMENTAL
FUNCTION FUNCTION
THE LOCAL AND INTERNATION SPORTS COMPETITIONS HELD IN THE PHILIPPINES OR ABROAD MUST BE:
1. SANCTIONED BY THEIR NATIONAL SPORTS ASSOCIATIONS; AND
898 402080 402080 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
REQUISITES
FOR
ESTATES
FOR
INDIVIDUALS,
PRIZES
REQUISITES
AND TRUSTS
ANDESTATES
AWARDS
FOR PRIZES
2.AND
THE
GRANTED
TRUSTS
AND
SPORTS
AWARDS
TO
ASSOCIATION
ATHLETES
GRANTED
TOMUST
BE
TO CONSIDERED
ATHLETES
BE RECOGNIZED
TOAS
BEEXCLUSION
CONSIDERED
BY THE PHILIPPINE
FROM
AS EXCLUSION
GROSS
OLYMPIC
INCOME
FROM
COMMITTEE
GROSS INCOME
(POC).
1. P90,000 AND BELOW - EXEMPT
899 402081 402081 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
2.AND
TREATMENT
AMOUNT
TRUSTS
TAXATION,
EXCEEDING
FOR TREATMENT
13TH90,000
MONTH -FOR
TAXABLE
PAY13TH
ANDMONTH
OTHER BENEFITS
PAY AND OTHER BENEFITS
1. MANDATORY CONTRIBUTIONS - EXEMPT
900 402082 402082 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
2.AND
TREATMENT
AMOUNTS
TRUSTS
TAXATION,
EXCEEDING
FOR TREATMENT
GSIS, SSS,
MANDATORY
MEDICARE
FOR GSIS,
CONTRIBUTIONS
AND
SSS,PAG-IBIG
MEDICAREAND
- AND
TAXABLE
UNION
PAG-IBIG
DUESAND
OF INDIVIDUALS
UNION DUES OF INDIVIDUALS
GR: TAXABLE
901 402083 402083 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
XPN:
AND
TREATMENT
EXEMPT
TRUSTS
TAXATION,
IFFOR
THETREATMENT
GAINS
MATURITY
FROMFOR
PERIOD
SALEGAINS
OFISBONDS,
MORE
FROMTHAN
DEBENTURES
SALE 5OFYEARS.
BONDS,
ANDDEBENTURES
OTHER CERTIFICATE
AND OTHER
OF INDEBTEDNESS
CERTIFICATE OF INDEBTEDNESS
902 402084 402084 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
AS REGARDS
FOR
ESTATES
INDIVIDUALS,
TO INCOME
ASAND
REGARDS
TRUSTS
TAXATION,
ESTATES
TO INCOME
EXCLUSION
AND
TREATMENT
TRUSTS
TAXATION,
FROM
FORGROSS
TREATMENT
GAINSINCOME
REALIZED
FORBY
GAINS
INVESTORS
REALIZED
UPON
BY INVESTORS
REDEMPTION
UPON
OF REDEMPTION
SHARES IN A MUTUAL
OF SHARES
FUND
IN ACOMPANY
MUTUAL FUND COMPANY
903 402085 402085 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
IS A KINDFOR
ESTATES
OF INDIVIDUALS,
WITHHOLDING
ISAND
A KIND
TRUSTS
ESTATES
OF
TAX
WITHHOLDING
WHICH
FINAL
AND IS
WITHHOLDING
TRUSTS
PRESCRIBED
TAX WHICHON
TAX
ISCERTAIN
PRESCRIBED
INCOME
ON CERTAIN
PAYMENTS
INCOME
AND ISPAYMENTS
NOT CREDITABLE
AND IS NOT
AGAINST
CREDITABLE
THE INCOME
AGAINST
TAXTHE
DUEINCOME
OF THE PAYEE
TAX DUE
ONOF
OTHER
THE PAYEE
INCOME
ONSUBJECT
OTHER INCOME
TO REGULAR
SUBJECT
RATES
TOOF
REGULAR
TAX FOR
RATES
THE TAXABLE
OF TAX FOR
YEAR.
THE TAXABLE YEAR.
904 402086 402086 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
IS INCOME
FOR
ESTATES
THAT
INDIVIDUALS,
REQUIRES
ISAND
INCOME
TRUSTS
ESTATES
LITTLE
THAT REQUIRES
TO
PASSIVE
AND
NOTRUSTS
EFFORT
INCOME
LITTLE
TOTO
EARN
NO EFFORT
AND MAINTAIN
TO EARN(FROM
AND MAINTAIN
SOURCES WITHIN
(FROM SOURCES
THE PHILIPPINES
WITHIN ONLY).
THE PHILIPPINES ONLY).
20 PERCENT
905 402087 402087 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
FOR INDIVIDUALS,
FOR
ESTATES
INDIVIDUALS,
FOR
AND
FINAL
INDIVIDUALS,
TRUSTS
TAX
ESTATES
RATE (FOR
ON
AND
FINAL
INTEREST
ALL
TRUSTS
TAXINDIVIDUALS
RATE
INCOME
ON INTEREST
FROM
EXCEPTPHILIPPINE
NRA-NETB)
INCOME FROM
CURRENCY
PHILIPPINE
BANK CURRENCY
DEPOSITS BANK DEPOSITS
20 PERCENT
906 402088 402088 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
FOR INDIVIDUALS,
FOR
ESTATES
INDIVIDUALS,
FOR
AND
FINAL
INDIVIDUALS,
TRUSTS
TAX
ESTATES
RATE (FOR
ON
AND
FINAL
YIELD
ALL
TRUSTS
TAXINDIVIDUALS
ORRATE
ANYON
OTHER
YIELD
EXCEPT
MONETARY
OR ANY
NRA-NETB)
OTHER
BENEFIT
MONETARY
FROM DEPOSIT
BENEFITSUBSTITUTES
FROM DEPOSIT
ANDSUBSTITUTES
FROM TRUSTAND
FUNDS
FROM
AND
TRUST
SIMILAR
FUNDS
ARRANGEMENTS
AND SIMILAR ARRANGEMENTS
GR: 20 PERCENT
XPN: ROYALTIES FROM BOOKS AND OTHER LITERARY WORKS AND MUSICAL COMPOSITIONS SHALL BE SUBJECT TO 10 PERCENT FINAL TAX.
907 402089 402089 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
FOR INDIVIDUALS,
FOR
ESTATES
INDIVIDUALS,
FOR
AND
FINAL
INDIVIDUALS,
TRUSTS
TAX
ESTATES
RATE (FOR
ON
AND
FINAL
ROYALTIES
ALL
TRUSTS
TAX
INDIVIDUALS
RATE ON ROYALTIES
EXCEPT NRA-NETB)
GR: 20 PERCENT
XPN: PRIZES AMOUNTING TO P10,000 OR LESS SHALL BE TREATED AS ORDINARY TAXABLE INCOME..
908 402090 402090 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
FOR INDIVIDUALS,
FOR
ESTATES
INDIVIDUALS,
FOR
AND
FINAL
INDIVIDUALS,
TRUSTS
TAX
ESTATES
RATE (FOR
ON
AND
FINAL
PRIZES
ALL
TRUSTS
TAX
INDIVIDUALS
RATE ON PRIZES
EXCEPT NRA-NETB)
GR: 20 PERCENT
XPN: WINNINGS FROM SWEEPSTAKES AND LOTTO AMOUNTING TO P10,000 OR LESS ARE EXEMPT.
909 402091 402091 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
FOR INDIVIDUALS,
FOR
ESTATES
INDIVIDUALS,
FOR
AND
FINAL
INDIVIDUALS,
TRUSTS
TAX
ESTATES
RATE (FOR
ON
AND
FINAL
WINNINGS
ALL
TRUSTS
TAX
INDIVIDUALS
RATE ON WINNINGS
EXCEPT NRA-NETB)
GR: EXEMPT
XPN: IF PRE-TERMINATED WITHIN:
4 YEARS TO LESS THAN 5 YEARS - 5 PERCENT
3 YEARS TO LESS THAN 4 YEARS - 12 PERCENT
LESS THAN 3 YEARS - 20 PERCENT
910 402092 402092 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
FOR INDIVIDUALS,
FOR
ESTATES
INDIVIDUALS,
FOR
AND
FINAL
INDIVIDUALS,
TRUSTS
TAX
ESTATES
RATE (FOR
ON
AND
FINAL
INTEREST
ALL
TRUSTS
TAXINDIVIDUALS
RATE
INCOME
ON INTEREST
FROM
EXCEPTLONG-TERM
NRA-NETB)
INCOME FROM
DEPOSIT
LONG-TERM
OR INVESTMENT
DEPOSIT (MATURITY
OR INVESTMENT
OF 5 YEARS
(MATURITY
OR MORE)
OF 5 YEARS OR MORE)
RC AND RA - 15 PERCENT
911 402093 402093 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
FOR INDIVIDUALS,
FOR
ESTATES
INDIVIDUALS,
FOR
AND
FINAL
INDIVIDUALS,
TRUSTS
TAX
ESTATES
RATE NRC
ON
AND
FINAL
INTEREST
AND
TRUSTS
TAX
NRA
RATE
INCOME
- EXEMPT
ON INTEREST
RECEIVED
INCOME
FROM ARECEIVED
DEPOSITARY
FROM
BANK
A DEPOSITARY
UNDER THEBANK
FOREIGN
UNDER
CURRENCY
THE FOREIGN
DEPOSIT
CURRENCY
SYSTEM DEPOSIT
(FCDS) SYSTEM (FCDS)
10 PERCENT
912 402094 402094 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
FOR INDIVIDUALS,
FOR
ESTATES
INDIVIDUALS,
FOR
AND
FINAL
INDIVIDUALS,
TRUSTS
TAX
ESTATES
RATE (FOR
ON
AND
FINAL
DIVIDENDS
ALL
TRUSTS
TAX
INDIVIDUALS
RATE
RECEIVED
ON DIVIDENDS
EXCEPT
FROMNRA-NETB)
DOMESTIC
RECEIVED FROM
CORPORATIONS
DOMESTIC CORPORATIONS
10 PERCENT
913 402095 402095 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
FOR INDIVIDUALS,
FOR
ESTATES
INDIVIDUALS,
FOR
AND
FINAL
INDIVIDUALS,
TRUSTS
TAX
ESTATES
RATE (FOR
ON
AND
FINAL
DIVIDENDS
ALL
TRUSTS
TAX
INDIVIDUALS
RATE
RECEIVED
ON DIVIDENDS
EXCEPT
FROMNRA-NETB)
JOINT
RECEIVED
STOCK
FROM
COMPANIES
JOINT STOCK COMPANIES
10 PERCENT
914 402096 402096 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
FOR INDIVIDUALS,
FOR
ESTATES
INDIVIDUALS,
FOR
AND
FINAL
INDIVIDUALS,
TRUSTS
TAX
ESTATES
RATE (FOR
ON
AND
FINAL
DIVIDENDS
ALL
TRUSTS
TAX
INDIVIDUALS
RATE
RECEIVED
ON DIVIDENDS
EXCEPT
FROMNRA-NETB)
INSURANCE
RECEIVED FROM
OR MUTUAL
INSURANCE
FUNDORCOMPANIES
MUTUAL FUND COMPANIES
10 PERCENT - APPLICABLE ONLY TO GENERAL CO-PARTNERSHIPS (NOT FOR GENERAL PROFESSIONAL PARTNERSHIPS
915 402097 402097 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
FOR INDIVIDUALS,
FOR
ESTATES
INDIVIDUALS,
FOR
AND
FINAL
INDIVIDUALS,
TRUSTS
TAX
ESTATES
RATE (FOR
ON
AND
FINAL
THE
ALL
TRUSTS
TAX
SHARE
INDIVIDUALS
RATE
OFON
ANTHE
INDIVIDUAL
EXCEPT
SHARENRA-NETB)
OFPARTNER
AN INDIVIDUAL
IN THE DISTRIBUTABLE
PARTNER IN THENET
DISTRIBUTABLE
INCOME OF ANET
PARTNERSHIP
INCOME OFAFTER
A PARTNERSHIP
TAX AFTER TAX
10 PERCENT
916 402098 402098 TAX - INCOME TAXATION
TAX - INCOME
FOR INDIVIDUALS,
TAXATION
FOR INDIVIDUALS,
FOR
ESTATES
INDIVIDUALS,
FOR
AND
FINAL
INDIVIDUALS,
TRUSTS
TAX
ESTATES
RATE (FOR
ON
AND
FINAL
THE
ALL
TRUSTS
TAX
SHARE
INDIVIDUALS
RATE
OFON
ANTHE
INDIVIDUAL
EXCEPT
SHARENRA-NETB)
OFINAN
THE
INDIVIDUAL
NET INCOME
IN THE
AFTER
NETTAX
INCOME
OF ANAFTER
ASSOCIATION,
TAX OF AN
A JOINT
ASSOCIATION,
ACCOUNTA OR
JOINT
A JOINT
ACCOUNT
VENTURE
OR AOR
JOINT
CONSORTIUM
VENTURE OR
OFCONSORTIUM
WHICH HE IS AOF
MEMBER
WHICH HE
OR IS
A CO-VENTURER
A MEMBER OR A CO-VENTURER
THE STATE SHALL:
1. ESTABLISH A SOCIALLY CONSCIOUS, FREE MARKET THAT REGULATES ITSELF;
2. ENCOURAGE THE WIDEST PARTICIPATION OF OWNERSHIP IN ENTERPRISES;
3. ENHANCE THE DEMOCRATIZATION OF WEALTH,
4. PROMOTE THE DEVELOPMENT OF THE CAPITAL MARKET;
917 509001 509001 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
OBJECTIVES
REGULATION
OFCODE
THE
OBJECTIVES
SECURITIES
OFREGULATION
THE
5. SECURITIES
PROTECCODE REGULATION
(7 ITEMS) CODE (7 ITEMS)
918 509002 509002 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
ARE
REGULATION
SHARES, PARTICIPATION
CODE
ARE SHARES,OR
PARTICIPATION
INTERESTS
SECURITIES
IN OR
A CORPORATION
INTERESTS IN A
ORCORPORATION
IN A COMMERCIAL
OR INENTERPRISE
A COMMERCIAL
OR PROFIT-MAKING
ENTERPRISE OR VENTURE
PROFIT-MAKING
AND EVIDENCED
VENTURE BY
ANDA CERTIFICATE,
EVIDENCED BYCONTRACT
A CERTIFICATE,
OR INSTRUMENT,
CONTRACT OR
WHETHER
INSTRUMENT,
WRITTEN
WHETHER
OR ELECTRONIC
WRITTENIN
ORCHARACTER
ELECTRONIC
(E.G.,
IN CHARACTER
SHARES OF (E.G.,
STOCK, SHARES
BONDS,
OFDEBENTURES,
STOCK, BONDS,
IN DEBENTURES, IN
919 509003 509003 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
ISREGULATION
A LICENSED PERSON
CODE
IS A LICENSED
ENGAGEDPERSON
INBROKER
THE ENGAGED
BUSINESS IN
OFTHE
BUYING
BUSINESS
AND SELLING
OF BUYING
SECURITIES
AND SELLING
FOR THE
SECURITIES
ACCOUNT FOR
OFTHE
OTHERS.
ACCOUNT OF OTHERS.
920 509004 509004 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
MEANS
REGULATION
ANY PERSON
CODE
MEANS
WHOANY
BUYS
PERSON
AND
DEALER
SELLS
WHO SECURITIES
BUYS AND SELLS
FOR HIS/HER
SECURITIES
OWN FOR
ACCOUNT
HIS/HERIN
OWN
THE ACCOUNT
ORDINARYINCOURSE
THE ORDINARY
OF BUSINESS.
COURSE OF BUSINESS.
921 509005 509005 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
REFERS
REGULATION
TO PARTICULAR
CODE
REFERSPEOPLE
TO PARTICULAR
WITHIN
ASSOCIATED
THE
PEOPLE
EMPLOY
PERSON
WITHIN
OFOF
ATHE
BROKER
A BROKER
EMPLOY
OROR
OF
DEALER
DEALER
A BROKER
THAT OR
DIRECTLY
DEALEREXERCISES
THAT DIRECTLY
CONTROL
EXERCISES
OF SUPERVISORY
CONTROL OF
AUTHORITY,
SUPERVISORY
BUT AUTHORITY,
DOES NOT INCLUDE
BUT DOES
A SALESMAN,
NOT INCLUDE
OR AAN
SALESMAN,
AGENT OROR
A PERSON
AN AGENT
WHOSE
OR A FUNCTIONS
PERSON WHOSE
ARE SOLELY
FUNCTIONS
CLERICAL
ARE SOLELY
OR MINISTERIAL.
CLERICAL OR MINISTERIAL.
922 509006 509006 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
ISREGULATION
ANY PERSONCODE
WHO
IS ANY
ACTS
PERSON
AS INTERMEDIARY
WHO
CLEARING
ACTS AS
AGENCY
ININTERMEDIARY
MAKING DELIVERIES
IN MAKING
UPONDELIVERIES
PAYMENT TOUPON
EFFECT
PAYMENT
SETTLEMENT
TO EFFECT
IN SECURITIES
SETTLEMENTTRANSACTIONS.
IN SECURITIES TRANSACTIONS.
923 509007 509007 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
ISREGULATION
AN ORGANIZED
CODE
ISMARKETPLACE
AN ORGANIZED
OR
EXCHANGE
MARKETPLACE
FACILITY THATOR
BRINGS
FACILITY
TOGETHER
THAT BRINGS
BUYERS
TOGETHER
AND SELLERS
BUYERS
ANDAND
EXECUTES
SELLERSTRADES
AND EXECUTES
OF SECURITIES
TRADES AND/OR
OF SECURITIES
COMMODITIES.
AND/OR COMMODITIES.
924 509008 509008 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
ISREGULATION
A PERSON WITHIN
CODE
IS A APERSON
GROUPWITHIN
OR ORGANIZATION,
INSIDER
A GROUP OR ESPECIALLY
ORGANIZATION,
SOMEONE
ESPECIALLY
PRIVY SOMEONE
TO INFORMATION
PRIVY TO
UNAVAILABLE
INFORMATION
TOUNAVAILABLE
OTHERS. TO OTHERS.
925 509009 509009 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
ARE
REGULATION
CONTRACTSCODE
WHICH
ARE CONTRACTS
PROVIDE FOR
WHICH
PRE-NEED
THEPROVIDE
PERFORMANCE
PLANSFOR THEOF
PERFORMANCE
FUTURE SERVICES
OF FUTURE
OR THESERVICES
PAYMENTOROFTHE
FUTURE
PAYMENT
MONETARY
OF FUTURE
CONSIDERATIONS
MONETARY CONSIDERATIONS
AT THE TIME OF ACTUAL
AT THE TIME
NEED,OF
FOR
ACTUAL
WHICHNEED,
PLANHOLDERS
FOR WHICH
PAY
PLANHOLDERS
IN CASH OR INSTALLMENT
PAY IN CASH OR
AT INSTALLMENT
STATED PRICES,
ATWITH
STATED
OR PRICES,
WITHOUT WITH
INTEREST
OR WITHOUT
OR INSURANCE
INTERESTCOVERA
OR INSURANCE COVERA
926 509010 509010 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
ISREGULATION
A PERSON WHO,
CODE
IS ACTING
A PERSON
ALONE
WHO,PROMOTER
ORACTING
WITH OTHERS,
ALONE OR
TAKES
WITHINITIATIVE
OTHERS, TAKES
IN FOUNDING
INITIATIVE
ANDINORGANIZING
FOUNDING AND
THEORGANIZING
BUSINESS ORTHE
ENTERPRISE
BUSINESSOF
ORTHE
ENTERPRISE
ISSUER AND
OF RECEIVES
THE ISSUER
CONSIDERATION
AND RECEIVES THEREFOR.
CONSIDERATION THEREFOR.
927 509011 509011 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
ISREGULATION
THE DOCUMENT
CODE
IS MADE
THE DOCUMENT
BY OR ON
PROSPECTUS
BEHALF
MADE BYOFOR
ANON
ISSUER,
BEHALFUNDERWRITER
OF AN ISSUER,ORUNDERWRITER
DEALER TO SELL
OROR
DEALER
OFFERTO
SECURITIES
SELL OR OFFER
FOR SALE
SECURITIES
TO THEFOR
PUBLIC
SALETHROUGH
TO THE PUBLIC
A REGISTRATION
THROUGH STATEMENT
A REGISTRATION
FILEDSTATEMENT
WITH THE COMMISSION.
FILED WITH THE COMMISSION.
928 509012 509012 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
ISREGULATION
THE APPLICATION
CODE
IS THE
FORAPPLICATION
THE REGISTRATION
REGISTRATION
FOR THE
OFREGISTRATION
SECURITIES
STATEMENT REQUIRED
OF SECURITIES
TO BE REQUIRED
FILED WITHTO
THE
BECOMMISSION.
FILED WITH THE COMMISSION.
929 509013 509013 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
ISREGULATION
A NATURAL PERSON,
CODE
IS A NATURAL
EMPLOYED
PERSON,
SALESMAN
AS SUCH
EMPLOYED
OR AS AN
ASAGENT,
SUCH OR
BYAS
A DEALER,
AN AGENT,
ISSUER
BY AOR
DEALER,
BROKERISSUER
TO BUY
ORAND
BROKER
SELLTO
SECURITIES.
BUY AND SELL SECURITIES.
930 509014 509014 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
ISREGULATION
A SECURITY EVIDENCED
CODE
IS A SECURITY
BY ELECTRONIC
EVIDENCED
UNCERTIFICATED
OR
BYSIMILAR
ELECTRONIC
SECURITY
RECORDS.
OR SIMILAR RECORDS.
931 509015 509015 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
ISREGULATION
A PERSON WHO
CODE
ISGUARANTEES
A PERSON WHO
ON
UNDERWRITER
GUARANTEES
A FIRM COMMITMENT
ON A FIRMAND/OR
COMMITMENT
DECLARED
AND/OR
BEST EFFORT
DECLARED
BASIS
BEST
THEEFFORT
DISTRIBUTION
BASIS THE
AND
DISTRIBUTION
SALE OF SECURITIES
AND SALEOFOF
ANY
SECURITIES
KIND BY ANOTHER
OF ANY KIND
COMPANY.
BY ANOTHER COMPANY.
932 509016 509016 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
ISREGULATION
THE GOVERNMENT
CODE
IS THE
AGENCY
GOVERNMENT
ENTRUSTED
SECURITIES
AGENCY
WITH
AND
ENTRUSTED
THE
EXCHANGE
ADMINISTRATION
WITH
COMMISSION
THE ADMINISTRATION
OF THE
(SEC)
SECURITIES
OFAND
THE REGULATION
SECURITIES AND
CODE.
REGULATION CODE.
1. REGULATORY
933 509017 509017 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
KINDS
REGULATION
OF POWERS
CODE
KINDS
AND OF
FUNCTIONS
POWERS2.AND
OF
ADJUDICATIVE
THE
FUNCTIONS
COMMISSION
OF THE
(2 ITEMS)
COMMISSION (2 ITEMS)
934 509018 509018 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
PERTAIN
REGULATION
TO SECURITIES
CODE
PERTAINLIKE
TOSHARES
SECURITIES
EQUITY
OF STOCK,
LIKE
INSTRUMENTS
SHARES
CERTIFICATES
OF STOCK,
OF CERTIFICATES
INTEREST OR PARTICIPATION
OF INTEREST ORINPARTICIPATION
A PROFIT SHARING
IN A PROFIT
AGREEMENT,
SHARING
CERTIFICATES
AGREEMENT,OF CERTIFICATES
DEPOSIT FOR AOFFUTURE
DEPOSIT
SUBSCRIPTION,
FOR A FUTUREPROPRIETARY
SUBSCRIPTION,
ORPROPRIETARY
NON-PROPRIETARY
OR NON-PROPRIETARY
MEMBERSHIP, CERTIFICATES
MEMBERSHIP,IN CORPORATIONS,
CERTIFICATES IN ETC.
CORPORATIONS, ETC.
935 509020 509020 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
PERTAIN
REGULATION
TO SECURITIES
CODE
PERTAINLIKE
TOINVESTMENT
SECURITIES
INVESTMENT
LIKE
CONTRACTS
INVESTMENT
INSTRUMENTS
AND CONTRACTS
FRACTIONALAND
UNDIVIDED
FRACTIONAL
INTERESTS
UNDIVIDED
IN OIL,INTERESTS
GAS OR OTHER
IN OIL,MINERAL
GAS OR RIGHTS,
OTHER MINERAL
ETC. RIGHTS, ETC.
936 509021 509021 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
PERTAIN
REGULATION
TO SECURITIES
CODE
PERTAINLIKE
TOBONDS,
SECURITIES
DEBT
DEBENTURES,
INSTRUMENTS
LIKE BONDS,
NOTES,
DEBENTURES,
EVIDENCENOTES,
OF INDEBTEDNESS,
EVIDENCE OFASSET-BACKED
INDEBTEDNESS,
SECURITIES,
ASSET-BACKED
ETC. SECURITIES, ETC.
937 509022 509022 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
PERTAIN
REGULATION
TO SECURITIES
CODE
PERTAINLIKE
TOOPTIONS
SECURITIES
DERIVATIVES
ANDLIKE
WARRANTS.
OPTIONS AND WARRANTS.
938 509023 509023 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
PERTAIN
REGULATION
TO SECURITIES
CODE
PERTAINLIKE
TOCERTIFICATES
SECURITIES
TRUST INSTRUMENTS
LIKE
OF CERTIFICATES
ASSIGNMENTS,OFCERTIFICATES
ASSIGNMENTS,OF CERTIFICATES
PARTICIPATION,
OFTRUST
PARTICIPATION,
CERTIFICATES,
TRUST
VOTING
CERTIFICATES,
TRUST CERTIFICATES,
VOTING TRUST
ETC.
CERTIFICATES, ETC.
939 509024 509024 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
ISREGULATION
THE DISCLOSURE
CODE
IS THE
TO THE
DISCLOSURE
SEC OF REGISTRATION
ALL
TOMATERIAL
THE SEC OF
AND
ALLRELEVANT
MATERIALINFORMATION
AND RELEVANT
ABOUT
INFORMATION
THE ISSUER
ABOUT
OF THE
THE
SECURITY.
ISSUER OF THE SECURITY.
940 509025 509025 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
PURPOSE
REGULATION
OF REGISTRATION
CODE
PURPOSE OF
OFREGISTRATION
SECURITIES
TO INFORMOF
THE
SECURITIES
PUBLIC FOR THEM TO BE ABLE TO MAKE GOOD BUSINESS JUDGMENT.
GR: NO SECURITY CAN BE SOLD OR OFFERRED FOR SALE OR DISTRIBUTION WITHIN THE PHILIPPINES UNLESS ACCOMPANIED BY A REGISTRATION STATEMENT FILED AND APPROVED BY THE SEC.
XPN:
1. EXEMPT SECURITIES
941 509026 509026 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
RULES
REGULATION
ON REGISTRATION
CODE
RULES ON
OFREGISTRATION
SECURITIES
2. SECURITIES
OF SECURITIES
SOLD IN EXEMPT TRANSACTIONS
942 509027 509027 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
EFFECTS
REGULATION
OF NON-REGISTRATION
CODE
EFFECTS OF NON-REGISTRATION
OFTHE
SECURITIES
ISSUER WOULD
OF SECURITIES
BE PENALIZED. ISSUERS OF SECURITIES NOT REGISTERED SHALL BE SUBJECTED TO CRIMINAL, CIVIL AND ADMINISTRATIVE CHARGES.
1. ANY SECURITY ISSUED OR GUARANTEED BY THE GOV'T OF THE PHILIPPINES, OR BY ANY POLITICAL SUBDIVISION OR AGENCY THEREOF, OR BY ANY PERSON CONTROLLED OR SUPERVISED BY, AND ACTING AS INSTRUMENTALITY OF SAID GOV'T.
943 509028 509028 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
EXEMPT
REGULATION
SECURITIES
CODE
EXEMPT
(6 ITEMS)
SECURITIES
2. ANY
(6 ITEMS)
SECURITY ISSUED OR GUARANTEED BY THE
944 509029 509029 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
REPORTORIAL
REGULATIONREQUIREMENTS
CODE
REPORTORIALFOR
REQUIREMENTS
BEING
ISSUERS
ANOF
ISSUER
EXEMPT
FOROF
ISSUERS
AN
SECURITIES
EXEMPT
OF EXEMPT
SECURITY
SECURITIES
DOES NOT EXEMPT SUCH ISSUER FROM THE REEQUIREMENT OF SUBMISSION OF REPORTS - FULL AND FAIR DISCLOSURE.
 1. ANY JUDICIAL SALE OR SALE BY AN EXECUTOR, ADMINISTRATOR, GUARDIAN, RECEIVER OR TRUSTEE IN INSOLVENCY OR BANKRUPTCY;
945 509030 509030 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
EXEMPT
REGULATION
TRANSACTIONS
CODE
EXEMPT(12
TRANSACTIONS
ITEMS)2. THOSE
(12SOLD
ITEMS)
BY A PLEDGEE, MORTGAGEE OR ANY OTHER SIMILAR LIEN HOLDER, TO LIQUIDATE BONA FIDE DEBT (A SECURITY PLEDGED IN GOOD FAITH AS
1. REGISTRATION STATEMENT (ACCOMPANIED BY DULY VERIFIED RESOLUTION OF THE BOARD OF DIRECTORS OF THE ISSUER)
2. PROSPECTUS
3. WRITTEN CONSENT OF EXPERT
946 509031 509031 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
DOCUMENTS
REGULATIONTO
CODE
BE
DOCUMENTS
FILED BY ISSUER
TO BE
4.WITH
FILED
CERTIFICATION
SEC
BY ISSUER
UPON BY
THE
WITH
SELLING
APPLICATION
SEC UPON
STOCKHOLDERS
THE
FORAPPLICATION
REGISTRATION
(IF THE SHARES
FOR
OFREGISTRATION
SECURITIES
ARE TO BE(4SOLD
OF
ITEMS)
SECURITIES
BY STOCKHOLDERS)
(4 ITEMS)
1. EFFECT OF THE SECURITIES' ISSUE ON OWNERSHIP
947 509032 509032 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
OTHER
REGULATION
INFORMATION
CODE
OTHER
REQUIRED
INFORMATION
FOR
2. MIX
THE
REQUIRED
OF
REGISTRATION
OWNERSHIP
FOR THE
OF
(ESPECIALLY
REGISTRATION
ANY KINDFOREIGN
ANDOF
ALL
ANY
AND
SECURITIES
KIND
LOCAL
AND(2
OWNERSHIP
ALL
ITEMS)
SECURITIES (2 ITEMS)
1. EXECUTIVE OFFICER
2. PRINCIPAL OPERATING OFFICER
3. CONTROLLER/COMPTROLLER
4. PRINCIPAL ACCOUNTING OFFICER
948 509033 509033 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
SIGNATORIES
REGULATIONTO
CODE
REGISTRATION
SIGNATORIES TO
STATEMENT
REGISTRATION
5. CORPORATE
(5 ITEMS)
STATEMENT
SECRETARY OR
(5 ITEMS)
PERSONS PERFORMING SIMILAR FUNCTIONS
949 509034 509034 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
RULE
REGULATION
ON FEES TO
CODE
RULE
BE PAID
ON UPON
FEES TO
REGISTRATION
THE
BE PAID
FEESUPON
ARE OF
INREGISTRATION
INVERSE
SECURITIES
PROPORTION
OF SECURITIES
TO THE VALUE OF THE AGGREGATE PRICE OF THE OFFERING.
NOTICE OF FILING OF THE REGISTRATION STATEMENT SHALL BE IMMEDIATELY PUBLISHED BY THE ISSUER IN TWO NEWSPAPERS OF GENERAL CIRCULATION IN THE PHILIPPINES; ONCE A WEEK FOR TWO CONSECUTIVE WEEKS, RECITING THAT:
950 509035 509035 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
REQUIREMENT
REGULATION CODE
TOREQUIREMENT
NOTIFY THE PUBLIC
TO1.NOTIFY
AABOUT
REGISTRATION
THE
THE
PUBLIC
FILING
STATEMENT
ABOUT
OF REGISTRATION
THEHAS
FILING
BEEN
OF
STATEMENT
FILED,
REGISTRATION
AND STATEMENT
1. COMPEL THE PRODUCTION OF ALL THE BOOKS AND PAPERS OF THE ISSUER
2. ADMINISTER OATHS
951 509036 509036 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
POWERS
REGULATION
THE SEC
CODE
POWERS
MAY EXERCISE
THE SEC
PRIOR
3.
MAYEXAMINE
TO
EXERCISE
THE THE
MAKING
PRIOR
OFFICERS
OF
TO AUTHORITATIVE
THE
OF MAKING
THE ISSUER,
OF DECISION
AUTHORITATIVE
OR ANY OTHER
(ACCEPTANCE
PERSON
DECISION
OR
CONNECTED
(ACCEPTANCE
REJECTION)THEREWITH
REGARDING
OR REJECTION)
ASTHE
TO REGISTRATION
ITS
REGARDING
BUSINESSTHE
AND
OFREGISTRATION
SECURITIES
AFFAIRS (3 OF
ITEMS)
SECURITIES (3 ITEMS)
GR: 45 DAYS AFTER THE DATE OF THE FILING OF THE REGISTRATION STATEMENT
952 509037 509037 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
TIME
REGULATION
PERIOD AFTER
CODE
TIME
WHICH
PERIOD
THEAFTER
SECXPN:
SHALL
WHICH
ANYDECLARE
LATER
THE SEC
DATE
THE
SHALL
REGISTRATION
TO DECLARE
WHICH THE
THE
STATEMENT
ISSUER
REGISTRATION
CONSENTED
EFFECTIVE
STATEMENT
OR REJECTED
EFFECTIVE OR REJECTED
1. THE ISSUER HAS BEEN JUDICIALLY DECLARED INSOLVENT;
953 509038 509038 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
GROUNDS
REGULATION
FOR CODE
REJECTION
GROUNDSAND
FORREVOCATION
REJECTION
2. THE ISSUER
AND
OF REGISTRATION
REVOCATION
HAS VIOLATEDOF
OF
ANY
REGISTRATION
SECURITIES
OF THE PROVISIONS
(7 OF
ITEMS)
SECURITIES
OF THE(7CODE,
ITEMS)
THE RULES PROMULGATED PURSUANT THERETO, OR ANY ORDER OF THE SEC OF WHICH THE ISSUER HAS NOTICE IN CONNECTION WITH THE OFFERING FOR WHICH A
1. IF ANY TIME, THE INFORMATION CONTAINED IN THE REGISTRATION STATEMENT FILED IS OR HAS BECOME MISLEADING, INCORRECT, INADEQUATE OR INCOMPLETE IN ANY MATERIAL RESPECT;
954 509039 509039 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
GROUNDS
REGULATION
FOR CODE
SUSPENSION
GROUNDS FOR
OF REGISTRATION
SUSPENSION
2. THE SALEOFOR
OFREGISTRATION
SECURITIES
OFFERING FOR
(4 OF
ITEMS)
SALE
SECURITIES
OF THE SECURITY
(4 ITEMS)REGISTERED THEREUNDER MAY WORK OR TEND
1. BROKER
2. DEALER
3. ASSOCIATED PERSON OF A BROKER OR DEALER
955 509040 509040 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
SECURITIES
REGULATION
MARKET
CODE
SECURITIES
PROFESSIONALS
MARKET
4. SALESMAN
(4
PROFESSIONALS
ITEMS) (4 ITEMS)
956 509041 509041 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
OBLIGATION
REGULATION
OFCODE
THE
OBLIGATION
BROKER TO
OFHIS
THE
THE
CLIENT
BROKER
PRIMARY
TOOBLIGATION
HIS CLIENT OF THE BROKER IS TO ENSURE HIS ACCOUNT'S COMPLIANCE WITH THE LAW.
957 509042 509042 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
LAW
REGULATION
THAT GOVERNS
CODE
LAWBROKERAGE
THAT GOVERNS
RELATIONSHIPS
LAWBROKERAGE
ON AGENCYRELATIONSHIPS
958 509043 509043 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
ISREGULATION
A KIND OF TRADING
CODE
IS A KIND
THATOFALLOWS
TRADING
MARGIN
A BROKER
THAT
TRADING
ALLOWS
TO ADVANCE
A BROKER
FORTO
THE
ADVANCE
CUSTOMER/INVESTOR
FOR THE CUSTOMER/INVESTOR
PART OF THE PURCHASE
PART OFPRICE
THE PURCHASE
OF THE SECURITY
PRICE OF
ANDTHE
TOSECURITY
KEEP IT AS
AND
COLLATERAL
TO KEEP ITFOR
AS COLLATERAL
SUCH ADVANCE.
FOR SUCH ADVANCE.
THE CREDIT EXTENDED AS MARGIN MUST BE FOR AN AMOUNT NOT GREATER THAN, WHICHEVER IS HIGHER OF:
1. 65 PERCENT OF THE CURRENT MARKET PRICE OF THE SECURITY; OR
959 509044 509044 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
MARGIN
REGULATION
ALLOWANCE
CODE
MARGIN
STANDARD
ALLOWANCE
2. 100
STANDARD
PERCENT OF THE LOWEST MARKET PRICE DURING THE PRECEDING 36 MONTHS, BUT NOT MORE THAN 75 PERCENT OF THE CURRENT MA
960 509045 509045 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
MANIPULATION
REGULATION CODE
OF
MANIPULATION
SECURITY PRICES:
OF
WASH
SECURITY
ENGAGING
SALE PRICES:
IN TRANSACTION
ENGAGING IN
IN TRANSACTION
WHICH THERE IN
IS NO
WHICH
GENUINE
THERECHANGE
IS NO GENUINE
IN THE ACTUAL
CHANGEOWNERSHIP
IN THE ACTUAL
OF AOWNERSHIP
SECURITY. OF A SECURITY.
961 509046 509046 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
MANIPILATION
REGULATION CODE
OFMANIPILATION
SECURITY PRICES:
OFMATCHED
SECURITY
THERE ISSALE
PRICES:
A CHANGETHERE
OF OWNERSHIP
IS A CHANGEINOFTHE
OWNERSHIP
SECURITIESINBY
THE
ENTERING
SECURITIES
AN BY
ORDER
ENTERING
FOR THE
ANPURCHASE/SALE
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SECURITY WITH
OFTHE
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THAT
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THE AND
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FOR THE
ANDSALE
PRICE,
ORFOR
PURCHASE
THE SALE OR PURCHASE
962 509047 509047 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
MANIPULATION
REGULATION CODE
OF
MANIPULATION
SECURITY PRICES:
OF
MARKING
SECURITY
BUYINGTHE
AND
PRICES:
CLOSE
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BUYING
SECURITIES
AND SELLING
AT THE
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CLOSE OF AT
THETHE
MARKET
CLOSETO
OF ALTER
THE MARKET
THE CLOSING
TO ALTER
PRICE
THEOFCLOSING
THE SECURITY.
PRICE OF THE SECURITY.
963 509048 509048 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
MANIPULATION
REGULATION CODE
OF
MANIPULATION
SECURITY PRICES:
OF
POINTING
SECURITY
ENGAGING
THE
PRICES:
IN
TAPE
A SERIES
ENGAGING
OF TRANSACTIONS
IN A SERIES OFINTRANSACTIONS
SECURITIES THAT
IN SECURITIES
ARE REPORTED
THATPUBLICLY
ARE REPORTED
TO GIVEPUBLICLY
THE IMPRESSION
TO GIVE THE
OF ACTIVITY
IMPRESSION
OR PRICE
OF ACTIVITY
MOVEMENT
OR PRICE
IN A MOVEMENT
SECURITY. IN A SECURITY.
964 509049 509049 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
MANIPULATION
REGULATION CODE
OF
MANIPULATION
SECURITY PRICES:
OF
SQUEEZING
SECURITY
REFERS TO
THE
PRICES:
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FLOAT
REFERS
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SHORTAGE OF
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AND
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MARKET
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SUCH SHORTAGES
DURING SUCH
IN A SHORTAGES
WAY TO CREATE
IN A ARTIFICIAL
WAY TO CREATE
PRICES.
ARTIFICIAL PRICES.
965 509050 509050 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
MANIPULATION
REGULATION CODE
OF
MANIPULATION
SECURITY PRICES:
OF
HYPE
SECURITY
ENGAGING
AND DUMP
PRICES:
IN BUYING
ENGAGING
ACTIVITY
IN BUYING
AT INCREASINGLY
ACTIVITY AT
HIGHER
INCREASINGLY
PRICES AND
HIGHER
THENPRICES
SELLING
AND
SECURITIES
THEN SELLING
IN THESECURITIES
MARKET ATINTHE
THEHIGHER
MARKETPRICES.
AT THE HIGHER PRICES.
966 509051 509051 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
MANIPULATION
REGULATION CODE
OF
MANIPULATION
SECURITY PRICES:
OF
BOILER
SECURITY
THE ROOM
USE OF
PRICES:
OPERATIONS
HIGHTHE
PRESSURE
USE OFSALE
HIGHTACTICS
PRESSURE
TO SALE
PROMOTE
TACTICS
PURCHASE
TO PROMOTE
AND SALE
PURCHASE
OF SECURITIES.
AND SALE OF SECURITIES.
967 509052 509052 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
MANIPULATION
REGULATION CODE
OF
MANIPULATION
SECURITY PRICES:
OF
DAISY
SECURITY
REFERS
CHAINTO
PRICES:
A SERIES
REFERS
OF PURCHASE
TO A SERIES
ANDOFSALES
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OF THE
AND
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SALES
ISSUE
OF AT
THESUCCESSIVELY
SAME ISSUE AT
HIGHER
SUCCESSIVELY
PRICES BYHIGHER
THE SAME
PRICES
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BY THE
OF SAME
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OF THE
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AND DRAWING
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AND DRAWINGINVESTORS
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INTO THE
INVESTORS
MARKETINTO
LEAVING
THE MARKET
THEM DLEAVING THEM D
968 509053 509053 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
ISREGULATION
THE SELLING CODE
OFISSHARES
THE SELLING
WHICHOFSHORT
THE
SHARES
SELLER
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THEREFORE
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THE DELIVERY.
SUPPLY THE DELIVERY.
1. OBTAINING MONEY OR PROPERTY BY MEANS OF ANY UNTRUE STATEMENT OF A MATERIAL FACT.
969 509054 509054 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
TRANSACTIONS
REGULATION CODE
RELATING
TRANSACTIONS
TO SECURITIES
RELATING
2. ENGAGING
THAT
TO SECURITIES
ARE
IN ANY
CONSIDERED
ACT,
THAT
TRANSACTION,
ARE
FRAUDULENT
CONSIDERED
PRACTICE
(2 ITEMS)
FRAUDULENT
OR COURSE
(2 ITEMS)
OF BUSINESS, WHICH OPERATES AS A FRAUD OR DECEIT UPON ANY PERSON.
970 509055 509055 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
ISREGULATION
A PURCHASECODE
ORISSALE
A PURCHASE
MADE BYOR
AN
INSIDER
SALE
INSIDER
MADE
TRADING
ORBYHIS
ANRELATIVE
INSIDER WITHIN
OR HIS RELATIVE
THE SECOND
WITHIN
DEGREE
THE SECOND
WHICH SHALL
DEGREE
BE WHICH
PRESUMED
SHALL
TOBE
BEPRESUMED
EFFECTED WHILE
TO BE EFFECTED
IN THE POSSESSION
WHILE IN THE
OF MATERIAL
POSSESSION
NON-PUBLIC
OF MATERIAL
INFORMATION
NON-PUBLIC
IF INFORMATION
TRANSACTED AFTER
IF TRANSACTED
SUCH INFORMATION
AFTER SUCH
CAME
INFORMATION
INTO EXISTENCE
CAMEBUT
INTOPRIOR
EXISTENCE
TO THE
BUT
P PRIOR TO THE P
1. THE ISSUER
2. A DIRECTOR OR OFFICER OF OR A PERSON CONTROLLING THE ISSUER
971 509056 509056 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
PERSONS
REGULATION
WHOCODE
MAY
PERSONS
BE CONSIDERED
WHO MAY3. AS
ABEPERSON
INSIDERS
CONSIDERED
WHOSE
(5 ITEMS)
ASRELATIONSHIP
INSIDERS (5 ITEMS)
OR FORMER RELATIONSHIP TO THE ISSUER GIVES HIM ACCESS TO MATERIAL INFORMATION ABOUT THE ISSUER OR THE SECURITY THAT IS NOT GENERALLY AVAILABLE TO T
1. TENDER OFFER RULE
2. RULES ON PROXY SOLICITATION
972 509057 509057 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
PROVISIONS
REGULATION
INCODE
THE
PROVISIONS
SRC INTENDED
IN THE
3.
TOSRC
DISCLOSURE
PROTECT
INTENDED
THE
RULE
TO
INVESTORS
PROTECT(3THE
ITEMS)
INVESTORS (3 ITEMS)
973 509058 509058 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
ISREGULATION
A PUBLIC, OPEN
CODE
ISOFFER
A PUBLIC,
OR INVITATION
OPENTENDER
OFFER(USUALLY
OR
OFFER
INVITATION
ANNOUNCED
(USUALLY
IN AANNOUNCED
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ADVERTISEMENT)
A NEWSPAPER ADVERTISEMENT)
BY A PROSEPCTIVE
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TO ALLACQUIRER
STOCKHOLDERS
TO ALLOF
STOCKHOLDERS
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OF A PUBLICLY
CORPORATION
TRADED
(TARGET
CORPORATION
CORPORATION)
(TARGETTO
CORPORATION)
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STOCKS
TENDER
FOR
THEIR
SALESTOCKS
AT A SPECIFIED
FOR SALEPRICE
AT ADURING
SPECIFIED
A SPECIF
PRICE DURING A SPECIF
974 509059 509059 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
PURPOSE
REGULATION
OF TENDER
CODE
PURPOSE
OFFEROF TENDER
TENDER
OFFER
OFFER IS IN PLACE TO PROTECT THE INTEREST OF MINORITY STOCKHOLDERS OF A TARGET COMPANY AGAINST ANY SCHEME THAT DILUTES THE SHARE VALUE OF THE INVESTMENTS. IT AFFORDS SUCH MINORITY SHAREHOLDERS THE OPPORTUNITY TO WITHDRAW OR EXIT FROM THE COMPANY UN
1. THE PERSON INTENDS TO ACQUIRE 15 PERCENT OR MORE OF THE EQUITY SHARE OF A PUBLIC COMPANY PURSUANT TO AN AGREEMENT MADE BETWEEN OR AMONG THE PERSON AND ONE OR MORE SELLERS.
975 509060 509060 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
INSTANCES
REGULATION
WHERE
CODE
INSTANCES
A TENDERWHERE
OFFER
2.A
IS
THE
TENDER
REQUIRED
PERSON
OFFER
TO
INTENDS
BE
IS REQUIRED
MADE
TO ACQUIRE
(3 ITEMS)
TO BE30
MADE
PERCENT
(3 ITEMS)
OR MORE OF THE EQUITY SHARES OF A PUBLIC COMPANY W
976 509061 509061 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
ISREGULATION
A COMPANY CODE
LISTED
IS A COMPANY
ON AN EXCHANGE
LISTED
PUBLIC
ON
OR
COMPANY
AN
HAS
EXCHANGE
ASSETS OF
ORATHAS
LEAST
ASSETS
P50,000,000
OF AT LEAST
ANDP50,000,000
HAVING 200AND
SHAREHOLDERS
HAVING 200OWNING
SHAREHOLDERS
100 SHARES
OWNING
EACH.
100 SHARES EACH.
977 509062 509062 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
REFERS
REGULATION
TO A REQUEST
CODE
REFERS
THAT
TO AA REQUEST
CORPORATE
PROXYTHAT
SOLICITATION
SHAREHOLDER
A CORPORATE
AUTHORIZE
SHAREHOLDER
ANOTHER
AUTHORIZE
PERSONANOTHER
TO CAST PERSON
THE FORMER'S
TO CAST
VOTE
THE AT
FORMER'S
A CORPORATE
VOTE AT
MEETING.
A CORPORATE MEETING.
978 509063 509063 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
PROCEDURES
REGULATIONFOR
CODE
PROCEDURES
PROPER FILING
FOROF
PROXIES
PROPER
PROXIES
MUST
FILINGBEOFINPROXIES
WRITING, SIGNED BY THE STOCKHOLDER OR HIS DULY AUTHORIZED REPRESENTATIVE AND FILED BEFORE THE SCHEDULED MEETING WITH THE CORPORATE SECRETARY.
979 509064 509064 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
RULE
REGULATION
ON VALIDITY
CODE
RULE
OF PROXIES
ON VALIDITYUNLESS
OF PROXIES
OTHERWISE PROVIDED IN THE PROXY, IT SHALL BE VALID ONLY FOR THE MEETING FOR WHICH IT IS INTENDED. NO PROXY SHALL BE VALID AND EFFECTIVE FOR A PERIOD LONGER THAN 5 YEARS AT ONE TIME.
980 509065 509065 RFBT - SECURITIESRFBT
REGULATION
- SECURITIES
CODE
NOREGULATION
__________CODE
OR
NO__________
__________SHALL
OR
BROKER;
__________
GIVEDEALER;
ANY PROXY,
SHALL
EXPRESS
GIVE
CONSENT
WRITTEN
ANY PROXY,
OR AUTHORIZATION,
AUTHORIZATION
CONSENT OR AUTHORIZATION,
IN RESPECT OF ANY
IN SECURITY
RESPECT OF
CARRIED
ANY SECURITY
FOR THECARRIED
ACCOUNTFOR
OFTHE
A CUSTOMER,
ACCOUNT OF
TOAACUSTOMER,
PERSON OTHER
TO ATHAN
PERSON
THEOTHER
CUSTOMER,
THAN WITHOUT
THE CUSTOMER,
THE __________
WITHOUT OF
THESUCH
__________
CUSTOMER.
OF SUCH CUSTOMER.
981 510001 510001 RFBT - INTELLECTUAL
RFBTPROPERTY
- INTELLECTUAL
CODE
IS A CATEGORY
PROPERTY CODE
OFISPERSONAL
A CATEGORY
PROPERTY
OFINTELLECTUAL
PERSONAL
THAT INCLUDES
PROPERTY
PROPERTY
INTANGIBLE
THAT INCLUDES
CREATIONS
INTANGIBLE
OF THE
CREATIONS
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OF THE HUMAN INTELLECT.
1. COPYRIGHT AND RELATED RIGHTS
2. MARK (TRADE, SERVICE AND COLLECTIVE)
3. GEOGRAPHIC INDICATIONS
4. INDUSTRIAL DESIGNS
5. PATENTS
6. LAYOUT DESIGNS (TOPOGRAPHIES) OF INTEGRATED CIRCUITS
982 510002 510002 RFBT - INTELLECTUAL
RFBTPROPERTY
- INTELLECTUAL
CODE
ITEMS
PROPERTY
COVEREDCODE
BY
ITEMS
INTELLECTUAL
COVERED BY
PROPERTY
7. INTELLECTUAL
PROTECTION
RIGHTS
OF
PROPERTY
(7
UNDISCLOSED
ITEMS)RIGHTS
INFORMATION
(7 ITEMS)
983 510003 510003 RFBT - INTELLECTUAL
RFBTPROPERTY
- INTELLECTUAL
CODE
IS ANY
PROPERTY
VISIBLE SIGN
CODE
IS ANY
CAPABLE
VISIBLE
OFSIGN
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OR SERVICEMARK
OR SERVICES
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(SERVICES)
OF AN
ORENTERPRISE
SERVICES OFAND
AN ENTERPRISE
SHALL INCLUDE
ANDASHALL
STAMPED
INCLUDE
OR MARKED
A STAMPED
CONTAINER
OR MARKED
OF GOODS.
CONTAINER OF GOODS.
984 510004 510004 RFBT - INTELLECTUAL
RFBTPROPERTY
- INTELLECTUAL
CODE
IS THE
PROPERTY
NAME ORCODE
DESIGNATION
IS THE NAME OR
IDENTIFYING
DESIGNATION
TRADENAMEOR DISTINGUISHING
IDENTIFYING OR DISTINGUISHING
AN ENTERPRISE. AN ENTERPRISE.
985 510005 510005 RFBT - INTELLECTUAL
RFBTPROPERTY
- INTELLECTUAL
CODE
IS A RIGHT
PROPERTY
OVERCODE
LITERARY
IS A RIGHTAND
OVER
ARTISTIC
LITERARY
COPYRIGHT
WORKS
AND ARTISTIC
WHICH AREWORKS
ORIGINAL
WHICH
INTELLECTUAL
ARE ORIGINAL
CREATIONS
INTELLECTUAL
IN THE
CREATIONS
LITERARY AND
IN THE
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DOMAIN
AND ARTISTIC
PROTECTED
DOMAIN
FROMPROTECTED
THE MOMENT
FROM
OFTHE
THEIR
MOMENT
CREATION.
OF THEIR CREATION.
986 510006 510006 RFBT - INTELLECTUAL
RFBTPROPERTY
- INTELLECTUAL
CODE
IS ANY
PROPERTY
TECHNICAL
CODE
ISSOLUTION
ANY TECHNICAL
OF A PATENTABLE
PROBLEM
SOLUTIONINOF
INVENTIONS
ANY
A PROBLEM
FIELD OF HUMAN
IN ANY FIELD
ACTIVITY
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WHICH ISAN
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INVENTIVE
INVOLVES
STEP
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INVENTIVE
IS INDUSTRIALLY
STEP AND APPLICABLE.
IS INDUSTRIALLY APPLICABLE.
987 510007 510007 RFBT - INTELLECTUAL
RFBTPROPERTY
- INTELLECTUAL
CODE
IDENTIFIES
PROPERTY
A GOOD
CODE
IDENTIFIES
AS ORIGINATING
A GOOD
GEOGRAPHICAL
IN
AS THE
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TERRITORY,
INDICATION
INWHERE
THE TERRITORY,
A GIVEN QUALITY,
WHERE AREPUTATION
GIVEN QUALITY,
OR OTHER
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OR OTHER CHARACTERISTIC
OF THE GOOD IS ESSENTIALLY
OF THE GOODATTRIBUTABLE
IS ESSENTIALLY
TOATTRIBUTABLE
ITS GEOGRAPHICAL
TO ITSORIGIN.
GEOGRAPHICAL ORIGIN.
988 510008 510008 RFBT - INTELLECTUAL
RFBTPROPERTY
- INTELLECTUAL
CODE
ARE PROPERTY
CONTRACTSCODE
OR
AREARRANGEMENTS
CONTRACTS OR
TECHNOLOGY
ARRANGEMENTS
INVOLVINGTRANSFER
TRANSFER
INVOLVING
AGREEMENT
OF SYSTEMATIC
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OF A
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OF THE
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TRANSFER, ASSIGNMENT
AND TRANSFER,
OR ASSIGNMENT
LICENSING OFOR
ALLLICENSING
FORMS OFOF
INTELLE
ALL FORMS OF INTELLE
989 510009 510009 RFBT - INTELLECTUAL
RFBTPROPERTY
- INTELLECTUAL
CODE
IS ANPROPERTY
INFORMATION
CODE
IS AN
WHICH
INFORMATION
IS A SECRET
UNDISCLOSED
WHICH
IN THE
IS SENSE
AINFORMATION
SECRET
THAN
IN THE
IT IS SENSE
NOT, AS
THAN
A BODY
IT IS OR
NOT,
IN AS
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CONFIGURATION
OR IN PRECISE CONFIGURATION
AND ASSEMBLY OF
AND
COMPONENTS,
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COMPONENTS,
KNOWN
GENERALLY
AMONG,KNOWN
OR READILY
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ACCESSIBLE
OR READILY
TO PERSONS
ACCESSIBLE
WITHIN
TO PERSONS
THE CIRCLES
WITHIN
THATTHE
NORMALLY
CIRCLES THAT
DEAL NORMALLY
WITH THE KIND
DEALOF
WITH
INFORMATION
THE KIND OF
I INFORMATION I
990 510010 510010 RFBT - INTELLECTUAL
RFBTPROPERTY
- INTELLECTUAL
CODE
IS A STATUTORY
PROPERTY CODE
GRANT
IS A STATUTORY
WHICH CONFERS
GRANT
PATENTWHICH
TO AN INVENTOR
CONFERS TO
ORAN
HISINVENTOR
LEGAL SUCCESSOR;
OR HIS LEGAL
IN RETURN
SUCCESSOR;
FOR THE
IN RETURN
DISCLOSURE
FOR THE
OF THE
DISCLOSURE
INVENTION
OFTO
THE
THE
INVENTION
PUBLIC, THE
TO RIGHT
THE PUBLIC,
FOR ATHE
LIMITED
RIGHTPERIOD
FOR A OF
LIMITED
TIME TO
PERIOD
EXCLUDE
OF TIME
OTHERS
TO EXCLUDE
FROM MAKING,
OTHERSUSING
FROM,MAKING,
SELLING OR
USING
IMPORTING
, SELLINGTHE
OR INVENTION
IMPORTINGWITHIN
THE INVENTION WITHIN
1. NOVELTY
2. INVOLVES AN INVENTIVE STEP
991 510011 510011 RFBT - INTELLECTUAL
RFBTPROPERTY
- INTELLECTUAL
CODE
CONDITIONS
PROPERTY
FOR
CODE
CONDITIONS
PATENTABILITY
FOR(33.
PATENTABILITY
ITEMS)
INDUSTRIALLY(3APPLICABLE
ITEMS)
992 510012 510012 RFBT - INTELLECTUAL
RFBTPROPERTY
- INTELLECTUAL
CODE
IS EVERYTHING
PROPERTY CODE
WHICH
IS EVERYTHING
HAS BEENWHICH
MADE
PRIORAVAILABLE
HAS
ARTBEEN MADE
TO THE
AVAILABLE
PUBLIC ANYWHERE
TO THE PUBLIC
IN THE
ANYWHERE
WORLD, BEFORE
IN THE THE
WORLD,
FILING
BEFORE
DATE THE
OR THE
FILING
PRIORITY
DATE OR
DATE
THEOFPRIORITY
THE APPLICATION
DATE OF THE
CLAIMING
APPLICATION
THE INVENTION.
CLAIMING THE INVENTION.
GR: IT SHALL BE NON-PATENTABLE FOR ABSENCE OF NOVELTY.
993 510013 510013 RFBT - INTELLECTUAL
RFBTPROPERTY
- INTELLECTUAL
CODE
RULES
PROPERTY
ON PATENTABILITY
CODE
RULES ONWHEN
PATENTABILITY
A XPN:
WORK ITHAS
SHALL
WHEN
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A WORK
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ALREADY
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IN BEEN
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TO
ONTHE
NON-PREJUDICIAL
AVAILABLE
PUBLIC TO THEDISCLOSURES
PUBLIC (OR DISCLOSURE MADE BY THE INVENTOR, PATENT OFFICE OR A THIRD PARTY WHICH OBTAINED THE INFORMATION DIRECTLY OR INDIRECTLY FROM
994 510014 510014 RFBT - INTELLECTUAL
RFBTPROPERTY
- INTELLECTUAL
CODE
REFERS
PROPERTY
TO A HYPOTHETICAL
CODE
REFERS TO APERSON
HYPOTHETICAL
PERSON
WHO SKILLED
HAS
PERSON
COMMON
IN THE
WHO ART
GENERAL
HAS COMMON
KNOWLEDGE
GENERAL
IN THE
KNOWLEDGE
ART TO WHICH
IN THETHE
ARTCLAIMED
TO WHICH
INVENTION
THE CLAIMED
PERTAINS.
INVENTION PERTAINS.
995 510015 510015 RFBT - INTELLECTUAL
RFBTPROPERTY
- INTELLECTUAL
CODE
IS A FEATURE
PROPERTYOFCODE
AN
IS AINVENTION
FEATURE OF
THAT
AN
INVENTIVE
INVENTION
INVOLVES
STEP
TECHNICAL
THAT INVOLVES
ADVANCE
TECHNICAL
AS COMPARED
ADVANCE
TOASEXISTING
COMPAREDKNOWLEDGE
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GR: AN INVENTION INVOLVES AN INVENTIVE STEP IF, HAVING REGARD TO PRIOR ART, IT IS NOT OBVIOUS TO A PERSON SKILLED IN THE ART AT THE TIME OF THE FILING DATE OR PRIORITY DATE OF THE APPLICATION OF THE INVENTION.
996 510016 510016 RFBT - INTELLECTUAL
RFBTPROPERTY
- INTELLECTUAL
CODE
RULES
PROPERTY
ON THE INVOLVEMENT
CODE
RULES ON THE
OFINVOLVEMENT
AN
XPN:
INVENTIVE
IN THE CASE
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STEP
ANOF
IN
INVENTIVE
DRUGS
AN INVENTION
AND
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MEDICINES,
IN AN INVENTION
THER
997 510017 510017 RFBT - INTELLECTUAL
RFBTPROPERTY
- INTELLECTUAL
CODE
IS A TEST
PROPERTY
WHICH
CODE
ASSERTS
IS A TESTTHAT
WHICHIF ANY
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TESTPERSON
OF NON-OBVIOUSNESS
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ORDINARY
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IN THE
TOART
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HE CONSTRUCTS
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HE CONSTRUCTS
THE SUPPOSED
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DID NOT
THE REALLY
LATTER INVENT.
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1. INDUSTRIAL DESIGN
2. INTEGRATED CIRCUIT
3. LAYOUT DESIGN/TOPOGRAPHY
998 510018 510018 RFBT - INTELLECTUAL
RFBTPROPERTY
- INTELLECTUAL
CODE
FORMS
PROPERTY
OF PATENTABLE
CODE
FORMSINVENTIONS
OF PATENTABLE
4. (4
UTILITY
ITEMS)
INVENTIONS
MODEL (4 ITEMS)
999 510019 510019 RFBT - INTELLECTUAL
RFBTPROPERTY
- INTELLECTUAL
CODE
CONSTITUTES
PROPERTYTHE
CODE
CONSTITUTES
ORNAMENTALTHE
OR
INDUSTRIAL
ORNAMENTAL
AESTHETICDESIGN
ASPECT
OR AESTHETIC
OF AN ARTICLE;
ASPECTMAY
OF AN
CONSIST
ARTICLE;
OF MAY
THREE
CONSIST
DIMENSIONAL
OF THREE
FEATURES,
DIMENSIONAL
SUCH FEATURES,
AS THE SHAPE
SUCH
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ANTHE
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AN ARTICLE,
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OR TWO
FEATURES,
DIMENSIONAL
SUCH FEATURES,
AS PATTERNS,
SUCH
LINES
AS PATTERNS,
OR COLOR. LINES OR COLOR.
1000 510020 510020 RFBT - INTELLECTUAL
RFBTPROPERTY
- INTELLECTUAL
CODE
IS A PRODUCT,
PROPERTY IN
CODE
ISITS
A FINAL
PRODUCT,
FORM,
ININTEGRATED
OR
ITS AN
FINAL
INTERMEDIATE
FORM,
CIRCUIT
OR ANFORM,
INTERMEDIATE
IN WHICHFORM,
THE ELEMENTS,
IN WHICHAT
THE
LEAST
ELEMENTS,
ONE OFAT
WHICH
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AN ACTIVE
OF WHICH
ELEMENTS
IS AN ACTIVE
AND SOME
ELEMENTS
OF ALLAND
OF THE
SOMEINTERCONNECTIONS
OF ALL OF THE INTERCONNECTIONS
ARE INTEGRALLY FORMED
ARE INTEGRALLY
IN AND OR
FORMED
ON A PIECE
IN ANDOFOR
MATERIAL,
ON A PIECE
ANDOFIN
MATERIAL,
WHICH ISAND
INTENDED
IN WHICH
TO PERFOR
IS INTENDED TO PERFOR
1001 510021 510021 RFBT - INTELLECTUAL
RFBTPROPERTY
- INTELLECTUAL
CODE
IS THE
PROPERTY
THREE DIMENSIONAL
CODE
IS THE THREE
DISPOSITION,
DIMENSIONAL
LAYOUT HOWEVER
DESIGN/TOPOGRAPHY
DISPOSITION,
EXPRESSED,
HOWEVER
OF THE
EXPRESSED,
ELEMENTS,
OFAT
THE
LEAST
ELEMENTS,
ONE OFAT
WHICH
LEASTISONE
AN ACTIVE
OF WHICH
ELEMENT,
IS AN ACTIVE
AND OFELEMENT,
SOME ORAND
ALL OF SOME
THE INTERCONNECTIONS
OR ALL OF THE INTERCONNECTIONS
OF AN INTEGRATED
OF CIRCUIT,
AN INTEGRATED
OR SUCHCIRCUIT,
A THREE-DIMENSIONAL
OR SUCH A THREE-DIMENSIONAL
DISPOSITION PREPARED
DISPOSITION
FOR ANPREPARED
INTEGRATED
FOR CAN INTEGRATED C
1002 510022 510022 - -
1003 511001 511001 RFBT - DATA PRIVACY
RFBTACT
- DATA PRIVACY
IS ANACT
ACT PROMULGATED
IS AN ACTTO
PROMULGATED
ENSURE
DATATHAT
PRIVACY
TO
PERSONAL
ENSURE
ACT INFORMATION
THAT PERSONAL
ININFORMATION
INFORMATIONIN
AND
INFORMATION
COMMUNICATIONS
AND COMMUNICATIONS
SYSTEMS IN THE GOVERNMENT
SYSTEMS IN THE
AND
GOVERNMENT
IN THE PRIVATE
ANDSECTOR
IN THE ARE
PRIVATE
SECURED
SECTOR
ANDARE
PROTECTED.
SECURED AND PROTECTED.
1004 511002 511002 RFBT - DATA PRIVACY
RFBTACT
- DATA PRIVACY
IS ANACT
INDEPENDENT
IS AN
BODY
INDEPENDENT
CREATED
NATIONAL
UNDER
BODY CREATED
THE
PRIVACY
DATAUNDER
COMMISSION
PRIVACY
THE
ACT,
DATA
(NPC)
MANDATED
PRIVACY ACT,
TO ADMINISTER
MANDATEDAND
TO ADMINISTER
IMPLEMENTAND
THE PROVISIONS
IMPLEMENT THE
OF THE
PROVISIONS
ACT, ANDOF
TOTHE
MONITOR
ACT, AND
ANDTOENSURE
MONITOR
COMPLIANCE
AND ENSURE
OF THE
COMPLIANCE
COUNTRYOF
WITH
THEINTERNATIONAL
COUNTRY WITH STANDARDS
INTERNATIONAL
SET FOR
STANDARDS
DATA PROTECTION.
SET FOR DATA PROTECTION.
1005 511003 511003 RFBT - DATA PRIVACY
RFBTACT
- DATA PRIVACY
REFERS
ACTTO AN INDIVIDUAL
REFERS TOWHOSE
AN INDIVIDUAL
DATA
PERSONAL
SUBJECT
WHOSE
INFORMATION
PERSONAL
IS INFORMATION
PROCESSED. IS PROCESSED.
1006 511004 511004 RFBT - DATA PRIVACY
RFBTACT
- DATA PRIVACY
REFERS
ACTTO ANY FREELY
REFERSGIVEN,
TO ANYSPECIFIC,
FREELY
CONSENTINFORMED
GIVEN,
OF THE
SPECIFIC,
INDICATION
DATAINFORMED
SUBJECT
OF WILL,
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WHEREBY
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DATA
WHEREBY
SUBJECT
THE
AGREES
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TO THE COLLECTION
AGREES TO THE
ANDCOLLECTION
PROCESSINGAND
OF PERSONAL
PROCESSING
INFORMATION
OF PERSONAL
ABOUT
INFORMATION
AND/OR RELATING
ABOUT AND/OR
TO HIMRELATING
OR HER. TO HIM OR HER.
1007 511005 511005 RFBT - DATA PRIVACY
RFBTACT
- DATA PRIVACY
FORMACT
OF CONSENT
FORM
OF THE
OF CONSENT
DATA SUBJECT
CONSENT
OF THE
REQUIRED
SHALL
DATA SUBJECT
BE EVIDENCED
REQUIRED
BY WRITTEN, ELECTRONIC OR RECORDED MEANS. IT MAY ALSO BE GIVEN ON BEHALF OF THE DATA SUBJECT BY AN AGENT SPECIFICALLY AUTHORIZED BY THE DATA SUBJECT TO DO SO.
1008 511006 511006 RFBT - DATA PRIVACY
RFBTACT
- DATA PRIVACY
REFERS
ACTTO COMMUNICATION
REFERS TO COMMUNICATION
BY WHATEVER
DIRECT MARKETING
MEANS
BY WHATEVER
OF ANY ADVERTISING
MEANS OF ANY
OR ADVERTISING
MARKETING MATERIAL
OR MARKETING
WHICHMATERIAL
IS DIRECTED
WHICH
TO PARTICULAR
IS DIRECTEDINDIVIDUALS.
TO PARTICULAR INDIVIDUALS.
1009 511007 511007 RFBT - DATA PRIVACY
RFBTACT
- DATA PRIVACY
REFERS
ACTTO ANY ACT
REFERS
OF INFORMATION
TO ANY ACT
FILING
OF
RELATING
INFORMATION
SYSTEMTO NATURAL
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OR JURIDICAL
TO NATURALPERSONS
OR JURIDICAL
TO THE PERSONS
EXTENT THAT,
TO THE
ALTHOUGH
EXTENT THAT,
THE INFORMATION
ALTHOUGH THE
IS INFORMATION
NOT PROCESSED
IS BY
NOTEQUIPMENT
PROCESSEDOPERATING
BY EQUIPMENT
AUTOMATICALLY
OPERATING AUTOMATICALLY
IN RESPONSE TO INSTRUCTIONS
IN RESPONSE TO
GIVEN
INSTRUCTIONS
FOR THAT GIVEN
PURPOSE,
FORTHE
THAT
SETPURPOSE,
IS STRUCTURED,
THE SETEITHER
IS STRUCTURED, EITHER
1010 511008 511008 RFBT - DATA PRIVACY
RFBTACT
- DATA PRIVACY
REFERS
ACTTO A SYSTEM
REFERS
FORTO
GENERATING,
A SYSTEM
INFORMATION
FOR
SENDING,
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AND
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COMMUNICATIONS
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ORSYSTEM
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OR OTHERWISE
ELECTRONIC
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ANDDOCUMENTS
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ANDCOMPUTER
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OR OTHER
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ORDEVICE
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DATA
BY IS
ORRECORDED,
WHICH DATA
TRANSMITTED
IS RECORDED,
ORTRANSMITTED
STORED AND ANY
OR STORED
PR AND ANY PR
1011 511009 511009 RFBT - DATA PRIVACY
RFBTACT
- DATA PRIVACY
REFERS
ACTTO ANY INFORMATION
REFERS TO ANY
WHETHER
INFORMATION
PERSONAL
RECORDED
INFORMATION
WHETHER
IN A MATERIAL
RECORDEDFORM
IN A MATERIAL
OR NOT, FROM
FORMWHICH
OR NOT,
THEFROM
IDENTITY
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AN INDIVIDUAL
IDENTITY OFISAN
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OR CAN
IS APPARENT
BE REASONABLY
OR CAN AND
BE REASONABLY
DIRECTLY ASCERTAINED
AND DIRECTLY
BY ASCERTAINED
THE ENTITY HOLDING
BY THE ENTITY
THE INFORMATION,
HOLDING THEOR
INFORMATION,
WHEN PUT TOGETHER
OR WHENWITH
PUT TOGETHER
OTHER INFORMATION
WITH OTHER
WOU
INFORMATION WOU
1012 511010 511010 RFBT - DATA PRIVACY
RFBTACT
- DATA PRIVACY
REFERS
ACTTO A PERSON
REFERS
OR TO
ORGANIZATION
A PERSON
PERSONAL
ORWHO
ORGANIZATION
INFORMATION
CONTROLS THE
WHO
CONTROLLER
COLLECTION,
CONTROLS THE
HOLDING,
COLLECTION,
PROCESSING
HOLDING,
OR USE
PROCESSING
OF PERSONAL
OR USE
INFORMATION,
OF PERSONALINCLUDING
INFORMATION,
A PERSON
INCLUDING
OR ORGANIZATION
A PERSON ORWHO
ORGANIZATION
INSTRUCTS WHO
ANOTHER
INSTRUCTS
PERSONANOTHER
OR ORGANIZATION
PERSON ORTO
ORGANIZATION
COLLECT, HOLD,
TOPROCESS,
COLLECT, USE,
HOLD,TRANSFER
PROCESS,OR
USE,
DISCLOSE
TRANSFER
PERSON
OR DISCLOSE PERSON
1. A PERSON OR ORGANIZATION WHO PERFORMS SUCH FUNCTIONS AS INSTRUCTED BY ANOTHER PERSON OR ORGANIZATION; AND
1013 511012 511012 RFBT - DATA PRIVACY
RFBTACT
- DATA PRIVACY
PERSONS
ACT NOT CONSIDERED
PERSONS NOT
AS PERSONAL
CONSIDERED
2. AN INDIVIDUAL
INFORMATION
AS PERSONAL
WHOCONTROLLERS
COLLECTS,
INFORMATION
HOLDS,
(2 CONTROLLERS
ITEMS)
PROCESSES (2
ORITEMS)
USES PERSONAL INFORMATION IN CONNECTION WITH THE INDIVIDUAL'S PERSONAL, FAMILY OR HOUSEHOLD AFF
1014 511013 511013 RFBT - DATA PRIVACY
RFBTACT
- DATA PRIVACY
REFERS
ACTTO ANY NATURAL
REFERS TO
ORANY
JURIDICAL
NATURAL
PERSONAL
PERSON
ORINFORMATION
JURIDICAL
QUALIFIED
PERSON
TO
PROCESSOR
ACT
QUALIFIED
AS SUCH UNDER
TO ACT THE
AS SUCH
DATAUNDER
PRIVACY
THE
ACT
DATA
TO WHOM
PRIVACYA ACT
PERSONAL
TO WHOM
INFORMATION
A PERSONAL
CONTROLLER
INFORMATION
MAYCONTROLLER
OUTSOURCEMAY
THE OUTSOURCE
PROCESSING THE
OF PERSONAL
PROCESSING
DATA
OF PERTAINING
PERSONAL DATA
TO APERTAINING
DATA SUBJECT.
TO A DATA SUBJECT.
1015 511014 511014 RFBT - DATA PRIVACY
RFBTACT
- DATA PRIVACY
REFERS
ACTTO ANY OPERATION
REFERS TO OR
ANYANY
OPERATION
PROCESSING
SET OF OPERATIONS
OR ANY SETPERFORMED
OF OPERATIONS
UPONPERFORMED
PERSONAL UPON
INFORMATION
PERSONAL
INCLUDING,
INFORMATION
BUT NOT
INCLUDING,
LIMITEDBUT
TO, NOT
THE COLLECTION,
LIMITED TO, THE
RECORDING,
COLLECTION,
ORGANIZATION,
RECORDING, STORAGE,
ORGANIZATION,
UPDATING
STORAGE,
OR MODIFICATION,
UPDATING ORRETRIEVAL,
MODIFICATION,
CONSULTATION,
RETRIEVAL, USE,
CONSULTATION,
CONSOLIDATION,
USE, CONSOLIDATION,
BLOCKING, ERASURE
BLOCKING, ERASURE
1016 511015 511015 RFBT - DATA PRIVACY
RFBTACT
- DATA PRIVACY
REFERS
ACTTO INFORMATION
REFERS TO
THAT
INFORMATION
WHICH
PRIVILEGED
IS TO
THAT
BE
INFORMATION
ONLY
WHICH
SHARED
IS TO BE
BETWEEN
ONLY SHARED
SPECIFIC
BETWEEN
PARTIESSPECIFIC
AND NOTPARTIES
ADMISSIBLE
AND NOT
IN COURT
ADMISSIBLE
(PROTECTED
IN COURT
FROM(PROTECTED
A SUBPOENA).
FROM A SUBPOENA).
PERSONAL INFORMATION:
1. ABOUT AN INDIVIDUAL'S RACE, ETHNIC ORIGIN, MARITAL STATUS, AGE, COLOR AND RELIGIOUS, PHILOSOPHICAL OR POLITICAL AFFILIATIONS;
1017 511016 511016 RFBT - DATA PRIVACY
RFBTACT
- DATA PRIVACY
PERSONAL
ACT INFORMATION
PERSONAL
TOINFORMATION
WHICH
2. SENSITIVE
ABOUTTOANWHICH
INFORMATION
INDIVIDUAL'S
SENSITIVE
HEALTH,
PERTAINS
INFORMATION
EDUCATION,
TO (4 ITEMS)
PERTAINS
GENETIC
TO OR
(4 ITEMS)
SEXUAL LIFE OF A PERSON, OR TO ANY PROCEEDING FOR
1018 511017 511017 RFBT - DATA PRIVACY
RFBTACT
- DATA PRIVACY
WITHIN
ACTOR OUTSIDE
WITHIN
THE OR
SCOPE
OUTSIDE
OFWITHIN
DATA
THEPRIVACY
SCOPE OF
ACT:
DATA
PROCESSING
PRIVACY ACT:
OF ALL
PROCESSING
TYPES OF PERSONAL
OF ALL TYPES
INFORMATION
OF PERSONAL
AND
INFORMATION
ANY NATURAL
ANDAND
ANY
JURIDICAL
NATURALPERSON
AND JURIDICAL
INVOLVEDPERSON
IN PERSONAL
INVOLVED
INFORMATION
IN PERSONAL
PROCESSING
INFORMATION PROCESSING
1019 511018 511018 RFBT - DATA PRIVACY
RFBTACT
- DATA PRIVACY
WITHIN
ACTOR OUTSIDE
WITHIN
THE OR
SCOPE
OUTSIDE
OFWITHIN
DATA
THEPRIVACY
SCOPE OF
ACT:
DATA
PERSONAL
PRIVACYINFORMATION
ACT: PERSONAL
CONTROLLERS
INFORMATION
AND
CONTROLLERS
PROCESSORSAND
WHO,
PROCESSORS
ALTHOUGHWHO,
NOT FOUND
ALTHOUGH
OR ESTABLISHED
NOT FOUND OR
IN THE
ESTABLISHED
PHILIPPINES,
IN THE
USE PHILIPPINES,
EQUIPMENT USETHATEQUIPMENT
ARE LOCATED
THAT
IN THE
ARE PHILIPPINES
LOCATED IN THE PHILIPPINES
1020 511019 511019 RFBT - DATA PRIVACY
RFBTACT
- DATA PRIVACY
WITHIN
ACTOR OUTSIDE
WITHIN
THE OR
SCOPE
OUTSIDE
OFWITHIN
DATA
THEPRIVACY
SCOPE OF
ACT:
DATA
PERSONAL
PRIVACYINFORMATION
ACT: PERSONAL
CONTROLLERS
INFORMATION
AND
CONTROLLERS
PROCESSORSAND
WHOPROCESSORS
MAINTAIN AN
WHOOFFICE,
MAINTAIN
BRANCH
AN OR
OFFICE,
AGENCY
BRANCH
IN THE
ORPHILIPPINES
AGENCY IN THE PHILIPPINES
1021 511020 511020 RFBT - DATA PRIVACY
RFBTACT
- DATA PRIVACY
WITHIN
ACTOR OUTSIDE
WITHIN
THE OR
SCOPE
OUTSIDE
OFOUTSIDE
DATA
THEPRIVACY
SCOPE OF
ACT:
DATA
INFORMATION
PRIVACY ACT:
ABOUT
INFORMATION
ANY INDIVIDUAL
ABOUT WHO
ANY INDIVIDUAL
IS OR WAS AN
WHOOFFICER
IS OR WAS
OR EMPLOYEE
AN OFFICER
OFOR
A GOVERNMENT
EMPLOYEE OF INSTITUTION
A GOVERNMENTTHAT
INSTITUTION
RELATES TOTHAT
THE POSITION
RELATES TO
ORTHE
FUNCTIONS
POSITIONOFORTHE
FUNCTIONS
INDIVIDUAL
OF THE INDIVIDUAL
 MAS - OVERVIEW OF MANAGEMENT ACCOUNTING (301001 - 301057)
301001 - IS AN INDIVIDUAL (WHO IS NOT AN EMPLOYEE OF
THE ORGANIZATION) QUALIFIED BY EDUCATION,
EXPERIENCE, TECHNICAL ABILITY AND TEMPERAMENT TO
ADVISE OR ASSIST BUSINESSMEN ON A PREFESSIONAL
MANAGEMENT CONSULTANT
BASIS IN IDENTIFYING, DEFINING AND SOLVING SPECIFIC
MANAGEMENT PROBLEMS INVOLVING THE ORGANIZATION,
PLANNING, DIRECTION, CONTROL AND OPERATION OF A
FIRM. IS AN INDIVIDUAL
MANAGEMENT
(WHO IS NOT CONSULTANT
AN EMPLOYEE
301001 OF THE ORGANIZA
301002 - MAY BE DEFINED AS THE FUNCTION OF PROVIDING
PROFESSIONAL ADVISORY (CONSULTING) SERVICES, THE
PRIMARY PURPOSE OF WHICH IS TO IMPROVE THE CLIENT'S MANAGEMENT ADVISORY SERVICES (MAS)
USE OF ITS CAPABILITIES AND RESOURCES TO ACHIEVE THE
OBJECTIVES OF THE ORGANIZATION. MAY BE DEFINED
MANAGEMENT
AS THE FUNCTION
ADVISORY
OF301002
PROVIDING
SERVICESPROFESSIO
(MAS)
301003 - AREAS RELATED TO ACCOUNTING AND FINANCE AREAS RELATED TO ACCOUNTING AND 301003
FINANCE
301004 - 301004
301005 - 301005
301006 - 301006
301007 - 301007
301008 - 301008
301009 - 301009
301010 - 301010
301011 - 301011
301012 - 301012
301013 - 301013
301014 - 301014
301015 - 301015
301016 - 301016
301017 - 301017
301018 - 301018
301019 - 301019
301020 - 301020
301021 - 301021
301022 - 301022
301023 - 301023
301024 - 301024
301025 - 301025
301026 - 301026
301027 - 301027
301028 - 301028
301029 - 301029
301030 - 301030
301031 - 301031
301032 - 301032
301033 - 301033
301034 - 301034
301035 - 301035
301036 - 301036
301037 - 301037
301038 - 301038
301039 - 301039
301040 - 301040
301041 - 301041
301042 - 301042
301043 - 301043
301044 - 301044
301045 - 301045
301046 - 301046
301047 - 301047
301048 - 301048
301049 - 301049
301050 - 301050
301051 - 301051
301052 - 301052
301053 - 301053
301054 - 301054
301055 - 301055
301056 - 301056
301057 - 301057
 MAS - OVERVIEW OF MANAGEMENT ACCOUNTING (301001 - 301057)
301001 - INVOLVES THE APPLICATION OF APPROPRIATE
TECHNIQUES AND CONCEPTS TO ECONOMIC DATA SO AS TO
ASSIST MANAGEMENT IN ESTABLISHING PLANS FOR
MANAGEMENT ACCOUNTING
REASONABLE ECONOMIC OBJECTIVES AND IN THE MAKING
OF RATIONAL DECISIONS WITH A VIEW TOWARD ACHIEVING
THESE OBJECTIVES.
1. SCOREKEEPING
301002 - MANAGEMENT ACCOUNTING TASKS, IN GENERAL (3
2. INTERPRETING AND REPORTING INFORMATION
ITEMS)
3. PROBLEM-SOLVING
301003 - ENABLES BOTH INTERNAL AND EXTERNAL PARTIES
TO EVALUATE ORGANIZATIONAL PERFORMANCE AND SCOREKEEPING
POSITION.
301004 - HELP MANAGERS FOCUS ON OPERATING
INTERPRETING AND REPORTING INFORMATION
PROBLEMS, OPPORTUNITIES AS WELL AS INEFFICIENCIES.
301005 - REFERS TO THE QUANTIFICATION OF THE RELATIVE
MERITS OF POSSIBLE COURSES OF ACTION AS WELL AS PROBLEM-SOLVING
RECOMMENDATIONS AS TO THE BES PROCEDURE.
1. PLANNING
301006 - ADMINISTRATIVE FUNCTIONS WHERE MANAGEMENT
2. CONTROLLING
ACCOUNTING INFORMATION ARE USUALLY USED (3 ITEMS)
3. DECISION MAKING
301007 - INVOLVES SETTING OF GOALS FOR THE FIRM,
EVALUATING VARIOUS WAYS TO MEET THE GOALS AND
PLANNING
PICKING OUT WHAT APPEARS TO BE THE BEST WAY TO
MEET THE GOALS.
301008 - INVOLVES THE EVALUATION OF WHETHER ACTUAL
CONTROLLING
PERFORMANCE CONFORMS WITH PLANNED GOALS.
301009 - INVOLVES DETERMINATION OF PREDICTIVE
INFORMATION (E.G., RELEVANT COSTS) FOR MAKING DECISION MAKING
IMPORTANT BUSINESS DECISIONS.
301010 - IS A FORMAL STATEMENT OF ESTIMATED INCOME
BUDGET
AND EXPENSES BASED ON FUTURE PLANS AND OBJECTIVES.
301011 - REFER TO THE REPORTS USED TO EVALUATE THE
PERFORMANCE OF MANAGERS AND THE OPERATIONS THEY PERFORMANCE REPORTS
CONTROL.
301012 - FA OR MA: ITS OBJECTIVE IS TO PROVIDE DATA FOR
BOTH INTERNAL (MANAGEMENT) AND EXTERNAL USERS (E. FINANCIAL ACCOUNTING
G., CREDITORS, OWNERS, GOVERNMENT, ETC.).
301013 - FA OR MA: ITS OBJECTIVE IS TO PROVIDE DATA FOR
MANAGEMENT ACCOUNTING
INTERNAL USERS WITHIN THE BUSINESS ORGANIZATION.
301014 - FA OR MA: FINANCIAL DATA SHOULD BE RECORDED
FINANCIAL ACCOUNTING
AND PRESENTED IN ACCORDANCE WITH IFRS.
301015 - FA OR MA: REPORTS NEED NOT BE PRESENTED IN
CONFORMITY WITH IFRS TO BE ABLE TO PRESENT MORE MANAGEMENT ACCOUNTING
USEFUL DATA TO MANAGEMENT.
301016 - FA OR MA: THIS PRIMARILY INVOLVES SUMMARIES
FINANCIAL ACCOUNTING
OF PAST FINANCIAL TRANSACTIONS.
301017 - FA OR MA: THIS HAS A STONG FUTURE
MANAGEMENT ACCOUNTING
ORIENTATION.
301018 - FA OR MA: ALL-PURPOSE REPORTS WITH
HISTORICAL DATA ARE PREPARED FOR USE OF DIFFERENT FINANCIAL ACCOUNTING
PARTIES.
301019 - FA OR MA: SPECIAL REPORTS CONTAINING BOTH
HISTORICAL AND PROJECTED DATA ARE PREPARED TO MANAGEMENT ACCOUNTING
MEET THE NEEDS OF SPECIFIC USERS.
301020 - FA OR MA: REPORTS ARE STILL USEFUL EVEN IF
SUBMITTED LATE AND SHOW SUMMARIES OF FINANCIAL
FINANCIAL ACCOUNTING
CONSEQUENCES OF ACTUAL AND PAST ACTIVITIES WHERE
PRECISION IS REQUIRED.
301021 - FA OR MA: TIMELINESS IS OFTEN MORE IMPORTANT
MANAGEMENT ACCOUNTING
THAN PRECISION TO MANAGERS.
301022 - FA OR MA: THIS IS PRIMARILY CONCERNED WITH
FINANCIAL ACCOUNTING
REPORTING FOR THE COMPANY AS A WHOLE.
 301023 - FA OR MA: THIS FOCUSES REPORTING ON THE
PARTS OR SEGMENTS (I.E., PRODUCT LINES, DIVISIONS, MANAGEMENT ACCOUNTING
TERRITORIES, DEPARTMENTS) OF THE COMPANY.
301024 - FA OR MA: THIS IS REQUIRED BY LAW AS
EXEMPLIFIED BY THE REPORT REQUIREMENTS OF THE BIR, FINANCIAL ACCOUNTING
SEC AND OTHER GOVERNMENTAL ENTITIES.
301025 - FA OR MA: THIS IS NOT MANDATORY (I.E, NOT
MANAGEMENT ACCOUNTING
REQUIRED BY LAW).
301026 - IS A SYSTEMATIC SET OF PROCEDURES FOR
RECORDING AND REPORTING MEASUREMENTS OF THE
COST ACCOUNTING
COST OF MANUFACTURING GOODS AND PERFORMING
SERVICES IN THE AGGREGATE AND IN DETAIL.
301027 - IS THE AUTHORITY TO COMMAND ACTION OR GIVE
ORDERS TO SUBORDINATES. MANAGERS WITH THIS
AUTHORITY (E.G., SALES, PRODUCTION) ARE DIRECTLY LINE AUTHORITY
RESPONSIBLE FOR ATTAINING THE OBJECTIVES OF THE
BUSINESS FIR, AS EFFICIENTLY AS POSSIBLE.
301028 - IS THE AUTHORITY TO COMMAND ACTION OR GIVE
ORDERS TO SUBORDINATES. MANAGERS WITH THIS
AUTHORITY (E.G., SALES, PRODUCTION) ARE DIRECTLY STAFF AUTHORITY
RESPONSIBLE FOR ATTAINING THE OBJECTIVES OF THE
BUSINESS FIR, AS EFFICIENTLY AS POSSIBLE.
301029 - IS THE EXECUTIVE RESPONSIBLE FOR OVERSEEING
CHIEF FINANCIAL OFFICER (CFO) OR FINANCE DIRECTOR
THE FINANCIAL OPERATIONS OF AN ORGANIZATION.
301030 - IS AN AREA OF RESPONSIBILITY OF THE CFO WHICH
INCLUDES PROVIDING FINANCIAL INFORMATION FOR
REPORTS TO MANAGERS AND REPORTS TO SHAREHOLDERS CONTROLLERSHIP
AND OVERSEEING OVERALL OPERATIONS OF THE
ACCOUNTING SYSTEM.
301031 - IS AN AREA OF RESPONSIBILITY OF THE CFO WHICH
INCLUDES BANKING AND SHORT- AND LONG-TERM TREASURY
FINANCING, INVESTMENTS AND MANAGEMENT OF CASH.
301032 - IS AN AREA OF RESPONSIBILITY OF THE CFO WHICH
INCLUDES MANAGING THE FINANCIAL RISK OF INTEREST-
RISK MANAGEMENT
RATE AND EXCHANGE-RATE AND DERIVATIVES
MANAGEMENT.
301033 - IS AN AREA OF RESPONSIBILITY OF THE CFO WHICH
INCLUDES INCOME TAXES, SALES TAXES AND TAXATION
INTERNATIONAL TAX PLANNING.
301034 - IS AN AREA OF RESPONSIBILITY OF THE CFO WHICH
INCLUDES REVIEWING AND ANALYZING FINANCIAL AND
OTHER RECORDS TO ATTEST TO THE INTEGRITY OF THE INTERNAL AUDIT
ORGANIZATION'S FINANCIAL REPORTS AND TO ADHERENCE
TO ITS POLICIES AND PROCEDURES.
301035 - IS THE FINANCIAL EXECUTIVE PRIMARILY
RESPONSIBLE FOR MANAGEMENT ACCOUNTING AND CONTROLLER OR CHIEF ACCOUNTING OFFICERS
FINANCIAL ACCOUNTING.
301036 - IS CONCERNED WITH THE ACQUISITION, FINANCING
AND MANAGEMENT OF ASSETS OF A BUSINESS CONCERN TREASURERSHIP
TO MAXIMIZE THE WEALTH OF THE FIRMS FOR ITS OWNERS.
1. COMPETENCE
301037 - ETHICAL VALUES MANAGEMENT ACCOUNTANTS 2. CONFIDENTIALITY
MUST POSSESS (4 ITEMS) 3. INTEGRITY
4. OBJECTIVITY
301038 - IS THE PHILOSOPHY THAT ACTIVITIES ARE
JUST-IN-TIME (JIT) OR PULL-IT-THROUGH APPROACH
UNDERTAKEN ONLY AS NEEDED OR DEMANDED.
301039 - IS A TECHNIQUE IN WHICH MANAGEMENT
DEVELOPS POLICIES AND PRACTICES TO ENSURE THAT THE
TOTAL QUALITY MANAGEMENT (TQM)
FIRM'S PRODUCTS AND SERVICES EXCEED CUSTOMERS'
EXPECTATIONS.
301040 - IS A PROCESS FOR CREATING COMPETITIVE
ADVANTAGE IN WHICH A FIRM REORGANIZES ITS
OPERATING AND MANAGEMENT FUNCTIONS, OFTEN WITH REENGINEERING
THE RESULT THAT JOBS ARE MODIFIED, COMBINED OR
ELIMINATED.
301041 - IS AN APPROACH WHERE A BUSINESS PROCESS IS
DIAGRAMMED IN DETAIL, QUESTIONED AND THEN
REDESIGNED IN ORDER TO ELIMINATE UNECESSARY STEPS, PROCESS REENGINEERING
TO REDUCE OPPORTUNITIES FOR ERRORS AND TO REDUCE
COST.
301042 - IS ANY SERIES OF STEPS THAT ARE FOLLOWED IN
BUSINESS PROCESS
ORDER TO CARRY OUT SOME TASK IN A BUSINESS.
301043 - IS A PROCESS BY WHICH A FIRM DETERMINES ITS
CRITICAL SUCCESS FACTORS, STUDIES THE BEST
PRACTICES OF OTHER FIRMS (OR OTHER UNITS WITHIN A
FIRM) FOR ACHIEVING THESE CRITICAL SUCCESS FACTORS, BENCHMARKING
AND THEN IMPLEMENTS IMPROVEMENTS IN THE FIRM'S
PROCESSES TO MATCH OR BEAT THE PERFORMANCE OF
THOSE COMPETITORS.
301044 - IS A MANAGEMENT TECHNIQUE IN WHICH
MARKETING AND PRODUCTION PROCESSES ARE DESIGNED
TO HANDLE THE INCREASED VARIETY THAT RESULTS FROM MASS CUSTOMIZATION
DELIVERING CUSTOMIZED PRODUCTS AND SERVICES TO
CUSTOMERS.
301045 - IS AN ACCOUNTING REPORT THAT INCLUDES THE
FIRM'S CRITICAL SUCCESS IN FOUR AREAS NAMELY,
FINANCIAL PERFORMANCE, CUSTOMER SATISFACTION, BALANCED SCORECARD
INTERNAL BUSINESS PROCESS AND INNOVATION AND
LEARNING.
301046 - IS USED TO DEVELOP A DETAILED DESCRIPTION OF
THE SPECIFIC ACTIVITIES PERFORMED IN THE OPERATION ACTIVITY ANALYSIS
OF THE FIRM.
301047 - IS USED TO IMPROVE THE ACCURACY OF COST
ANALYSIS BY IMPROVING THE TRACING OF COSTS TO ACTIVITY-BASED COSTING (ABC)
PRODUCTS OR TO INDIVIDUAL CUSTOMERS.
301048 - EMPHASIZES THE IMPORTANCE OF MANAGING THE
ORGANIZATION'S CONSTRAINTS OR BARRIERS THAT HINDER THEORY OF CONSTRAINTS
OR IMPEDE PROGRESS TOWARD AN OBJECTIVE.
301049 - IS A MANAGEMENT TECHNIQUE TO IDENTIFY AND
MONITOR THE COSTS OF A PRODUCT THROUGHOUT ITS LIFE-CYCLE COSTING
LIFECYCLE.
301050 - INVOLVES THE DETERMINATION OF THE DESIRED
COST FOR A PRODUCT OR THE BASIS OF A GIVEN
TARGET COSTING
COMPETITIVE PRICE SO THAT THE PRODUCT WILL EARNE A
DESIRED PROFIT.
TARGET COST = MARKET DETERMINED PRICE - DESIRED
301051 - FORMULA FOR TARGET COST
PROFIT
301052 - IS THE USE OF COMPUTERS IN PRODUCT
DEVELOPMENT, ANALYSIS AND DESIGN MODIFICATION TO
COMPUTER-AIDED DESIGN (CAD)
IMPROVE THE QUALITY AND PERFORMANCE OF THE
PRODUCT.
301053 - IS THE USE OF COMPUTERS TO PLAN, IMPLEMENT
COMPUTER-AIDED MANUFACTURING (CAM)
AND CONTROL PRODUCTION.
301054 - IS THE TECHNOLOGY BY WHICH A PROCESS OR
PROCEDURE IS PERFORMED WITH MINIMAL HUMAN AUTOMATION
ASSISTANCE.
301055 - IS THE ACTIVITY OF BUYING OR SELLING PRODUCTS
E-COMMERCE
ON ONLINE SERVICES OR OVER THE INTERNET.
301056 - REFERS TO THE SEQUENCE OF BUSINESS
FUNCTIONS IN WHICH USEFULNESS IS ADDED TO THE VALUE CHAIN
PRODUCTS OR SERVICES OF A COMPANY.
1. RESEARCH AND DEVELOPMENT
2. PRODUCT DESIGN
301057 - BUSINESS FUNCTIONS MAKING UP THE VALUE 3. MANUFACTURING
CHAIN (6 ITEMS) 4. MARKETING
5. DISTRIBUTION
6. CUSTOMER SERVICE
 MAS - OVERVIEW OF MANAGEMENT ACCOUNTING (302001 - STILL UNFINISHED)
302001 - INVOLVES CAREFUL SELECTION OF DATA FROM
FINANCIAL STATEMENTS FOR THE PRIMARY PURPOSE OF FINANCIAL STATEMENTS ANALYSIS
FORECASTING THE FINANCIAL HEALTH OF THE COMPANY.
302001 - ARE USERS OF FINANCIAL STATEMENTS
CONCERNED ABOUT THEIR INVESTMENT INCOME AS WELL
AS ABOUT THE COMPANY'S OVERALL PROFITABILITY, CURRENT SHAREHOLDERS OR OWNERS
STABILITY AND SOUND CAPITAL STRUCTURE NECESSARY
FOR CONTINUED SUCCESSFUL OPERATIONS.
302001 - ARE USERS OF FINANCIAL STATEMENTS WHO ARE
INTERESTED IN "SOLD" COMPANIES, ONES WHOSE
FINANCIAL STATEMENTS INDICATE STABLE EARNINGS AND
POTENTIAL INVESTORS
DIVIDENDS WITH LIMITED OR MODERATE GROWTH (OTHERS
OREFER COMPANIES SHOWING RAPID GROWTH AND
DIVERSIFICATION INTO DIFFERENT LINES OF BUSINESS).
302001 - ARE USERS OF FINANCIAL STATEMENTS WHO ARE
INTERESTED IN A FIRM'S SHORT-RUN LIQUIDITY, ITS ABILITY SHORT-TERM CREDITORS
TO PAY CURRENT OBLIGATIONS AS THEY MATURE.
302001 - ARE USERS OF FINANCIAL STATEMENTS WHO ARE
CONCERNED ABOUT THE LONG-TERM SECURITY OF THEIR
INTEREST INCOME AND THE COMPANY'S ABILITY TO LONG-TERM CREDITORS
MAINTAIN SUCCESSFUL EARNINGS AND CASH FLOWS TO
MEET CONTINUING FINANCIAL COMMITMENTS.
302001 - IS A METHOD OF FINANCIAL STATEMENTS ANALYSIS
WHERE FINANCIAL STATEMENT AMOUNTS FOR TWO OR HORIZONTAL ANALYSIS OF COMPARATIVE STATEMENTS
MORE YEARS ARE PLACED SIDE BY SIDE IN ADJACENT (INCREASE-DECREASE METHOD)
COLUMNS.
302001 - FAVORABLE OR UNFAVORABLE: PERCENTAGE
UNFAVORABLE (DETERIORATION IN SHORT-TERM SOLVENCY
INCREASE IN TOTAL CURRENT ASSETS IS LOWER THAN
POSITION)
PERCENTAGE INCREASE IN TOTAL CURRENT LIABILITIES.
302001 - FAVORABLE OR UNFAVORABLE: PERCENTAGE
UNFAVORABLE (SLOWER CONVERSION OF INVENTORY AND
INCREASE IN ACCOUNTS RECEIVABLE AND INVENTORY IS
RECEIVABLES TO CASH; SHORT-TERM SOLVENCY ANALYSIS)
HIGHER THAN PERCENTAGE INCREASE IN SALES REVENUE.
FAVORABLE (SHIFT OF COMPANY'S CAPITAL STRUCTURE
302001 - FAVORABLE OR UNFAVORABLE: PERCENTAGE
FROM BORROWING TOWARD CAPITAL PROVIDED BY
INCREASE IN TOTAL LIABILITIES IS LESS THAN PERCENTAGE
PROFITABLE OPERATION; LONG-TERM FINANCIAL POSITION
INCREASE IN SHAREHOLDERS' EQUITY.
ANALYSIS)
UNFAVORABLE (THE COMPANY IS UNABLE TO ADJUST THE
SELLING PRICE OF THE GOODS COMMENSURATE TO THE
302001 - FAVORABLE OR UNFAVORABLE: PERCENTAGE
INCREASE IN COST OF GOODS PURCHASED OR
INCREASE IN SALES REVENUES IS LESS THAN PERCENTAGE
MANUFACTURED OR IT WAS UNABLE TO CONTROL THE
INCREASE IN COST OF GOODS SOLD.
PRICE FACTOR OF ITS COST OF SALES; OPERATING
EFFICIENCY AND PROFITABILITY ANALYSIS)
302001 - FAVORABLE OR UNFAVORABLE: PERCENTAGE FAVORABLE (MANAGEMENT'S EFFICIENCY IN KEEPING
INCREASE IN SALES IS HIGHER THAN PERCENTAGE EXPENSES WITHIN CONTROL; OPERATING EFFICIENCY AND
INCREASE IN SELLING AND ADMINISTRATIVE EXPENSES. PROFITABILITY ANALYSIS)
302001 - ARE INDEX NUMBERS SHOWING RELATIVE
CHANGES IN FINANCIAL DATA RESULTING WITH THE TREND PERCENTAGES
PASSAGE OF TIME.
302001 - FAVORABLE OR UNFAVORABLE: INCREASE IN
CURRENT ASSETS ACCOMPANIED BY DECREASE IN FAVORABLE
CURRENT LIABILITIES.
302001 - FAVORABLE OR UNFAVORABLE: SALES REVENUE
FAVORABLE (INDICATES MORE EFFECTIVE CREDIT,
INCREASES AT A FASTER RATE THAN ACCOUNTS
COLLECTION AND MERCHANDISING POLICIES)
RECEIVABLE AND INVENTORY.
FAVORABLE (REFLECTS MORE RAPID TURNOVER OF
302001 - FAVORABLE OR UNFAVORABLE: RELATIVELY
CUSTOMER ACCOUNTS AND POSSIBLY A LARGE INCREASE
SMALLER AMOUNT OF TRADE RECEIVABLES.
IN CASH SALES.)
302001 - IS A TOOL USEDE IN FINANCIAL STATEMENTS
ANALYSIS THAT TRANSLATES PESO AMOUNTS TO
COMMON-SIZE FINANCIAL STATEMENTS
PERCENTAGES WHICH INDICATE THE RELATIVE SIZE OF AN
ITEM IN PROPORTION TO THE WHOLE.
302001 - IS A COMPARISON IN FRACTION, PROPORTION,
DECIMAL OR PERCENTAGE FORM OF TWO SIGNIFICANT FINANCIAL RATIO
FIGURES TAKEN FROM FINANCIAL STATEMENTS.
 302001 - FINANCIAL RATIO (SIGNIFICANCE): PRIMARY TEST
OF SOLVENCY TO MEET CURRENT OBLIGATIONS FROM
CURRENT RATIO
CURRENT ASSETS AS A GOING CONCERN; MEASURE OF
ADEQUACY OF WORKING CAPITAL
CURRENT RATIO = TOTAL CURRENT ASSETS / TOTAL
302001 - FINANCIAL RATIO (FORMULA): CURRENT RATIO
CURRENT LIABILITIES
302001 - FINANCIAL RATIO (SIGNIFICANCE): A MORE SEVERE
TEST OF IMMEDIATE INSOLVENCY; TEST OF ABILITY TO MEET ACID-TEST RATIO OR QUICK RATIO
DEMANDS FROM CURRENT ASSETS.
302001 - FINANCIAL RATIO (FORMULA): ACID-TEST RATIO OR ACID-TEST RATIO OR QUICK RATIO = TOTAL QUICK ASSETS /
QUICK RATIO TOTAL CURRENT LIABILITIES
302001 - COMPONENTS OF QUICK ASSETS (3 ITEMS) CASH + MARKETABLE SECURITIES + ACCOUNTS RECEIVABLE
302001 - FINANCIAL RATIO (SIGNIFICANCE): INDICATES
RELATIVE LIQUIDITY OF TOTAL ASSETS AND DISTRIBUTION WORKING CAPITAL TO TOTAL ASSETS
OF RESOURCES EMPLOYED.
302001 - FORMULA USED TO COMPUTE FOR WORKING WORKING CAPITAL = CURRENT ASSETS - CURRENT
CAPITAL LIABILITIES
302001 - FINANCIAL RATIO (SIGNIFICANCE): MEASURES
SHORT-TERM LIQUIDITY BY CONSIDENRING CASH CASH FLOW LIQUIDITY RATIO
RESOURCES AS NUMERATOR.
CASH FLOW LIQUIDITY RATIO = (CASH + MARKETABLE
302001 - FINANCIAL RATIO (FORMULA): CASH FLOW LIQUIDITY
SECURITIES + CASH FLOW FROM OPERATING ACTIVITIES) /
RATIO
CURRENT LIABILITIES
302001 - FINANCIAL RATIO (SIGNIFICANCE): MEASURES THE
LENGTH OF TIME IN DAYS THE FIRM CAN OPERATE ON ITS DEFENSIVE INTERVAL RATIO
PRESENT LIQUID RESOURCES.
302001 - FINANCIAL RATIO (FORMULA): DEFENSIVE INTERVAL DEFENSIVE INTERVAL RATIO = QUICK ASSETS / PROJECTED
RATIO DAILY OPERATIONAL EXPENSES
302001 - FINANCIAL RATIO (SIGNIFICANCE): VELOCITY OF
COLLECTION OF TRADE ACCOUNTS AND NOTES; TEST OF TRADE RECEIVABLE TURNOVER
EFFICIENCY OF COLLECTION.
TRADE RECEIVABLE TURNOVER = (NET CREDIT SALES OR
302001 - FINANCIAL RATIO (FORMULA): TRADE RECEIVABLE
NET SALES IF NET CREDIT SALES FIGURE IS NOT AVAILABLE)
TURNOVER
/ AVERAGE NET TRADE RECEIVABLE
302001 - FINANCIAL RATIO (SIGNIFICANCE): EVALUATES THE
AVERAGE COLLECTION PERIOD OR NUMBER OF DAYS'
LIQUIDITY OF ACCOUNTS RECEIVABLE AND THE FIRM'S
SALES UNCOLLECTED
CREDIT POLICIES.
302001 - FINANCIAL RATIO (SIGNIFICANCE): MEASURES THE
EFFICIENCY OF THE FIRM IN MANAGING AND SELLING INVENTORY TURNOVER
INVENTORIES.
MERCHANDISE OR FINISHED GOODS INVENTORY TURNOVER
302001 - FINANCIAL RATIO (FORMULA): MERCHANDISE OR
= COST OF GOODS SOLD / AVERAGE MERCHANDISE OR
FINISHED GOODS INVENTORY TURNOVER
FINISHED GOODS INVENTORY
AVERAGE INVENTORY = (BEGINNING INVENTORY + ENDING
302001 - FORMULA FOR AVERAGE INVENTORY
INVENTORY) / 2
GOODS IN PROCESS TURNOVER = COST OF GOODS
302001 - FINANCIAL RATIO (FORMULA): GOODS IN PROCESS
MANUFACTURED / AVERAGE GOODS IN PROCESS
TURNOVER
INVENTORY
302001 - FINANCIAL RATIO (SIGNIFICANCE): NUMBER OF
TIMES RAW MATERIALS INVENTORY WAS USED AND RAW MATERIALS INVENTORY TURNOVER
REPLENISHED DURING THE PERIOD.
302001 - FINANCIAL RATIO (FORMULA): RAW MATERIAL RAW MATERIALS INVENTORY TURNOVER = RAW MATERIALS
INVENTORY TURNOVER USED / AVERAGE RAW MATERIALS INVENTORY
302001 - FINANCIAL RATIO (SIGNIFICANCE): MEASURES
AVERAGE NUMBER OF DAYS TO SELL OR CONSUME THE DAYS' SUPPLY IN INVENTORY
AVERAGE INVENTORY
302001 - FINANCIAL RATIO (FORMULA): DAYS' SUPPLY IN DAYS' SUPPLY IN INVENTORY = 360 DAYS / INVENTORY
INVENTORY TURNOVER
302001 - FINANCIAL RATIO (SIGNIFICANCE): INDICATES
WORKING CAPITAL TURNOVER
ADEQUACY AND ACTIVITY OF WORKING CAPITAL.
302001 - FINANCIAL RATIO (FORMULA): WORKING CAPITAL WORKING CAPITAL TURNOVER = NET SALES / AVERAGE
TURNOVER WORKING CAPITAL
 302001 - FINANCIAL RATIO (SIGNIFICANCE): INDICATES PERCENT OF EACH CURRENT ASSET TO TOTAL CURRENT
RELATIVE INVESTMENT IN EACH CURRENT ASSET. ASSET
302001 - FINANCIAL RATIO (SIGNIFICANCE): MEASURES
MOVEMENT AND UTILIZATION OF CURRENT ASSETS TO CURRENT ASSETS TURNOVER
MEET OPERATING REQUIREMENTS.
CURRENT ASSETS TURNOVER = (COST OF SALES +
302001 - FINANCIAL RATIO (FORMULA): CURRENT ASSETS OPERATING EXPENSES + INCOME TAXES + OTHER
TURNOVER EXPENSES EXCLUDING DEPRECIATION AND AMORTIZATION)
/ AVERAGE CURRENT ASSETS
302001 - FINANCIAL RATIO (SIGNIFICANCE): MEASURES
PAYABLE TURNOVER
EFFICIENCY OF THE COMPANY IN MEETING TRADE PAYABLE.
PAYABLE TURNOVER = NET PURCHASES / AVERAGE
302001 - FINANCIAL RATIO (FORMULA): PAYABLE TURNOVER
ACCOUNTS PAYABLE
302001 - FINANCIAL RATIO (SIGNIFICANCE): MEASURES THE
LENGTH OF TIME REQUIRED TO CONVERT CASH TO
OPERATING CYCLE
FINISHED GOODS; THEN TO RECEIVABLE AND THEN BACK TO
CASH.
OPERATING CYCLE = AVERAGE CONVERSION PERIOD OF
302001 - FINANCIAL RATIO (FORMULA): OPERATING CYCLE INVENTORIES + AVERAGE COLLECTION PERIOD OF
RECEIVABLE + DAYS CASH
 MAS - ECONOMICS
IS THE STUDY OF HOW INDIVIDUALS AND SOCIETIES
CHOOSE TO USE THE SCARCE RESOURCES THAT NATURE ECONOMICS
AND THE PREVIOUS GENERATIONS HAVE PROVIDED.
IS THE LARGE SET OF INTERRELATED PRODUCTION AND
CONSUMPTION ACTIVITIES THAT AID IN DETERMINING HOW
ECONOMY
SCARCE RESOURCES ARE ALLOCATED TO SATISFY THE
INCREASING NEEDS AND UNLIMITED WANTS OF PEOPLE.
ARE ANYTHING USED TO PRODUCE A GOOD OR SERVICE TO
RESOURCES
ACHIEVE A GOAL.
ARE BASED ON PHYSIOLOGICAL, PERSONAL OR SOCIO-
ECONOMIC REQUIREMENTS NECESSARY FOR A PERSON TO NEEDS
FUNCTION AND LIVE.
ARE DESIRES OR SOMETHING THAT A PERSON WISHES TO
WANTS
HAVE SO AS TO ADD COMFORTS IN HIS LIFE.
IS A PERSON WHO DIRECTS RESOURCES TO ACHIEVE A
STATED GOAL AND HE/SHE HAS THE RESPONSIBILITY FOR
HIS/HER OWN ACTIONS AS WELL AS FOR THE ACTIONS OF MANAGER
INDIVIDUALS, MACHINES AND OTHER INPUTS UNDER HIS
CONTROL.
IS THE STUDY OF HOW SCARCE RESOURCES ARE DIRECTED
MANAGERIAL ECONOMICS
MOST EFFICIENTLY TO ACHIEVE MANAGERIAL GOALS.
1. MACROECONOMICS
MAIN BRANCHES OF ECONOMICS (2 ITEMS)
2. MICROECONOMICS
IS A BRANCH OF ECONOMICS WHICH REFERS TO THE STUDY
OF ECONOMIC SYSTEMS AS A WHOLE. IT IS RELATED TO
ISSUES SUCH AS DETERMINATION OF NATIONAL INCOME,
MACROECONOMICS
SAVINGS, INVESTMENT, EMPLOYMENT AT AGGREGATE
LEVELS, TAXATION, GOVERNMENT EXPENDITURE, FOREIGN
TRADE, MONEY SUPPLY, ETC.
IS A BRANCH OF ECONOMICS WHICH FOCUSES ON THE
BEHAVIOR OF THE INDIVIDUALS, FIRMS AND THEIR MICROECONOMICS
INTERACTION IN THE MARKETS.
STREAMS OF ECONOMICS TO WHICH MANAGERIAL 1. POSITIVE ECONOMICS
ECONOMICS IS ASSOCIATED WITH (2 ITEMS) 2. NORMATIVE ECONOMICS
IS A STREAM OF ECONOMICS THAT FOCUSES ON THE
DESCRIPTION, QUANTIFICATION AND EXPLANATION OF
POSITIVE ECONOMICS
ECONOMIC DEVELOPMENTS, EXPECTATIONS AND
ASSOCIATED PHENOMENA.
IS A STREAM OF ECONOMICS THAT FOCUSES ON THE
IDEOLOGICAL, OPINION-ORIENTED, PRESCRIPTIVE, VALUE
JUDGMENTS AND [WHAT SHOULD BE] STATEMENTS AIMED NORMATIVE ECONOMICS
TOWARD ECONOMIC DEVELOPMENT, INVESTMENT
PROJECTS AND SCENARIOS.
1. LAND
2. LABOR
FACTORS (RESOURCES) OF PRODUCTION (4 ITEMS)
3. CAPITAL
4. ENTREPRENEURSHIP
IS A FACTOR OF PRODUCTION THAT INCLUDES ALL NATURAL
RESOURCES ON THE EARTH AND BELOW THE EARTH (E.G.,
LAND
OIL, COAL AND OTHER NON-RENEWABLE RESOURCES OR
RESOURCES THAT ONCE USED WILL NEVER BE REPLACED).
IS A FACTOR OF PRODUCTION THAT REFERS TO THE WORK
LABOR
FORCE OF AN ECONOMY (HUMAN CAPITAL).
IS A FACTOR OF PRODUCTION THAT IS CLASSIFIED AS
WORKING CAPITAL AND FIXED CAPITAL NOT OR NOT YET CAPITAL
TRANSFORMED INTO FINAL PRODUCTS.
IS A FACTOR OF PRODUCTION THAT REFERS TO THE
INDIVIDUALS WHO ORGANIZE PRODUCTION AND TAKE ENTREPRENEURSHIP
RISKS.
OBJECTIVE OF CONSUMERS IN ALLOCATING RESOURCES TO MAXIMIZE SATISFACTION
OBJECTIVE OF WORKERS IN ALLOCATING RESOURCES TO MAXIMIZE WAGES
OBJECTIVE OF FIRMS IN ALLOCATING RESOURCES TO MAXIMIZE THE OUTPUT AND PROFIT
OBJECTIVE OF THE GOVERNMENT IN ALLOCATING
TO MAXIMIZE THE WELFARE OF THE SOCIETY
RESOURCES
1. HOUSEHOLDS
2. FIRMS
MAJOR SECTORS OF THE ECONOMY (4 ITEMS)
3. GOVERNMENT
4. FOREIGN SECTOR
BELONG TO A SECTOR OF ECONOMY WHERE THEY FULFILL
THEIR NEEDS AND WANTS THROUGH PURCHASE OF GOODS
AND SERVICES FROM FIRMS. THEY ARE OWNERS AND
HOUSEHOLDS
SUPPLIERS OF FACTORS OF PRODUCTION AND IN TURN
THEY RECEIVE INCOME IN THE FORM OF RENT, WAGES AND
INTEREST.
BELONG TO A SECTOR OF ECONOMY WHERE THEY EMPLOY
THE INPUT FACTORS TO PRODUCE VARIOUS GOODS AND FIRMS
SERVICES AND MAKE PAYMENTS TO HOUSEHOLDS.
BELONGS TO A SECTOR OF ECONOMY WHERE IT
PURCHASES GOODS AND SERVICES FROM FIRMS AND ALSO
FACTORS OF PRODUCTION FROM HOUSEHOLDS BY MAKING
PAYMENTS. ITS SOURCE OF REVENUE MAY BE FROM GOVERNMENT
CERTAIN EXCHANGE TRANSACTIONS BUT IT PRIMARILY
DEPENDS ON THE TAXES COLLECTED FROM THE OTHER
SECTORS OF ECONOMY.
BELONG TO A SECTOR OF ECONOMY WHERE THEY SELL
AND PURCHASE GOODS AND SERVICES TO AND FROM THE
FOREIGN SECTOR
LOCAL ECONOMIC SECTORS THROUGH IMPORTATION AND
EXPORTION.
1. IMPORTATION
FACETS OF INTERNATIONAL TRADE (2 ITEMS)
2. EXPORTATION
IS A FACET OF INTERNATIONAL TRADE OR FOREIGN TRADE
IN WHICH GOODS OR SERVICES ARE BROUGHT INTO ONE
IMPORTATION
COUNTRY FROM ANOTHER COUNTRY AND THEN SOLD IN
THE DOMESTIC MARKET OF THE IMPORTING COUNTRY.
IS A FACET OF INTERNATIONAL TRADE OR FOREIGN TRADE
IN WHICH GOODS OR SERVICES PRODUCED LOCALLY IN ONE EXPORTATION
COUNTRY ARE SENT TO OR SOLD TO ANOTHER COUNTRY.
IS AN ASSOCIATION OF INDIVIDUALS WHO HAVE ORGANIZED
THEMSELVES FOR THE PURPOSE OF TURNING INPUTS INTO
OUTPUT. IT ORGANIZES THE FACTORS OF PRODUCTION TO FIRM
PRODUCE GOODS AND SERVICES TO FULFILL THE NEEDS OF
THE HOUSEHOLDS.
IS A PLACE WHERE PEOPLE BUY AND SELL GOODS AND
MARKET
SERVICES.
IS THE QUANTITY OF GOODS AND SERVICES THAT THE
CONSUMERS ARE WILLING TO BUY FOR A GIVEN PRICE DEMAND
OVER A PERIOD OF TIME.
THE QUANTITY OF A COMMODITY DEMANDED IN A GIVEN
LAW OF DEMAND TIME PERIOD INCREASES AS ITS PRICE FALLS, CETERIS
PARIBUS (I.E., OTHER THINGS REMAINING CONSTANT).
IS A TABLE SHOWING THE QUANTITIES OF A GOOD THAT A
CONSUMER IS WILLING AND ABLE TO BUY AT THE DEMAND SCHEDULE
PREVAILING PRICE IN A GIVEN TIME PERIOD.
IS A DOWNWARD SLOPING CURVE INDICATING THE TOTAL
QUANTITY OF A PRODUCT THAT ALL CONSUMERS ARE
WILLING AND ABLE TO PURCHASE AT THE PREVAILING PRICE DEMAND CURVE
LEVEL, HOLDING THE PRICES OF RELATED GOODS, INCOME
AND OTHER VARIABLES AS CONSTANT.
IS A CHANGE IN DEMAND WHICH OCCURS WHEN THE
SHIFT OF THE DEMAND CURVE
DETERMINANTS OF DEMAND OTHER THAN PRICE CHANGE.
EFFECT OF SHIFT OF THE DEMAND CURVE UPWARD OR
INCREASE IN DEMAND FOR A GIVEN PRICE
RIGHTWARD
EFFECT OF SHIFT OF THE DEMAND CURVE DOWNWARD OR
DECREASE IN DEMAND FOR A GIVEN PRICE
LEFTWARD
IS A CHANGE IN DEMAND WHICH OCCURS DUE TO PRICE
MOVEMENT ALONG A DEMAND CURVE
RISE OR FALL.
1. EXTENSION
TYPES OF MOVEMENT ALONG THE DEMAND CURVE (2 ITEMS)
2. CONTRACTION
 IS A MOVEMENT ALONG THE DEMAND CURVE
CHARACTERIZED BY A FALL IN PRICE, THEREFORE EXTENSION OF THE DEMAND
INCREASING THE UNITS OF COMMODITY BOUGHT.
IS A MOVEMENT ALONG THE DEMAND CURVE
CHARACTERIZED BY A RISE IN PRICE, THEREFORE CONTRACTION OF DEMAND
DECREASING THE UNITS OF COMMODITY BOUGHT.
IS A FUNCTION THAT DESCRIBE HOW MUCH OF A
COMMODITY WILL BE PURCHASED AT THE PREVAILING
PRICES OF THE COMMODITY AND RELATED COMMODITIES, DEMAND FUNCTION
ALTERNATIVE INCOME LEVELS, AND ALTERNATIVE VALUES
OF OTHER VARIABLES AFFECTING DEMAND.
DETERMINANT OF DEMAND: EFFECT OF INCREASE IN PRICE
DECREASE IN DEMAND
OF A COMMODITY ON DEMAND
DETERMINANT OF DEMAND: EFFECT OF INCREASE IN PRICE
OF A COMMODITY CONSIDERED AS A SUBSTITUTE FOR
ANOTHER COMMODITY ON THE DEMAND FOR THE LATTER
DETERMINANT OF DEMAND: EFFECT OF INCREASE IN PRICE
OF A COMMODITY CONSIDERED AS A COMPLEMENT FOR
ANOTHER COMMODITY ON THE DEMAND FOR THE LATTER
DETERMINANT OF DEMAND: EFFECT OF INCREASE IN GR: INCREASE IN DEMAND
CONSUMERS' INCOME ON THE DEMAND FOR A COMMODITY XPN: DECREASE IN DEMAND FOR INFERIOR GOODS
DETERMINANT OF DEMAND: EFFECT OF CHANGE IN TASTE,
PREFERENCE, FASHIONS AND HABITS OF CONSUMERS IN
FAVOR OF A COMMODITY ON DEMAND
DETERMINANT OF DEMAND: EFFECT OF INCREASE ON
POPULATION ON THE DEMAND FOR A COMMODITY
DETERMINANT OF DEMAND: EFFECT OF INCREASE IN THE
CIRCULATION OF MONEY ON THE DEMAND FOR A
COMMODITY
DETERMINANT OF DEMAND: EFFECT OF INCREASE IN THE
VALUE OF MONEY ON THE DEMAND FOR A COMMODITY
DETERMINANT OF DEMAND: EFFECT OF STORM (WEATHER
CONDITION) ON THE DEMAND FOR AN ICE CREAM
COMMODITY
DETERMINANT OF DEMAND: EFFECT OF ATTRACTIVE
ADVERTISEMENT OR EFFECTIVE SALESMANSHIP ON THE
DEMAND FOR A COMMODITY
DETERMINANT OF DEMAND: EFFECT OF AN EXPECTED PRICE
INCREASE IN THE FUTURE ON THE DEMAND FOR A
COMMODITY
DETERMINANT OF DEMAND: EFFECT OF INCREASE IN TAXES
AFFECTING THE PRICE OF A COMMODITY ON DEMAND
DETERMINANT OF DEMAND: EFFECT OF INCREASE IN THE
AVAILABILITY OF CREDIT FACILITIES ON THE DEMAND FOR A
COMMODITY
DETERMINANT OF DEMAND: EFFECT OF MULTIPLICITY OF
USES OF A COMMODITY (COMPARED TO THE SAME
COMMODITY BEING USED FOR A SINGLE PURPOSE ONLY)
IS A TYPE OF DEMAND THAT REFERS TO THE DEMAND FOR
GOODS THAT ARE DIRECTLY USED FOR CONSUMPTION BY
THE ULTIMATE CONSUMER (E.G., DEMAND FOR T SHIRTS).
IS A TYPE OF DEMAND THAT REFERS TO THE DEMAND FOR
GOODS THAT ARE USED BY PRODUCERS FOR PRODUCING
GOODS AND SERVICES (E.G., DEMAND FOR COTTON BY A
TEXTILE MILL).
IS A TYPE OF DEMAND THAT EXISTS WHEN A PRODUCE
DERIVES ITS USAGE FROM THE USE OF SOME PRIMARY
PRODUCT (E.G., DEMAND FOR TYRES DERIVED FROM
DEMAND FOR CARS).
IS A TYPE OF DEMAND THAT REFERS TO THE DEMAND FOR A
PRODUCT THAT CAN BE INDEPENDENTLY USED (E.G.,
DEMAND FOR A WASHING MACHINE).
IS A TYPE OF DEMAND THAT REFERS TO THE DEMAND FOR
THE PRODUCT OF A PARTICULAR FIRM (E.G., DEMAND FOR
DOVE SOAP).
IS A TYPE OF DEMAND THAT REFERS TO THE DEMAND FOR
THE PRODUCT OF A PARTICULAR INDUSTRY (E.G., DEMAND
FOR STEEL IN INDIA).
IS A TYPE OF DEMAND THAT REFERS TO A PARTICULAR
SEGMENT OF A MARKET'S DEMAND (E.G., DEMAND FOR SEGMENT DEMAND
LAPTOPS BY ENGINEERING STUDENTS).
IS A TYPE OF DEMAND THAT REFERS TO THE SUM TOTAL OF
THE DEMAND FOR A COMMODITY BY VARIOUS SEGMENTS (E. MARKET DEMAND
G., DEMAND FOR LAPTOPS IN THE PHILIPPINES).
IS A TYPE OF DEMAND THAT REFERS TO DEMAND WITH ITS
IMMEDIATE REACTION TO PRICE CHANGES AND INCOME SHORT RUN DEMAND
FLUCTUATIONS.
IS A TYPE OF DEMAND THAT REFERS TO DEMAND THAT
WHICH WILL ULTIMATELY EXIST AS A RESULT OF THE
CHANGES IN PRICING, PROMOTION OR PRODUCT LONG TERM DEMAND
IMPROVEMENT AFTER MARKET ADJUSTMENT WITH
SUFFICIENT TIME.
IS A TYPE OF DEMAND THAT EXISTS WHEN TWO GOODS ARE
DEMANDED IN CONJUNCTION WITH ONNE ANOTHER AT THE
JOINT DEMAND
SAME TIME TO SATISFY A SINGLE WANT (E.G., DEMAND FOR
PETROL AND TWO WHEELERS).
IS A TYPE OF DEMAND THAT EXISTS WHEN A GOOD IS
WANTED FOR SEVERAL DIFFERENT USES (E.G., DEMAND COMPOSITE DEMAND
FOR IRON RODS FOR VARIOUS PURPOSES).
IS A TYPE OF DEMAND THAT REFERS TO THE ABILITY AND
WILLINGNESS OF CONSUMERS TO BUY SPECIFIC
PRICE DEMAND
QUANTITIES OF A GOOD AT THE PREVAILING PRICE IN A
GIVEN TIME PERIOD.
IS A TYPE OF DEMAND THAT REFERS TO THE ABILITY AND
WILLINGNESS OF CONSUMERS TO BUY A COMMODITY AT INCOME DEMAND
THE AVAILABLE INCOME IN A GIVEN PERIOD OF TIME.
IS A TYPE OF DEMAND THAT REFERS TO THE ABILITY AND
WILLINGNESS OF CONSUMERS TO BUY A COMMODITY OR
SERVICE AT THE PREVAILING PRICE OF THE RELATED CROSS DEMAND
COMMODITY (I.E., SUBSTITUTES OR COMPLEMENTARY
PRODUCTS).
IN SOME CASES, DESPITE THE INCREASE IN PRICE OF THE
REASON FOR AN EXCEPTIONAL DEMAND CURVE THAT
COMMODITY, PEOPLE TEND TO BUY MORE DUE TO REASONS
SLOPES FROM LEFT TO RIGHT UPWARD (EXCEPTION TO THE
LIKE FEAR OF SHORTAGES OR IT MAY BE AN ABSOLUTELY
LAW OF DEMAND)
ESSENTIAL GOOD.
IS AN INFERIOR GOOD WITH UNIQUE CHARACTERISTICS
THAT AN INCREASE IN PRICE ACTUALLY INCREASES THE GIFFEN GOOD
QUANTITY THAT IS DEMANDED.
IS A GOOD FOR WHICH DEMAND INCREASES AS THE PRICE
INCREASES, BECAUSE OF ITS EXCLUSIVE NATURE AND VEBLEN GOOD
APPEAL AS A STATUS SYMBOL (E.G., DIAMONDS).
MEANS A PROPORTIONATE (PERCENTAGE) CHANGE IN ONE
VARIABLE RELATIVE TO A PROPORTIONATE (PERCENTAGE) ELASTICITY
CHANGE IN ANOTHER VARIABLE.
IS A MEASURE OF HOW MUCH OF THE QUANTITY DEMANDED
ELASTICITY OF DEMAND
WILL BE AFFECTED DUE TO A CHANGE IN PRICE OR INCOME.
1. PRICE ELASTICITY
TYPES OF ELASTICITY OF DEMAND (3 ITEMS) 2. INCOME ELASTICITY
3. CROSS ELASTICITY
MEASURES THE RESPONSE OF CONSUMERS (WITH REGARD
PRICE ELASTICITY OF DEMAND
TO DEMAND) TO A CHANGE IN THE PRICE OF COMMODITY.
PRICE ELASTICITY OF DEMAND = PERCENTAGE CHANGE IN
FORMULA FOR PRICE ELASTICITY OF DEMAND
THE QUANTITY DEMANDED / PERCENTAGE CHANGE IN PRICE
WITH REGARD TO THE PRICE ELASTICITY OF DEMAND, 1. DEMAND FOR NECESSITIES IS INELASTIC IN NATURE.
DISTINCTION BETWEEN NECESSITIES AND LUXURIES 2. DEMAND FOR LUXURIES IS ELASTIC IN NATURE.
WITH REGARD TO THE PRICE ELASTICITY OF DEMAND,
CHARACTERISTIC OF A COMMODITY HAVING A VARIETY OF HAS A COMPARATIVELY ELASTIC DEMAND
USES
 WITH REGARD TO THE PRICE ELASTICITY OF DEMAND, 1. A COMMODITY WITH MORE SUBSTITUTES HAS A
DISTINCTION BETWEEN A COMMODITY WHICH HAS MORE RELATIVELY ELASTIC DEMAND.
NUMBER OF SUBSTITUTES AND A COMMODITY WITH FEWER 2. A COMMODITY WITH FEWER SUBSTITUTES HAS A
SUBSTITUTES RELATIVELY INCELASTIC DEMAND,
WITH REGARD TO THE PRICE ELASTICITY OF DEMAND,
PEOPLE WITH HIGH INCOME ARE LESS AFFECTED BY PRICE
DISTINCTION WITH PEOPLE WITH HIGH INCOME AND PEOPLE
CHANGES THAN PEOPLE WITH LOW INCOME.
WITH LOW INCOME
WITH REGARD TO THE PRICE ELASTICITY OF DEMAND,
THE PRICE CHANGES DO NOT AFFECT THE DEMAND
EFFECT WHEN ONLY A SMALL PART OF INCOME IS SPENT ON
THEREFORE THE DEMAND IS INELASTIC IN NATURE
A COMMODITY
WITH REGARD TO THE PRICE ELASTICITY OF DEMAND,
CHARACTERISTIC A COMMODITY THAT IS URGENTLY THE DEMAND FOR SUCH COMMODITY IS HIGHLY INELASTIC.
NEEDED AND WHOSE PURCHASE CANNOT BE POSTPONED
WITH REGARD TO THE PRICE ELASTICITY OF DEMAND,
CHARACTERISTIC OF A COMMODITY THAT IS DURABLE OR THE PRICE ELASTICITY OF DEMAND IS HIGH.
CAN BE USED FOR A LONG PERIOD OF TIME
WITH REGARD TO THE PRICE ELASTICITY OF DEMAND, DEMAND FOR FREQUENTLY PURCHASED COMMODITIES IS
DISTINCTION BETWEEN A FREQUENTLY PURCHASED HIGHLY INELASTIC THAN THAT OF RARELY PURCHASED
COMMODITY AND A RARELY PURCHASED COMMODITY COMMODITIES.
WITH REGARD TO THE PRICE ELASTICITY OF DEMAND, 1. IN THE SHORT RUN DEMAND WILL BE LESS ELASTIC;
DISTINCTION BETWEEN DEMAND IN THE SHORT RUN AND 2. BUT IN THE LONG RUN THE MAND FOR COMMODITIES ARE
DEMAND IN THE LONG RUN MORE ELASTIC.
1.RELATIVELY PRICE ELASTIC DEMAND
2, PERFECTLY PRICE ELASTIC DEMAND
TYPES OF PRICE ELASTICITY OF DEMAND (5 ITEMS) 3. RELATIVELY PRICE INELASTIC DEMAND
4. PERFECTLY PRICE INELASTIC DEMAND
5. UNIT PRICE ELASTICITY OF DEMAND
IS A TYPE OF PRICE ELASTICITY OF DEMAND THAT EXISTS
WHEN A SMALL PERCENTAGE CHANGE IN PRICE LEADS TO A
RELATIVELY PRICE ELASTIC DEMAND
LARGER CHANGE IN QUANTITY DEMANDED (ELASTICITY IS
LARGER THAN 1).
IS A TYPE OF PRICE ELASTICITY OF DEMAND THAT EXISTS
WHEN A SMALL CHANGE IN PRICE WILL CHANGE THE
PERFECTLY ELASTIC DEMAND
QUANTITY DEMANDED BY AN INFINITE AMOUNT (ELASTICITY
EQUALS INFINITY).
IS A TYPE OF PRICE ELASTICITY OF DEMAND THAT EXISTS
WHEN A CHANGE IN PRICE LEADS TO A SMALLER CHANGE IN RELATIVELY INELASTIC DEMAND
QUANTITY DEMANDED (ELASTICITY IS LESS THAN 1).
IS A TYPE OF PRICE ELASTICITY OF DEMAND THAT EXISTS
WHEN THE QUANTIT Y DEMANDED DOES NOT CHANGE
PERFECTLY INELASTIC DEMAND
REGARDLESS OF THE PERCENTAGE CHANGE IN PRICE
(ELASTICITY EQUALS 0).
IS A TYPE OF PRICE ELASTICITY OF DEMAND THAT EXISTS
WHEN THE PERCENTAGE CHANGE IN QUANTITY DEMANDED
UNIT ELASTICITY OF DEMAND
IS THE SAME AS THE PERCENTAGE CHANGE IN PRICE THAT
CAUSED IT (ELASTICITY EQUALS 1).
INCOME ELASTICITY OF DEMAND = PERCENTAGE CHANGE IN
FORMULA FOR INCOME ELASTICITY OF DEMAND
DEMAND / PERCENTAGE CHANGE IN INCOME
1. ZERO INCOME ELASTICITY
2. NEGATIVE INCOME ELASTICITY
TYPES OF INCOME ELASTICITY (5 ITEMS) 3. UNITARY INCOME ELASTICITY
4. RELATIVELY INCOME ELASTIC DEMAND
5. RELATIVELY INCOME INELASTIC DEMAND
IS A TYPE OF INCOME ELASTICITY OF DEMAND THAT EXISTS
WHEN THE INCREASE IN INCOME OF AN INDIVIDUAL DOES
ZERO INCOME ELASTICITY
NOT MAKE ANY DIFFERENCE IN THE DEMAND FOR THAT
COMMODITY (ELASTICITY EQUALS 0)
IS A TYPE OF INCOME ELASTICITY OF DEMAND THAT EXISTS
WHEN THE INCREASE IN THE INCOME OF CONSUMERS
NEGATIVE INCOME ELASTICITY
LEADS TO LESS PURCHASE OF A COMMODITY (ELASTICITY IS
LESS THAN 0)
IS A TYPE OF INCOME ELASTICITY OF DEMAND THAT EXISTS
WHEN THE CHANGE IN INCOME LEADS TO THE SAME
UNITARY INCOME ELASTICITY
PERCENTAGE OF CHANGE IN THE DEMAND FOR A GOOD
(ELASTICITY EQUALS 1).
IS A TYPE OF INCOME ELASTICITY OF DEMAND THAT EXISTS
WHEN THE CHANGE IN INCOME INCREASES THE DEMAND
RELATIVELY INCOME ELASTIC DEMAND
FOR A COMMODITY MORE THAN THE CHANGE IN THE
INCOME (ELASTICITY IS GREATER THAN 1).
IS A TYPE OF INCOME ELASTICITY OF DEMAND THAT EXISTS
WHEN THE CHANGE IN INCOME INCREASES THE DEMAND
FOR A COMMODITY BUT AT A LESSER PERCENTAGE THAN RELATIVELY INCOME INELASTIC DEMAND
THE CHANGE IN THE INCOME (ELASTICITY IS LESS THAN 1
BUT GREATER THAN 0).
CROSS ELASTICITY OF DEMAND = PERCENTAGE CHANGE IN
FORMULA FOR CROSS ELASTICITY OF DEMAND DEMAND FOR COMMODITY A / PERCENTANGE CHANGE IN
PRICE OF COMMODITY B
IS A SYSTEMATIC PROCESS THAT INVOLVES ANTICIPATING
THE DEMAND FOR THE PRODUCTS AND/OR SERVICES OF AN
DEMAND FORECASTING
ORGANIZATION IN THE FUTURE UNDER A SET OF
UNCONTROLLABLE AND COMPETITIVE FORCES.
IS A METHOD OF DEMAND FORECASTING THAT REFERS TO A
STATISTICAL PROCEDURE TO FIND THE BEST FIT FOR A SET
LEAST SQUARES METHOD
OF DATA POINTS BY MINIMIZING THE SUM OF THE OFFSETS
OR RESIDUALS OF POINTS FROM THE PLOTTED CURVE.
1. COMPLETE ENUMERATION METHOD
SURVEY METHODS FOR DEMAND FORECASTING (3 ITEMS) 2. SAMPLE SURVEY METHOD
3. EXPERT'S OPINION
IS A METHOD OF CONGREGATING EXPERT OPINION
THROUGH A SERIES OF ITERATIVE QUESTIONNAIRES, WITH DELPHI METHOD
A GOAL OF COMING TO A GROUP CONSENSUS.
IS A METHOD OF DEMAND FORECASTING IN WHICH THE LAST
PERIOD'S ACTUAL DATA ARE USED AS THE CURRENT NAIVE MODEL/NAIVE FORECASTING
PERIOD'S FORECAST.
IS THE QUANTITY OR AMOUNT OF A PARTICULAR
COMMODITY THAT A FIRM IS WILLING AND ABLE TO OFFER
SUPPLY
FOR SALE AT A PARTICULAR PRICE DURING A GIVEN TIME
PERIOD.
IS THE RELATIONSHIP BETWEEN THE PRICE OF A
COMMODITY AND THE QUANTITY OF THAT COMMODITY
LAW OF SUPPLY
SUPPLIED (I.E., AN INCREASE IN PRICE WILL LEAD TO AN
INCREASE IN QUANTITY SUPPLIED AND VICE VERSA).
IS A GRAPHICAL REPRESENTATION OF HOW MUCH A
COMMODITY A FIRM SELLS AT DIFFERENT PRICES (UPWARD SUPPLY CURVE
SLOPING FROM LEFT TO RIGHT).
IS A CHANGE IN SUPPLY WHICH OCCURS WHEN THE
SHIFT OF THE SUPPLY CURVE
DETERMINANTS OF SUPPLY OTHER THAN PRICE CHANGE.
EFFECT OF SHIFT OF THE SUPPLY CURVE UPWARD OR
INCREASE IN SUPPLY FOR A GIVEN PRICE
RIGHTWARD
EFFECT OF SHIFT OF THE SUPPLY CURVE DOWNWARD OR
DECREASE IN SUPPLY FOR A GIVEN PRICE
LEFTWARD
IS A CHANGE IN SUPPLY WHICH OCCURS DUE TO PRICE RISE
MOVEMENT ALONG A SUPPLY CURVE
OR FALL.
1. EXTENSION
TYPES OF MOVEMENT ALONG THE SUPPLY CURVE (2 ITEMS)
2. CONTRACTION
IS A MOVEMENT ALONG THE SUPPLY CURVE
CHARACTERIZED BY A RISE IN PRICE, THEREFORE
EXTENSION OF THE SUPPLY
INCREASING THE UNITS OF COMMODITY OFFERED FOR
SALE.
IS A MOVEMENT ALONG THE SUPPLY CURVE
CHARACTERIZED BY A FALL IN PRICE, THEREFORE
CONTRACTION OF SUPPLY
DECREASING THE UNITS OF COMMODITY OFFERED FOR
SALE.
DETERMINANT OF SUPPLY: EFFECT OF INCREASE IN COSTS
SUPPLY OF A COMMODITY DECREASES.
OF FACTORS OF PRODUCTION ON SUPPLY
DETERMINANT OF SUPPLY: EFFECT OF USE OF ADVANCED
TECHNOLOHY INCREASING THE PRODUCTIVITY OF AN SUPPLY OF A COMMODITY INCREASES.
ORGANIZATION ON SUPPLY
DETERMINANT OF SUPPLY: EFFECT OF FLOOD (EXTERNAL
SUPPLY FOR SUCH COMMODITY DEACREASES.
FACTOR) ON SUPPLY OF AGRICULTURAL PRODUCTS
 DETERMINANT OF SUPPLY: EFFECT OF INCREASE IN
SUPPLY OF A COMMODITY INCREASES.
GOVERNMENT SUBSIDIES ON SUPPLY
DETERMINANT OF SUPPLY: EFFECT OF INCREASE IN TAXES
SUPPLY INCREASES.
AFFECTING THE PRICE OF A COMMODITY ON SUPPLY
DETERMINANT OF SUPPLY: EFFECT OF BETTER TRANSPORT
SUPPLY OF A COMMODITY INCREASES.
FACILITIES ON SUPPLY
DETERMINANT OF SUPPLY: EFFECT OF INCREASE IN PRICE
SUPPLY INCREASES.
OF A COMMODITY ON SUPPLY
DETERMINANT OF SUPPLY: EFFECT OF COMMODITY A
HAVING A HIGHER PRICE THAN THAT OF COMMODITY B ON SUPPLY OF COMMODITY B INCREASES.
THE SUPPLY OF THE LATTER
IS DEFINED AS THE RESPONSIVENESS OF A QUANTITY
SUPPLIED TO A UNIT CHANGE IN PRICE OF THAT ELASTICITY OF SUPPLY
COMMODITY.
SUPPLY ELASTICITY = PERCENTAGE CHANGE IN QUANTITY
FORMULA FOR SUPPLY ELASTICITY
SUPPLIED / PERCENTAGE CHANGE IN PRICE
1. PERFECTLY INELASTIC
2. INELASTIC
TYPES OF SUPPLY ELASTICITY (5 ITEMS) 3. UNITARY ELASTIC
4. ELASTIC
5. PERFECTLY ELASTIC
IS A TYPE OF SUPPLY ELASTICITY THAT EXISTS WHEN
THERE IS NO RESPONSE IN SUPPLY TO A CHANGE IN PRICE PERFECTLY INELASTIC SUPPLY
(ELASTICITY EQUALS 0)
IS A TYPE OF SUPPLY ELASTICITY THAT EXISTS WHEN THE
PROPORTIONATE CHANGE IN SUPPLY IS LESS THAN THE
INELASTIC SUPPLY
CHANGE IN PRICE (ELASTICITY IS GREATER THAN 0 BUT
LESS THAN 1).
IS A TYPE OF SUPPLY ELASTICITY THAT EXISTS WHEN THE
PERCENTAGE CHANGE IN QUANTITY SUPPLIED EQUALS THE UNITARY ELASTIC SUPPLY
CHANGE IN PRICE (ELASTICITY EQUALS 1).
IS A TYPE OF SUPPLY ELASTICITY THAT EXISTS WHEN
SUPPLIERS ARE WILLING TO SUPPLY ANY AMOUNT AT A PERFECTLY ELASTIC SUPPLY
GIVEN PRICE (ELASTICITY EQUALS INFINITY).
WITH REGARD TO THE ELASTICITY OF SUPPLY, DISTINCTION
1. PERISHABLE GOODS - LESS ELASTICITY OF SUPPLY
BETWEEN A COMMODITY THAT IS PERISHABLE IN NATURE
2. DURABLE GOODS - HIGH ELASTICITY OF SUPPLY
AND DURABLE GOODS
WITH REGARD TO THE ELASTICITY OF SUPPLY, DISTINCTION 1. SHORT RUN - INELASTIC
BETWEEN SHORT RUN AND LONG RUN ELASTICITY 2. LONG RUN - RELATIVELY ELASTIC
WITH REGARD TO THE ELASTICITY OF SUPPLY, DISTINCTION
1. SMALL SCALE PRODUCERS - INELASTIC
BETWEEN THE SUPPLY OF SMALL SCALE PRODUCERS AND
2. LARGE SCALE PRODUCERS - RELATIVELY ELASTIC
THAT OF LARGE SCALE PRODUCERS
WITH REGARD TO THE ELASTICITY OF SUPPLY,
CHARACTERISTIC OF SUPPLY OF A FIRM CONSIDERED AS A
SUPPLY IS HIGHLY ELASTIC.
LARGE SCALE INDUSTRY HAVING MORE VARIETY OF
PRODUCTS ENABLING IT TO EASILY TRANSFER RESOURCES
WITH REGARD TO THE ELASTICITY OF SUPPLY, EFFECT OF
NATURAL CALAMITIES ON SUPPLY ESPECIALLY ON SUPPLY IS RELATIVELY INELASTIC.
VULNERABLE INDUSTRIES SUCH AS IN AGRICULTURE
WITH REGARD TO THE ELASTICITY OF SUPPLY,
CHARACTERISTIC OF SUPPLY OF COMMODITIES NEEDING SUPPLY IS HIGHLY ELASTIC.
MORE WORKMANSHIP (ARTISTIC GOODS)
IS THE METHOD OF TURNING RAW MATERIALS OR INPUTS
PRODUCTION
INTO FINISHED GOODS IN A MANUFACTURING PROCESS.
IS THE ONE RESPONSIBLE FOR IDENTIFYING THE RIGHT
COMBINATION OF INPUTS FOR THE DECIDED QUANTITY OF PRODUCTION MANAGER
OUTPUT.
1. LAND - FIXED
CHARACTERISTIC (VARIABLE OR FIXED) OF EACH FACTOR
2. LABOR - VARIABLE
OF PRODUCTION IN THE SHORT RUN (3 ITEMS)
3. CAPITAL - FIXED
1. LAND - VARIABLE
CHARACTERISTIC (VARIABLE OR FIXED) OF EACH FACTOR
2. LABOR - VARIABLE
OF PRODUCTION IN THE SHORT RUN (3 ITEMS)
3. CAPITAL - VARIABLE
IS A PRINCIPLE THAT STATES THAT, AT SOME POINT, ADDING
LAW OF DIMINISHING MARGINAL RETURNS OR LAW OF
AN ADDITIONAL FACTOR OF PRODUCTION RESULTS IN
DIMINISHING MARGINAL UTILITY
SMALLER INCREASES IN OUTPUT.
1. TOTAL PRODUCTION
2. AVERAGE PRODUCTION
MEASURES OF PRODUCTIVITY (5 ITEMS) 3. MARGINAL PRODUCTION
4. MARGINAL PRODUCTION OF LABOR
5. MARGINAL PRODUCTION OF CAPITAL
IS A MEASURE OF PRODUCTIVITY THAT REFERS TO THE
MAXIMUM LEVEL OF OUTPUT THAT CAN BE PRODUCED WITH TOTAL PRODUCTION
A GIVEN AMOUNT OF INPUT.
IS A MEASURE OF PRODUCTIVITY THAT REFERS TO THE
AVERAGE PRODUCTION
OUTPUT PRODUCED PER UNIT OF INPUT.
IS A MEASURE OF PRODUCTIVITY THAT REFERS TO THE
CHANGE IN TOTAL OUTPUT PRODUCED BY THE LAST UNIT MARGINAL PRODUCTION
OF INPUT.
MARGINAL PRODUCTION OF LABOR = CHANGE IN QUANTITY
FORMULA FOR MARGINAL PRODUCTION OF LABOR
PRODUCED / CHANGE IN LABOR
MARGINAL PRODUCTION OF CAPITAL = CHANGE IN
FORMULA FOR MARGINAL PRODUCTION OF CAPITAL
QUANTITY PRODUCED / CHANGE IN CAPITAL
IS A FUNCTION THAT RELATES PHYSICAL OUTPUT OF A
PRODUCTION PROCESS TO PHYSICAL INPUTS OR FACTORS PRODUCTION FUNCTION
OF PRODUCTION.
1. TABLE
WAYS OF PRESENTING AND ANALYZING A PRODUCTION
2. GRAPH
FUNCTION (3 ITEMS)
3. EQUATION
NORMAL EFFECT TO QUANTITY PRODUCED IF THE INPUT IS
THE OUTPUT INCREASES ALSO.
INCREASED
IS REACHED WHEN THE TOTAL PRODUCTION INCREASED TO
AN EXTENT THAT THE PROCESS GETS SATURATED OR
POINT OF MAXIMUM OUTPUT OF THE FIRM
THERE WON'T BE ANY CHANGE IN THE OUTPUT DUE TO THE
ADDITION OF INPUT FACTOR(S).
EFFECT IF THE INPUT IS INCREASED BEYOND THE LEVEL AT
WHICH THE POINT OF MAXIMUM OUTPUT OF THE FIRM IS THE OUTPUT STARTS TO DECREASE
REACHED
EFFECT TO MARGINAL PRODUCTION IF THE MAXIMUM
OUTPUT OF THE FIRM WITH THE GIVEN SET OF INPUT MARGINAL PRODUCTION BECOMES ZERO
FACTORS IS REACHED.
IS THE CHANGE IN PERCENTAGE OUTPUT RESULTING FROM
A PERCENTAGE CHANGE IN ALL THE FACTORS OF RETURNS TO SCALE
PRODUCTION.
1. INCREASING
BEHAVIORS OF RETURNS TO SCALE (3 ITEMS) 2. CONSTANT
3. DIMINISHING
IS A BEHAVIOR OF RETURNS TO SCALE THAT OCCURS IF THE
OUTPUT OF A FIRM INCREASES MORE THAN IN PROPORTION INCREASING RETURNS TO SCALE
TO AN INCREASE IN ALL INPUTS.
IS A BEHAVIOR OF RETURNS TO SCALE THAT OCCURS WHEN
ALL OUTPUTS ARE INCREASED RESULTING TO THE SAME CONSTANT RETURNS TO SCALE
PECENTAGE INCREASE IN OUTPUT.
IS A BEHAVIOR OF RETURNS TO SCALE THAT OCCURS WHEN
OUTPUT INCREASES IN A SMALLER PROPORTION THAN THE DIMINISHING RETURNS TO SCALE
INCREASE IN INPUTS.
IS A CURVE THAT SHOW THE VARIOUS COMBINATIONS OF
TWO VARIABLE INPUTS RESULTING IN THE SAME LEVEL OF ISO-QUANT CURVE
OUTPUT.
IS A CURVE THAT SHOWS THE DIFFERENT COMBINATION OF
INPUTS THAT CAN BE PURCHASED AT A GIVEN ISO-COST CURVE
EXPENDITURE LEVEL.
IS THE POINT OF TAGENCY BETWEEN THE ISO-QUANT AND ISO-COST
OPTIMAL
CURVES.
INPUT COMBINATION
ARE THE AMOUNTS OF RESOURCES PAID TO OBTAIN OR UTILIZE
COSTS
THE INPUT FACTORS.
DETERMINANT OF COST: EFFECT OF LARGER SIZE OF PRODUCTION
THE COST
TO THE
OF COST
PRODUCTION
OF PRODUCTION
ALSO INCREASES.
DETERMINANT OF COST: EFFECT OF RISE IN THE COST OF INPUT
THEFACTORS
TOTAL COST
TO THE
OF PRODUCTION
TOTAL COST OF
INCREASES.
PRODUCTION
DETERMINANT OF COST: EFFECT OF THE PRODUCTIVITY OF INPUT
THE COST
FACTORS
OF PRODUCTION
TO THE COSTFALLS.
OF PRODUCTION
 1. LARGE PLANTS - LOWER COST OF PRODUCTION
DETERMINANT OF COST: DISTINCTION BETWEEN THE COST OF2.PRODUCTION
SMALL PLANTS
OF-LARGE
HIGHERPLANTS
COST OF
(MASS
PRODUCTION
PRODUCTION WITH MECHANIZATION) AND THAT OF SMALLER PLANTS
DETERMINANT OF COST: EFFECT TO COST OF PRODUCTION IF THE OUTPUTS IS STABLE OVER A PERIOD OF TIME
DETERMINANT OF COST: EFFECT OF LARGER LOT SIZE (SIZE OF PRODUCTION PER BATCH) TO THE COST OF PRODUCTION
DETERMINANT OF COST: EFFECT OF LAW OF DIMINISHING RETURNS TO COST OF PRODUCTION
DETERMINANT OF COST: EFFECT OF HIGHER CAPACITY UTILIZATION TO COST OF PRODUCTION
ACCORDING TO TIME PERIOD:
1. LONG RUN COST - MORE STABLE
DETERMINANT OF COST: DISTINCTION BETWEEN LONG RUN COST
2. SHORT
AND SHORT
RUN COST
RUN-COST
LESS STABLE
DETERMINANT OF COST: EFFECT TO COST OF PRODUCTION OF THE USE BY AN ORGANIZATION OF ADVANCED TECHNOLOGY
DETERMINANT OF COST: EFFECT TO COST OF PRODUCTION OF HAVING MORE EXPERIENCE IN THE PRODUCTION PROCESS
DETERMINANT OF COST: EFFECT TO COST OF PRODUCTION OF HAVING A HIGHER RANGE OF PRODUCTS PRODUCED
DETERMINANT OF COST: EFFECT TO COST OF PRODUCTION OF HAVING BETTER LOGISTICS AND SUPPLY CHAIN
DETERMINANT OF COST: EFFECT TO COST OF PRODUCTION IF THE GOVERNMENT PROVIDES INCENTIVES ON INPUT FACTORS
IS THE COST OR EXPENDITURE A FIRM INCURS FOR PRODUCING OR ACQUIRING A GOOD OR SERVICE.
IS THE REVENUE WHICH COULD HAVE BEEN EARNED BY EMPLOYING THAT GOOD OR SERVICE IN SOME OTHER ALTERNATIVE USES.
ARE RETROSPECTIVE (PAST) COSTS THAT HAVE ALREADY BEEN INCURRED AND CANNOT BE RECOVERED.
IS THE PRICE PAID FOR A PLANT ORIGINALLY AT THE TIME OF PURCHASE.
IS THE PRICE THAT WOULD HAVE TO BE PAID CURRENTLY FOR ACQUIRING THE SAME PLANT.
IS THE ADDITION TO COSTS RESULTING FROM A CHANGE IN THE NATURE OF LEVEL OF BUSINESS ACTIVITY.
IS THE COST ACTUALLY PAID BY THE FIRM (E.G., RENT). EXPLICIT COST
IS THE COST INCURRED IF THE FACTORS OF PRODUCTION AREIMPLICIT
OWNEDCOST
BY A FIRM (E.G., DEPRECIATION).
ARE COSTS WHICH DO NOT INVOLVE ANY CASH PAYMENTS BUT
BOOK
A PROVISION
COSTS IS MADE IN THE BOOKS OF ACCOUNTS IN ORDER TO INCLUDE THEM IN THE PROFIT AND LOSS ACCOUNT TO TAKE TAX ADVANTAGES.
IS THE TOTAL COST INCURRED BY THE SOCIETY ON ACCOUNTSOCIAL
OF PRODUCTION
COST OF A GOOD OR SERVICE.
IS THE COST ASSOCIATED WITH THE EXCHANGE OF GOODS AND
TRANSACTION
SERVICES. COST
ARE THE COSTS WHICH CAN BE CONTROLLED BY THE EXECUTIVES.
CONTROLLABLE COSTS
IS THE COST INCURRED IF THE FIRM TEMPORARILY STOPS ITSSHUT
OPERATION.
DOWN COST
REFER TO THE COST OF SOME INPUTS THAT ARE USED OVER FIXED
A PERIOD
COST
OF TIME FOR PRODUCING MORE THAN ONE BATCH OF GOODS (COST OF PRODUCTION THAT REMAINS CONSTANT WHATEVER THE LEVEL OF OUTPUT).
ARE COSTS THAT THE FIRM SPENDS MORE ON WHEN THE OUPUT
VARIABLE
HAS INCREASED
COSTS (COSTS OF PRODUCTION THAT VARIES WITH OUTPUT).
IS THE MARKET VALUE OF ALL RESOURCES USED TO PRODUCE
TOTAL
A GOOD
COST
OR SERVICE.
FORMULA FOR AVERAGE COST AVERAGE COST = TOTAL COST / LEVEL OF OUTPUT
FORMULA FOR AVERAGE VARIABLE COST AVERAGE VARIABLE COST = TOTAL VARIABLE COST / LEVEL OF OUTPUT
FORMULA FOR AVERAGE FIXED COST AVERAGE FIXED COST = TOTAL FIXED COST / LEVEL OF OUTPUT
IS A COST CURVE REPRESENTED BY A HORIZONTAL LINE PARALLEL
FIXED TO
COST
THECURVE
X-AXIS.
IS A COST CURVE REPRESENTED BY AN UPWARD SLOPING LINE.
VARIABLE COST CURVE
IS A COST CURVE REPRESENTED BY A LINE THAT LOOKS LIKE AVERAGE
A BOAT. VARIABLE COST CURVE
IS A COST CURVE REPRESENTED BY A LINE THAT DECLINES ASAVERAGE
OUTPUT FIXED
INCREASES
COST AND
CURVE
IT IS HYPERBOLIC TO THE ORIGIN.
IS A COST CURVE REPRESENTED BY A LINE THAT LOOKS LIKE MARGINAL
A TICK MARK
COST
WHICH
CURVE
DECLINES UP TO AN EXTENT THEN IT STARTS INCREASING ALONG WITH THE OUTPUT.
IS REPRESENTED BY THE INTERSECTION BETWEEN THE AVERAGE
MINIMUM
COSTAVERAGE
AND MARGINAL
COST WITH
COSTAN
CURVES.
OPTIMUM INPUT (NO MORE OUTPUT CAN BE PRODUCED AT THIS AVERAGE COST WITHOUT INCREASING THE FIXED COST OF PRODUCTION)
IS REPRESENTED BY THE INTERSECTION BETWEEN THE MARGINAL
MAXIMUM
PRODUCTION
AVERAGEAND
PRODUCTION
AVERAGE PRODUCTION CURVES (MP = AP).
IS REPRESENTED BY THE INTERSECTION BETWEEN THE MARGINAL
MINIMUM
COST
AVERAGE
AND AVERAGE
VARIABLE
COST
COST
CURVES (MC = AC)
MEANS A FALL IN AVERAGE COST OF PRODUCTION DUE TO GROWTH
ECONOMIES
IN THEOF
SIZE
SCALE
OF THE INDUSTRY WITHIN WHICH A FIRM OPERATES (EXIST WHEN THE LONG RUN AVERAGE COSTS DECLINE AS OUTPUT IS INCREASED).
ARISES IF THE SIZE OF THE BUSINESS BECOMES TOO LARGE AND
DISECONOMIES
IT BECOMESOF
DIFFICULT
SCALE TO CONTROL THE ORGANIZATIONAL ACTIVITIES (THE AVERAGE COST OF PRODUCTION INCREASES IN THE LONG RUN).
ECONOMIES OF SCALE IN LABOR ECONOMIES IF THE LABOR FORCE OF A FIRM IS SPECIALIZED IN A SPECIFIC SKILL, THEN THE ORGANIZATION CAN ACHIEVE ECONOMIES OF SCALE DUE TO HIGHER LABOR PRODUCTIVITY.
ECONOMIES OF SCALE IN TECHNICAL ECONOMIES WITH THE USE OF ADVANCED TECHNOLOGY, THEY CAN PRODUCE LARGE QUANTITIES WITH QUALITY WHICH REDUCES THEIR COST OF PRODUCTION.
ECONOMIES OF SCALE IN MANAGERIAL ECONOMIES THE MANAGERIAL SKILLS OF AN ORGANIZATION WILL BE ADVANTAGEOUS TO ACHIEV ECONOMIES OF SCALE IN VARIOUS BUSINESS ACTIVITIES.
ECONOMIES OF SCALE IN MARKETING ECONOMIES USE OF VARIOUS MARKETING STRATEGIES WILL HELP IN ACHIEVING ECONOMIES OF SCALE.
ECONOMIES OF SCALE IN FINANCIAL ECONOMIES THE FIRM'S FINANCIAL SOUNDNESS AND PAST RECORD OF FINANCIAL TRANSACTIONS WILL HELP THEM TO GET FINANCIAL FACILITIES EASILY.
ECONOMIS OF SCALE IN PURCHASING WHEN THE ORGANIZATION PURCHASES RAW MATERIALS IN BULK, TRANSPORTATION COST IS REDUCED AND UNIFORM QUALITY IS MAINTAINED.
IS A STRATEGY WHEREBY A COMPANY OWNS OR CONTROLS ITS
VERTICAL
SUPPLIERS,
INTEGRATION
DISTRIBUTORS, OR RETAIL LOCATIONS TO CONTROL ITS VALUE OR SUPPLY CHAIN (THEREBY ACHIEVING ECONOMIES OF SCALE).
IS ACHIEVED BY HAVING VARIETY OF PRODUCTS AND DIVERSIFICATION
RISK SPREADING
HELPING TO SPREAD THE ORGANIZATION'S RISKS AND REDUCE LOSSES (THEREBY ACHIEVING ECONOMIES OF SCALE).
1. BETTER REPAIR AND MAINTENANCE FACILITIES
2. RESEARCH AND DEVELOPMENT
3. TRAINING AND DEVELOPMENT
4. ECONOMIES OF LOCATION
5. ECONOMIES OF INFORMATION TECHNOLOGY
EXTERNAL FACTORS OF ECONOMIES OF SCALE (6 ITEMS) 6. ECONOMIES OF BY-PRODUCTS
1. LABOR UNION PROBLEMS
2. POOR TEAM WORK
3. LACK OF COORDINATION
4. DIFFICULTY IN FUND RAISING
5. DIFFICULTY IN DECISION MAKING
6. SCARCITY OF RESOURCES
FACTORS CAUSING DISECONOMIES OF SCALE (7 ITEMS) 7. INCREASED RISK
SHAPE OF THE LONG RUN AVERAGE COST OF PRODUCTION CURVE
STRAIGHT
IF THEIR
HORIZONTAL
IS A CONSTANT
LINE RETURNS TO SCALE
IS ACHIEVED BY PRODUCING OR SELLING VARIETY OF PRODUCTS
ECONOMIES
TO GET COST
OF SCOPE
ADVANTAGE (PRODUCT DIVERSIFICATION WITHIN THE SAME SCALE OF PLANT; E.G., RETAIL STORES).
IS THE POTENTIAL FOR UNCONTROLLED LOSS OF SOMETHINGRISK
OF VALUE.
REFERS TO A SITUATION WHERE THE OUTCOMES OF MANAGERIAL
UNCERTAINTY
DECISIONS CANNOT BE PREDICTED WITH ABSOLUTE ACCURACY BUT ALL POSSIBILITIES AND THEIR ASSOCIATED PROBABILITIES OF OCCURRENCE ARE KNOWN.
IS A TYPE OF RISK THAT REFERS TO THE CHANCE OF LOSS ASSOCIATED
BUSINESS RISK
WITH A GIVEN MANAGERIAL DECISION.
IS A TYPE OF RISK THAT REFERS TO THE CHANCE THAT A PORTFOLIO
MARKETOF
RISK
INVESTMENT CAN LOSE MONEY DUE TO VOLATILITY IN THE FINANCIAL MARKET.
IS A TYPE OF RISK THAT REFERS TO A GENERAL INCREASE IN INFLATION
THE PRICE RISK
LEVEL UNDERMINING THE REAL ECONOMIC VALUE OF ANY LEGAL AGREEMENT THAT INVOLVES A FIXED PROMISE TO PAY OVER AN EXTENDED PERIOD.
IS A TYPE OF RISK THAT REFERS TO THE CHANGING INTERESTINTEREST
RATES THAT
RATE
AFFECTS
RISK THE VALUE OF ANY AGREEMENT THAT INVOLVES A FIXED PROMISE TO PAY OVER A SPECIFIED PERIOD.
IS A TYPE OF RISK THAT MAY ARISE WHEN THE OTHER PARTY CREDIT
FAILS TO
RISK
ABIDE BY THE CONTRACTUAL OBLIGATIONS.
IS A TYPE OF RISK THAT REFERS TO THE DIFFICULTY OF SELLING
LIQUIDITY
CORPORATE
RISK ASSETS AND INVESTMENTS.
IS A TYPE OF RISK THAT REFERS TO THE CHANCE THAT VOLATILE
DERIVATIVE
FINANCIAL
RISK
DERIVATIVES COULD CREATE LOSSES ON INVESTMENTS BY INCREASING PRICE VOLATILITY.
IS A TYPE OF RISK THAT MAY ARISE DUE TO LOSS OF MARKET CULTURAL
DUE TO DISTINCTIVE
RISK SOCIAL CUSTOMS.
IS A TYPE OF RISK THAT REFERS TO THE PROBABLE LOSS DUECURRENCY
TO CHANGES
RISK
IN THE DOMESTIC CURRENCY VALUE IN TERMS OF EXPECTED FOREIGN CURRENCY.
IS A TYPE OF RISK THAT REFERS TO THE CHANCE OF LOSS BECAUSE
GOVERNMENT
OF DOMESTIC
POLICYAND
RISKFOREIGN GOVERNMENT POLICIES.
IS THE PROBABLE PAYOFF ASSOCIATED WITH ALL POSSIBLE OUTCOMES.
EXPECTED VALUE
IS THE EXTENT TO WHICH THE POSSIBLE OUTCOMES OF AN UNCERTAIN
VARIABILITY
SITUATION DIFFER.
MEANS THE DIFFERENCE BETWEEN EXPECTED OUTCOME ANDDEVIATION
THE ACTUAL OUTCOME.
1. RISK LOVING
2. RISK AVERSION
BEHAVIORS TOWARDS RISK (3 ITEMS) 3. RISK NEUTRAL
IS A BEHAVIOR TOWARDS RISK THAT ARISES WHEN THE PAYOFF
RISK
IS LOVING
GREATER THAN THE EXPECTED VALUE.
IS A BEHAVIOR TOWARDS RISK THAT ARISES WHEN THE PAYOFF
RISK
IS AVERSION
LESS THAN THE EXPECTED VALUE.
IS A BEHAVIOR TOWARDS RISK THAT ARISES WHEN THE PAYOFF
RISK
IS NEUTRAL
EQUAL TO EXPECTED VALUE.
1. INSURANCE
2. HEDGING
WAYS TO MANAGE RISK AND UNCERTAINTY (3 ITEMS) 3. DIVERSIFICATION
 TAX - GENERAL PRINCIPLES OF TAXATION (401001 - STILL UNFINISHED)
401001 - IS THE POWER BY WHICH THE SOVEREIGN,
THROUGH ITS LAW-MAKING BODY, RAISES REVENUE TO TAXATION
DEFRAY THE NECESSARY EXPENSES OF GOVERNMENT.
401002 - IS THE PRIMARY PURPOSE OF TAXATION WHICH
ASSERTS THAT THE PURPOSE OF TAXATION IS TO RAISE
REVENUE PURPOSE
FUNDS OR PROPERTY TO ENABLE THE STATE TO PROMOTE
THE GENERAL WELFARE AND PROTECTION OF THE PEOPLE.
1. PROMOTION OF GENERAL WELFARE
2. REGULATION OF ACTIVITIES/INDUSTRIES
401003 - SECONDARY OR NON-REVENUE PURPOSES OF
3. REDUCTION OF SOCIAL INEQUALITY
TAXATION (5 ITEMS)
4. ENCOURAGE ECONOMIC GROWTH
5. PROTECTIONISM
401004 - IS A PURPOSE OF TAXATION THAT ASSERTS THAT
TAXATION MAY BE USED AS AN IMPLEMENT OF POLICE PROMOTION OF GENERAL WELFARE
POWER TO PROMOTE GENERAL WELFARE OF THE PEOPLE.
401005 - IS A PURPOSE OF TAXATION THAT ASSERTS THAT
TAXES MAY BE IMPOSED FOR A REGULATORY PURPOSE AS,
FOR INSTANCE, IN THE REHABILITATION AND STABILIZATION REGULATION OF ACTIVITIES/INDUSTRIES
OF A THREATHENED INDUSTRY WHICH IS AFFECTED WITH
PUBLIC INTEREST.
401006 - IS A PURPOSE OF TAXATION WHICH ASSERTS THAT
A PROGRESSIVE SYSTEM OF TAXATION PREVENTS THE
REDUCTION OF SOCIAL INEQUALITY
UNDUE CONCENTRATION OF WHEALTH IN THE HANDS OF
FEW INDIVIDUALS.
401007 - IS A PURPOSE OF TAXATION WHICH ASSERTS THAT
THE GRANT OF INCENTIVES OR EXEMPTIONS ENCOURAGE ENCOURAGE ECONOMIC GROWTH
INVESTMENT THEREBY STIMULATING ECONOMIC ACTIVITY.
401008 - IS A PURPOSE OF TAXATION WHICH ASSERTS THAT
PROTECTIVE TARIFFS AND CUSTOMS DUTIES ARE IMPOSED
AS TAXES IN ORDER TO PROTECT IMPORTANT SECTORS OF PROTECTIONISM
THE ECONOMY OR LOCAL INDUSTRIES, AS IN THE CASE OF
FOREIGN IMPORTATIONS.
1. INHERENT ATTRIBUTE OF SEVEREIGNTY
401009 - TWO-FOLD NATURE OF THE STATE'S POWER TO TAX
2. LEGISLATIVE IN CHARACTER
401010 - __________ DO NOT GIVE RISE TO THE POWER TO
TAX BUT MERELY IMPOSE LIMITATIONS ON WHAT WOULD CONSTITUTIONAL PROVISIONS
OTHERWISE BE AN INVINCIBLE POWER.
401011 - A NATURE OF TAXATION WHICH ASSERTS THAT THE
POWER OF TAXATION CAN ONLY BE EXERCISED THROUGH LEGISLATIVE IN CHARACTER
THE ENACTMENT OF LAW.
1. AMOUNT OR RATE OF TAX
2. SUBJECTS OF TAXATION
3. KIND OF TAX TO BE COLLECTED
401012 - ELEMENTS TO BE DETERMINED IN THE EXERCISE 4. METHOD OF COLLECTION
OF THE LEGISLATIVE POWER IN TAXATION (7 ITEMS) 5. APPORTIONMENT OF THE TAX
6. PURPOSES FOR WHICH THE TAXES SHALL BE LEVIED
(MUST BE FOR PUBLIC PURPOSE)
7. SITUS OF TAXATION
1. COMPREHENSIVE
2. UNLIMITED
401013 - CHARACTERISTICS OF TAXATION (4 ITEMS)
3. PLENARY
4. SUPREME
401014 - IS THE INHERENT RIGHT OF THE STATE TO
CONDEMN OR TO TAKE PRIVATE PROPERTY FOR PUBLIC POWER OF EMINENT DOMAIN
USE UPON PAYMENT OF JUST COMPENSATION.
401015 - IS THE POWER OF THE STATE TO PROMOTE PUBLIC
WELFARE BY RESTRAINING AND REGULATING THE USE OF POLICE POWER
LIBERTY AND PROPERTY WITHOUT COMPENSATION.
401016 - INHERENT POWERS: EXERCISED BY THE
TAXATION AND POLICE POWER
GOVERNMENT OR ITS POLITICAL SUBDIVISION
401017 - INHERENT POWERS: EXERCISED BY GOVERNMENT
EMINENT DOMAIN
OR PUBLIC SERVICE COMPANIES AND PUBLIC UTILITIES
 401018 - INHERENT POWERS: THE PURPOSE IS TO RAISE
REVENUE IN SUPPORT OF THE GOVERNMENT. REGULATION TAXATION
IS MERELY INCIDENTAL
401019 - INHERENT POWERS: THE PURPOSE IS PROMOTION
POLICE POWER
OF GENERAL WELFARE THROUGH REGULATIONS
401020 - INHERENT POWERS: THE PURPOSE IS TO
FACILITATE THE TAKING OF PRIVATE PROPERTY FOR PUBLIC EMINENT DOMAIN
PURPOSE
401021 - INHERENT POWERS: PRODUCES EFFECTS UPON
TAXATION AND POLICE POWER
THE COMMUNITY OR CLASS OF INDIVIDUALS
401022 - INHERENT POWERS: PRODUCES EFFECTS ON AN
EMINENT DOMAIN
INDIVIDUAL AS THE OWNER OF A PARTICULAR PROPERTY
401023 - INHERENT POWERS: THE AMOUNT OF MONETARY
IMPOSITION HAS NO CEILING EXCEPT INHERENT TAXATION
LIMITATIONS
401024 - INHERENT POWERS: THE AMOUNT OF MONETARY
IMPOSITION IS LIMITED TO THE COST OF REGULATION, POLICE POWER
ISSUANCE OF LICENSE OR SURVEILLANCE
401025 - INHERENT POWERS: NO MONETARY IMPOSITION,
THE OWNER IS PAID THE FAIR MARKET VALUE OF HIS EMINENT DOMAIN
PROPERTY
401026 - INHERENT POWERS: THE BENEFIT RECEIVED IS THE
PROTECTION OF A SECURED AND ORGANIZED SOCIETY (NO TAXATION AND POLICE POWER
DIRECT BENEFIT)
401027 - INHERENT POWERS: THE PERSON RECEIVES THE
FAIR MARKET VALUE OF THE TAKEN FROM HIM (DIRECT EMINENT DOMAIN
BENEFIT).
401028 - INHERENT POWERS: THE PERSON RECEIVES THE
FAIR MARKET VALUE OF THE TAKEN FROM HIM (DIRECT TAXATION
BENEFIT).
401029 - INHERENT POWERS: CONTRACTS MAY BE IMPAIRED POLICE POWER AND EMINENT DOMAIN
401030 - INHERENT POWERS: TO BE VALID, THE EXERCISE
MUST NOT BE CONTRARY TO INHERENT AND TAXATION
CONSTITUTIONAL LIMITATIONS
401031 - INHERENT POWERS: TO BE VALID, THE EXERCISE
MUST COMPLY WITH THE TESTS ON "LAWFUL SUBJECTS" POLICE POWER
AND "LAWFUL MEANS"
401032 - INHERENT POWERS: TO BE VALID, THE EXERCISE
MUST BE FOR PUBLIC PURPOSE AND WITH PAYMENT OF EMINENT DOMAIN
JUST COMPENSATION
1. LIFEBLOOD THEORY
401033 - THEORIES UNDERLYING THE POWER OF TAXATION 2. NECESSITY THEORY
(4 ITEMS) 3. BENEFITS PROTECTION THEORY
4. JURISDICTION OVER SUBJECTS AND OBJECTS
401034 - IS A THEORY WHICH ASSERTS THAT TAXATION IS A
GOVERNMENTAL NECESSITY, FOR INDEED, WITHOUT
LIFEBLOOD THEORY
TAXATION, A GOVERNMENT CAN NEITHER EXIST NOR
ENDURE.
401035 - IS A THEORY WHICH ASSERTS THAT WITHOUT
TAXES, THE GOVERNMENT CANNOT FULFILL ITS MANDATE
NECESSITY THEORY
OF PROMOTING THE GENERAL WELFARE AND WELL-BEING
OF THE PEOPLE.
401036 - IS A THEORY WHICH ASSERTS THAT TAXATION
INVOLVES THE POWER OF THE STATE TO DEMAND AND
RECEIVE TAXES BASED ON THE RECIPROCAL DUTIES OF BENEFITS-PROTECTION THEORY
SUPPORT AND PROTECTION BETWEEN THE STATE AND ITS
CITIZEN.
401037 - IS A THEORY WHICH ASSERTS THAT IT IS THE
COUNTRY, STATE OR SOVEREIGN THAT GIVES PROTECTION
(OVER ITS TERRITORY) AND HAS THE RIGHT TO DEMAND
JURISDICTION OVER SUBJECTS AND OBJECTS
PAYMENT OF TAXES (WITHIN ITS TERRITORY) WITH WHICH
TO FINANCE ACTIVITIES SO IT COULD CONTINUE TO GIVE
PROTECTION.
 1. FISCAL ADEQUACY
401038 - BASIC PRINCIPLES OF A SOUND TAX SYSTEM OR
2. ADMINISTRATIVE FEASIBILITY
CANONS OF SOUND TAXATION (3 ITEMS)
3. THEORETICAL JUSTICE
401039 - IS A PRINCIPLE OF A SOUND TAX SYSTEM WHICH
ASSERTS THAT REVENUE RAISED MUST BE SUFFICIENT TO FISCAL ADEQUACY
MEET GOVERNMENT/PUBLIC EXPENDITURES.
401040 - IS A PRINCIPLE OF A SOUND TAX SYSTEM WHICH
ASSERTS THAT THE TAX SYSTEM SHOULD BE CAPABLE OF
ADMINISTRATIVE FEASIBILITY
BEING EFFECTIVELY ADMINISTERED AND ENFORCED WITH
THE LEAST INCONVENIENCE TO THE TAXPAYER.
401041 - IS A PRINCIPLE OF A SOUND TAX SYSTEM WHICH
ASSERTS THAT, IN THE EXERCISE OF THE POWER OF
THEORETICAL JUSTICE
TAXATION, ONE MUST TAKE INTO CONSIDERATION THE
TAXPAYER'S ABILITY TO PAY.
401042 - A TAX LAW WILL RETAIN ITS VALIDITY EVEN IF IT IS
NOT IN CONSONANCE WITH THE PRINCIPLES OF __________
FISCAL ADEQUACY AND ADMINISTRATIVE FEASIBILITY
AND __________ BECAUSE THE CONSTITUTION DOES NOT
EXPRESSLY REQUIRE SO.
[PENTI]
1. PUBLIC PURPOSE
2. INHERENTLY LEGISLATIVE
401043 - INHERENT LIMITATIONS ON THE EXERCISE OF THE
3. TERRITORIAL
POWER OF TAXATION (5 ITEMS)
4. INTERNATIONAL COMITY
5. EXEMPTION OF GOVERNMENT ENTITIES, AGENCIES AND
INSTRUMENTALITIES
401044 - A TAX LAW IS CONSIDERED __________ IF IT IS FOR
THE WELFARE OF THE NATION AND/OR FOR THE GREATER
FOR PUBLIC PURPOSE
PORTION OF THE POPULATION AND IT AFFECTS THE AREA
AS A COMMUNITY RATHER THAN AS INDIVIDUALS.
401045 - TESTS IN DETERMINING IF A TAX LAW IS FOR PUBLIC 1. DUTY TEST
PURPOSE (2 ITEMS) 2. PROMOTION OF GENERAL WELFARE TEST
401046 - IS A TEST WHICH ASSERTS THAT A TAX LAW IS FOR
PUBLIC PURPOSE IF THE THING TO BE FURTHERED BY THE
APPROPRIATION OF PUBLIC REVENUE IS SOMETHING WHICH DUTY TEST
IS THE DUTY OF THE STATE AS A GOVERNMENT TO
PROVIDE.
401047 - IS A TEST WHICH ASSERTS THAT A TAX LAW IS FOR
PUBLIC PURPOSE IF THE PROCEEDS OF THE TAX WILL
PROMOTION OF GENERAL WELFARE TEST
DIRECTLY PROMOTE THE WELFARE OF THE COMMUNITY IN
EQUAL MEASURE.
401048 - IS AN INHERENT LIMITATION ON THE EXERCISE OF
THE POWER OF TAXATION WHICH ASSERTS THAT THE
INHERENTLY LEGISLATIVE
POWER TO TAX IS EXCLUSIVELY VESTED IN THE
LEGISLATIVE BODY AND MAY NOT BE DELEGATED.
1. SELECTION OF THE SUBJECT TO BE TAXED
2. DETERMINATION OF THE PURPOSES OF TAX
401049 - ASPECTS OF THE POWER TO TAX THAT ARE NON-
3. FIXING OF THE RATE/AMOUNT OF TAX
DELEGABLE (5 ITEMS)
4. SITUS OF TAX
5. KIND OF TAX
1. THOSE DELEGATED TO LOCAL GOVERNEMENT (CERTAIN
TAXES, FEES AND CHARGES)
401050 - ASPECTS OF THE POWER TO TAX THAT MAY BE 2. THOSE DELEGATED TO THE PRESIDENT (FIXING OF TARIFF
DELEGATED (3 ITEMS) RATES, TONNAGE AND WHARFAGE DUES, AND OTHER
DUTIES)
3. ADMINISTRATIVE IMPLEMENTATION (BIR)
401051 - IS AN INHERENT LIMITATION ON THE EXERCISE OF
THE POWER OF TAXATION WHICH ASSERTS THAT THE
TAXING POWER OF A COUNTRY IS LIMITED TO PERSONS AND TERRITORIAL
PROPERTY WITHIN AND SUBJECT TO ITS JURISDICTION (IN
GENERAL)
1. RESIDENT CITIZENS - WHERE TAX LAWS OPERATE
OUTSIDE TERRITORIAL JURISDICTION
401052 - EXCEPTIONS TO THE TERRITORIAL INHERENT 2. EXCEMPTIONS BY TREATY OBLIGATIONS OR
LIMITATION OF TAXATION INTERNATIONAL COMITY - WHERE TAX LAWS DO NOT
OPERATE WITHIN THE TERRITORIAL JURISDICTION OF THE
STATE
 401053 - IS AN INHERENT LIMITATION ON THE EXERCISE OF
THE POWER OF TAXATION WHICH REFERS TO THE RESPECT
ACCORDED BY NATIONS TO EACH OTHER BECAUSE THEY
INTERNATIONAL COMITY
ARE SOVEREIGN EQUALS. THUS, THE PROPERTY OR INCOME
OF A FOREIGN STATE MAY NOT BE THE SUBJECT OF
TAXATION BY ANOTHER STATE.
[DEO NUER]
1. DUE PROCESS OF LAW
2. EQUAL PROTECTION OF THE LAWS
3. NON-IMPRISONMENT OF OBLIGATION OF CONTRACTS
4. NON-IMPRISONMENT FOR NON-PAYMENT OF POLL TAX
5. RULE OF TAXATION SHALL BE UNIFORM AND EQUITABLE
6. EXEMPTION FROM REAL PROPERTY TAX OF CHARITABLE
401054 - CONSTITUTIONAL LIMITATIONS ON THE EXERCISE INSTITUTIONS, CHURCHES... ALL LANDS, BUILDINGS AND
OF THE POWER OF TAXATION (7 ITEMS) IMPROVEMENTS ACTUALLY, DIRECTLY AND EXCLUSIVELY
USED FOR RELIGIOUS AND CHARITABLE PURPOSES.
6. EXEMPTION FROM INCOME TAXES AND CUSTOMS DUTIES
OF NON-STOCK, NON-PROFIT EDUCATIONAL INSTITUTIONS,
AND EXEMPTIONS FROM REAL PROPERTY TAXES ON LANDS
AND IMPROVEMENTS WHICH ARE USED ACTUALLY,
DIRECTLY AND EXCLUSIVELY FOR EDUCATIONAL
PURPOSES.
[EPPP SLP]
1. ENFORCED CONTRIBUTION
2. GENERALLY PAYABLE IN MONEY
3. PROPORTIONATE IN CHARACTER
4 LEVIED ON PERSONS, PROPERTY OR EXERCISE OF RIGHT
401055 - ESSENTIAL ELEMENTS OF TAX (7 ITEMS)
OR PRIVILEGE
5. LEVIED BY STATE WHICH HAS JURISDICTION OVER THE
SUBJECT OR OBJECT OF TAXATION
6. LEVIED BY LAWMAKING BODY OF STATE
7. LEVIED FOR PUBLIC PURPOSE
1. PERSONAL, CAPITATION OR POLL
401056 - KINDS OF TAXES AS TO SUBJECT MATTER OR
2. PROPERTY
OBJECT (3 ITEMS)
3. EXCISE (PRIVILEGE)
401057 - IS THE TAX IMPOSED ON PERSONS RESIDING
WITHIN A SPECIFIED TERRITORY WITHOUT REGARD TO PERSONAL, CAPITATION OR POLL TAX
THEIR PROPERTY OR OCCUPATION (E.G., COMMUNITY TAX).
401058 - IS THE TAX ON PROPERTY WHETHER REAL OR
PROPERTY TAX
PERSONAL.(E.G., REAL PROPERTY TAX).
401059 - IS THE TAX IMPOSED UPON THE PERFORMANCE OF
AN ACT, ENJOYMENT OF PRIVILEGE OR ENGAGING IN AN
EXCISE OR PRIVILEGE TAX
OCCUPATION (E.G., INCOME TAX, DONOR'S TAX, ESTATE
TAX).
401060 - KINDS OF TAXES AS TO WHO BEARS THE BURDEN (2 1. DIRECT
ITEMS) 2. INDIRECT
401061 - IS A TAX DEMANDED FROM PERSONS WHO ALSO
SHOULDER THE BURDEN OF THE TAX (E.G., INCOME TAX, DIRECT TAX
ESTATE TAX, DONOR'S TAX)
401062 - IS A TAX DEMANDED FROM A PERSON WHO SHALL
INDEMNIFY HIMSELF AT THE EXPENSE OF ANOTHER (E.G., INDIRECT TAX
VAT, OTHER PERCENTAGE TAXES).
401063 - KINDS OF TAXES AS TO DETERMINATION OF 1. SPECIFIC
AMOUNT (2 ITEMS) 2. AD VALOREM
401064 - IS A KIND OF TAX THE AMOUNT OF WHICH IS
DETERMINED BY THE HEAD, NUMBER OR SOME STANDARD
SPECIFIC TAX
OF WEIGHT OR MEASUREMENT (E.G., EXCISE TAX ON
DISTILLED SPIRITS, WINES, LIQUORS).
401065 - IS A KIND OF TAX THE AMOUNT OF WHICH IS
DETERMINED AS THE FIXED PROPORTION OF THE VALUE OF AD VALOREM TAX
PROPERTY WITH RESPECT TO WHICH TAX IS ASSESSED.
1. GENERAL, FISCAL OR REVENUE
401066 - KINDS OF TAXES AS TO PURPOSE (2 ITEMS)
2. SPECIAL OR REGULATORY
401067 - IS A KIND OF TAX IMPOSED TO RAISE REVENUE FOR
THE GENERAL PURPOSES OF THE GOVERNMENT (E.G., GENERAL, FISCAL OR REVENUE TAX
INCOME TAX, VAT).
401068 - IS A KIND OF TAX IMPOSED FOR SPECIAL PURPOSES
SPECIAL OR REGULATORY TAX
(E.G., CUSTOMS DUTIES, SUGAR ADJUSTMENT TAXES).
401069 - KINDS OF TAXES AS TO IMPOSING AUTHORITY (2 1. NATIONAL
ITEMS) 2. MUNICIPAL OR LOCAL
401070 - IS A KIND OF TAX IMPOSED BY NATIONAL
GOVERNMENT (E.G., INTERNAL REVENUE TAXES, CUSTOMS NATIONAL TAX
DUTIES).
401071 - IS A KIND OF TAX IMPOSED BY LOCAL GOVERNMENT
MUNICIPAL OR LOCAL TAX
UNITS (E.G., SAND AND GRAVEL TAX, OCCUPATION TAX)
1. PROPORTIONAL
401072 - KINDS OF TAXES AS TO GRADUATION OR RATE (3
2. PROGRESSIVE
ITEMS)
3. REGRESSIVE
401073 - IS A KIND OF TAX BASED ON A FIXED PERCENTAGE
OF PROPERTY, RECEIPTS OR OTHER BASIS TO BE TAXED (E. PROPORTIONAL TAX
G., VAT).
401074 - IS A KIND OF TAX THE RATE OF WHICH INCREASES
AS THE TAX BASE INCREASES (E.G., INCOME TAX, ESTATE PROGRESSIVE TAX
TAX, DONOR'S TAX)
401075 - IS A KIND OF TAX THE RATE OF WHICH DECREASES
REGRESSIVE TAX
AS THE TAX BASE INCREASES.
401076 - TAX OR TOLL: DEMAND OF PROPRIETORSHIP TOLL
401077 - TAX OR TOLL: DEMAND OF SOVEREIGNTY TAX
401078 - TAX OR TOLL: PAID FOR THE USE OF ANOTHER'S
TOLL
PROPERTY.
401079 - TAX OR TOLL: PAID FOR THE SUPPORT OF THE
TAX
GOVERNMENT
401080 - TAX OR TOLL: AMOUNT IS BASED ON COST OF
TOLL
CONTRUCTION OR MAINTENANCE OF PUBLIC IMPROVEMENT
401081 - TAX OR TOLL: BASED ON NECESSITIES OF THE
TAX
STATE
401082 - TAX OR TOLL: IMPOSED BY GOVERNMENT, PRIVATE
TOLL
INDIVIDUALS OR ENTITIES
401083 - TAX OR TOLL: IMPOSED ONLY BY THE GOVERNMENT TAX
401084 - TAX OR LICENSE: IMPOSED FOR REGULATION LICENSE
401085 - TAX OR LICENSE: LEVIED FOR REVENUE TAX
401086 - TAX OR LICENSE: INVOLVES EXERCISE OF POLICE
LICENSE
POWER
401087 - TAX OR LICENSE: INVOLVES EXERCISE OF TAXING
TAX
POWER
401088 - TAX OR LICENSE: AMOUNT IS LIMITED TO EXPENSES
LICENSE
OF REGULATION
401089 - TAX OR LICENSE: NO LIMIT ON THE AMOUNT TO BE
TAX
IMPOSED
401090 - TAX OR LICENSE: FAILURE TO PAY MAKES THE ACT
LICENSE
OR BUSINESS ILLEGAL
401091 - TAX OR LICENSE: FAILURE TO PAY DOES NOT MAKE
TAX
THE BUSINESS ILLEGAL
401092 - TAX OR DEBT: BASED ON CONTRACT DEBT
401093 - TAX OR DEBT: BASED ON LAW TAX
401094 - TAX OR DEBT: ASSIGNABLE DEBT
401095 - TAX OR DEBT: CANNOT GENERALLY BE ASSIGNED TAX
401096 - TAX OR DEBT: MAY BE PAID IN KIND DEBT
401097 - TAX OR DEBT: GENERALLY PAYABLE IN MONEY TAX
401098 - TAX OR DEBT: IMPRISONMENT IS NOT A SANCTION
DEBT
FOR NON-PAYMENT
401099 - TAX OR DEBT: IMPRISONMENT IS A SANCTION
TAX
(EXCEPT POLL TAX)
 401100 - MEANS TAXING TWICE THE SAME OBJECT BY THE
SAME TAXING AUTHORITY AND JURISDICTION FOR THE
DIRECT DOUBLE TAXATION
SAME PURPOSE AND PERIOD (NOT UNCONSTITUTIONAL BUT
BEING DISCOURAGED).
401101 - IS DOUBLE TAXATION OTHER THAN DIRECT
DUPLICATE (E.G., INCOME TAX ON CORPORATIONS AND INDIRECT DOUBLE TAXATION
DIVIDEND TAX ON SHAREHOLDERS).
401102 - IS THE USE OF ILLEGAL OR FRAUDULENT MEANS TO
TAX EXASION OR TAX DODGING
DEFEAT OR LESSEN PAYMENT OF TAX.
401103 - IS THE USE OF LEGAL OR PERMISSIBLE MEANS TO
TAX AVOIDANCE OR TAX MINIMIZATION
REDUCE TAX LIABILITY.
401104 - IS THE TRANSFER OF BURDEN OF TAX BY THE
ORIGINAL PAYOR OR THE ONE ON WHOM THE TAX WAS
ASSESSED OR IMPOSED TO ANOTHER OR SOMEONE ELSE. SHIFTING
IT IS POSSIBLE ONLY WHEN THERE IS AN EXCHANGE OF
COMMODITIES.
401105 - IS THE REDUCTION IN THE PRICE OF THE TAXED
OBJECT EQUAL TO THE CAPITALIZED VALUE OF FUTURE
CAPITALIZATION
TAXES WHICH THE PURCHASER EXPECTS TO BE CALLED
UPON TO PAY.
GR: LIBERALLY IN FAVOR OF THE TAXPAYER AND STRICTLY
401106 - RULES ON THE INTERPRETATION OF TAX LAWS AGAINST THE GOVERNMENT.
XPN: IN CASES OF EXEMPTIONS AND DEDUCTIONS.
1. THE CONSTITUTION
2. STATUTORY ENACTMENTS
401107 - SOURCES OF TAX LAWS (4 ITEMS)
3. ADMINISTRATIVE RULINGS AND REGULATIONS
4. JUDICIAL DECISIONS
401108 - THE PROVISIONS OF THE _________ DEALING ON
TAXATION MERELY REGULATE THE EXERCISE OF THE
POWER OF TAXATION. THEY ARE NOT ACTUALLY GRANTS OF CONSTITUTION; CONSTITUTIONAL
POWER, BECAUSE TAXATION CAN BE EXERCISED BY THE
GOVERNMENT EVEN WITHOUT A __________ GRANT.
401109 - REFER TO THE TAX LAWS PASSED BY THE
STATUTORY ENACTMENTS
CONGRESS.
401110 - ARE LESS GENERAL INTERPRETATION OF TAX LAWS
WHICH ARE ISSUED FROM TIME TO TIME BY THE ADMINISTRATIVE RULINGS
COMMISSIONER OF INTERNAL REVENUE.
401111 - ARE INTENDED TO CLARIFY OR EXPLAIN THE LAW
AND CARRY INTO EFFECT ITS GENERAL PROVISIONS BY
REGULATIONS
PROVIDING THE DETAILS OF ADMINISTRATION AND
PROCEDURE.
401112 - REFERS TO DECISIONS OF THE COURT OF TAX
APPEALS AND THE SUPREME COURT APPLYING OR JUDICIAL DECISIONS
INTERPRETING TAX LAWS.
GR: NO SET-OFF OR COMPENSATION IS ADMISSIBLE
AGAINST DEMANDS FOR TAXES LEVIED FOR GENERAL OR
LOCAL PURPOSES.
401113 - RULES ON SET-OFF OF TAXES XPN: WHERE BOTH THE CLAIMS OF THE GOVERNMENT AND
THE TAXPAYER AGAINST EACH OTHER HAVE ALREADY
BECOME DUE AND DEMANDABLE AS WELL AS FULLY
LIQUIDATED.
401114 - IS A SYSTEM WHICH ITEMIZES THE DIFFERENT
INCOMES AND PROVIDES FOR VARIED PERCENTAGES OF SCHEDULAR SYSTEM
TAXES TO BE APPLIED THERETO.
401115 - IS AN INCOME TAX SYSTEM THAT AGGREGATE
INCOME FROM ALL SOURCES AT THE INDIVIDUAL OR
GLOBAL SYSTEM
CORPORATE LEVEL. THE INCOME IS THEN TAXED AT A
SINGLE RATE.
401116 - MEANS PLACE OF TAXATION OR THE TAXING BODY
WHICH HAS JURISDICTION OR WHICH EXERCISES DOMINION SITUS OF TAXATION
OVER THE SUBJECT IN QUESTION.
401117 - ASSERTS THAT INCOME OR INTANGIBLE PERSONAL
PROPERTIES MAY BE SUBJECT TO TAXATION IN SEVERAL MULTIPLICITY OF SITUS
TAXING JURISDICTIONS.
 1. PROVISION OF EXEMPTIONS
401118 - REMEDIES AGAINST MULTIPLICITY OF SITUS (3 2. ALLOWANCE OF DEDUCTION OR TAX CREDIT FOR
ITEMS) FOREIGN TAXES
3. TREATIES WITH OTHER STATES
401119 - SITUS OF TAXATION: POLL TAX ON PERSONS RESIDENCE OF THE PERSON
401120 - SITUS OF TAXATION: REAL PROPERTY TAX LOCATION OF PROPERTY
401121 - SITUS OF TAXATION: TAX ON TANGIBLE PERSONAL
LOCATION OF PROPERTY
PROPERTY
401122 - SITUS OF TAXATION: TAX ON INTANGIBLE
DOMICILE OF THE OWNER
PERSONAL PROPERTY
WHERE THE TAXPAYER IS A CITIZEN OR RESIDENT, OR THE
401123 - SITUS OF TAXATION: INCOME TAX
PLACE WHERE THE INCOME IS EARNED.
PLACE WHERE THE BUSINESS IS DONE, OR THE
401124 - SITUS OF TAXATION: BUSINESS, OCCUPATION AND
OCCUPATION IS ENGAGED IN, OR THE TRANSACTION TOOK
TRANSACTION TAX
PLACE
401125 - SITUS OF TAXATION: GRATUITOUS TRANSFER OF RESIDENCE OR CITIZENSHIP OF THE TAXPAYER, OR WHRE
PROPERTY THE PROPERTY IS LOCATED
401126 - IS THE PLACE WHERE A PERSON IS EXPECTED TO
RESIDENCE
LIVE IN FOR A TEMPORARY PERIOD.
401127 - IS THE PLACE WHERE A PERSON IS PLANNING TO
DOMICILE
LIVE IN FOR AN INDEFINITE PERIOD.
401128 - FOR NATIONAL TAXES, ALL REVENUE OR TARIFF
BILLS SHALL ORIGINATE IN THE __________, BUT THE
HOUSE OF REPRESENTATIVES; SENATE
__________ MAY PROPOSE OR CONCUR WITH
AMMENDMENTS.
401129 - FOR LOCAL TAXES, LOCAL GOVERNMENT UNITS
MAY ENACT LOCAL TAX MEASURES THRU PASSAGE OF A TAX ORDINANCE
__________.
401130 - AN ACTION BROUGHT BY AN INDIVIDUAL WHOSE
INCOME IS SUBJECTED TO CHARGES IMPOSED BY THE
STATE FOR THE BENEFIT OF THAT INDIVIDUAL AND OTHERS TAPAYER'S SUIT
IN ORDER TO PREVENT THE UNLAWFUL DIVERSION OF
PUBLIC FUNDS.
401131 - STATES THAT A CLAIM FOR REFUND WHICH IS
PREVENTED BY PRESCRIPTION MAY BE ALLOWED TO BE
USED AS PAYMENT FOR UNSETTLED LIABILITIES IF BOTH EQUITABLE RECOUPMENT
TAXES ARISE FROM THE SAME TRANSACTION IN WHICH
OVERPAYMENT IS MADE AND UNDERPAYMENT IS DUE.
 TAX 02 - INCOME TAX OF INDIVIDUALS, ESTATES AND TRUSTS (402001 - 402045)
1. RESIDENT CITIZENS
2. NON-RESIDENT CITIZENS
3. RESIDENT ALIENS
402001 - CLASSIFICATION OF INDIVIDUALS (5 ITEMS) 4. NON-RESIDENT ALIENS ENGAGED IN TRADE OR BUSINESS
IN THE PHILS.
5. NON-RESIDENT ALIENS NOT ENGAGED IN TRADE OR
BUSINESS IN THE PHILS.
CITIZENS ARE:
1. THOSE WHO ARE CITIZENS OF THE PHILIPPINES AT THE
TIME OF THE ADOPTION OF THE CONSTITUTION (FEB. 2,
1987)
2. THOSE WHOSE FATHERS OR MOTHERS ARE CITIZENS OF
402002 - QUALIFICATIONS FOR AN INDIVIDUAL TO BE
THE PHILIPPINES;
CONSIDERED A CITIZEN OF THE PHILIPPINES (4 ITEMS)
3. THOSE BORN BEFORE JAN. 17, 1973 OF FILIPINO MOTHERS
WHO ELECT PHILIPPINE CITIZENSHIP UPON REACHING THE
AGE OF MAJORITY;
4. THOSE WHO ARE NATURALIZED IN ACCORDANCE WITH
LAW.
402003 - IS A CITIZEN OF THE PHILLIPINES RESIDING
RESIDENT CITIZEN
THEREIN.
1. A CITIZEN OF THE PHILIPPINES WHO ESTABLISHES TO THE
SATISFACTION OF THE COMMISSIONER THE FACT OF HIS
PHYSICAL PRESENCE ABROAD WITH A DEFINITE INTENTION
TO RESIDE THEREIN;
2/ A CITIZEN OF THE PHILIPPINES WHO LEAVES THE
PHILIPPINES DURING THE TAXABLE YEAR TO RESIDE
ABROAD, EITHER AS AN IMMIGRANT OR FOR EMPLOYMENT
ON A PERMANENT BASIS;
3. A CITIZEN OF THE PHILIPPINES WHO WORKS AND DERIVES
INCOME FROM ABROAD AND WHOSE EMPLOYMENT
THEREAT REQUIRES HIM TO BE PHYSICALLY PRESENT
ABROAD MOST OF THE TIME DURING THE TAXABLE YEAR;
402004 - QUALIFICATIONS FOR AN INDIVIDUAL TO BE
4. A CITIZEN WHO HAS BEEN PREVIOUSLY CONSIDERED AS
CONSIDERED A NON-RESIDENT CITIZEN (5 ITEMS)
NON-RESIDENT CITIZEN AND WHO ARRIVES AT ANY TIME
DURING THE TAXABLE YEAR TO RESIDE PERMANENTLY IN
THE PHILIPPINES SHALL LIKEWISE BE TREATED AS A NON-
RESIDENT CITIZEN FOR THE TAXABLE YEAR IN WHICH HE
ARRIVES IN THE PHILIPPINES WITH RESPECT TO HIS INCOME
DERIVED FROM SOURCES ABROAD UNTIL THE DATE OF HIS
ARRIVAL IN THE PHILIPPINES;
5. THE TAXPAYER SHALL SUBMIT PROOF TO THE
COMMISSIONER TO SHOW HIS INTENTION OF LEAVING THE
PHILIPPINES TO RESIDE PERMANENTLY ABROAD OR TO
RETURN TO AN RESIDE IN THE PHILIPPINES AS THE CASE
MAY BE.
402005 - MEANING OF THE PHRASE "MOST OF THE TIME"
WITH REGARD TO THE PHYSICAL PRESENCE ABROAD OF 183 DAYS IN AGGREGATE DURING THE TAXABLE YEAR
NON-RESIDENT CITIZENS
402006 - ARE INDIVIDUALS WHO ARE NOT FILIPINOS. ALIENS
402007 - IS AN INDIVIDUAL WHOSE RESIDENCE IS WITHIN THE
RESIDENT ALIEN
PHILIPPINES AND WHO IS NOT A CITIZEN THEREOF.
402008 - IS AN INDIVIDUAL WHO COMES TO THE PHILIPPINES
FOR A DEFINITE PURPOSE WHICH IN ITS NATURE WOULD
REQUIRE AN EXTENDED STAY AND TO THAT END MAKES HIS
RESIDENT ALIEN
HOME TEMPORARILY IN THE PHILIPPINES, ALTHOUGH IT MAY
BE HIS INTENTION AT ALL TIME TO RETURN TO HIS DOMICILE
ABROAD.
402009 - IS AN INDIVIDUAL WHOSE RESIDENCE IS NOT
WITHIN THE PHILIPPINES AND WHO IS NOT A CITIZEN NON-RESIDENT ALIEN
THEREON.
402010 - IS AN INDIVIDUAL WHO COMES TO THE PHILIPPINES
FOR A DEFINITE PURPOSE WHICH IN ITS NATURE MAY BE NON-RESIDENT ALIEN
PROMPTLY ACCOMPLISHED.
402011 - IS A NON-RESIDENT ALIEN INDIVIDUAL WHO COMES
TO THE PHILIPPINES AND STAYS THEREIN FOR AN NON-RESIDENT ALIEN ENGAGED IN TRADE OR BUSINESS IN
AGGREGATE PERIOD OF MORE THAN 180 DAYS DURING ANY THE PHILIPPINES
CALENDAR YEAR.
402012 - MEANS THE PERTINENT ITEMS OF GROSS INCOME
SPECIFIED IN THE TAX CODE, LESS DEDUCTIONS IF ANY,
TAXABLE INCOME
AUTHORIZED FOR SUCH TYPES OF INCOME BY THE TAX
CODE OR OTHER SPECIAL LAWS.
TAXABLE INCOME WITHIN AND WITHOUT (OUTSIDE) THE
402013 - INCOME TAX BASE OF RESIDENT CITIZENS
PHILIPPINES
402014 - INCOME TAX BASE OF NON-RESIDENT CITIZENS TAXABLE INCOME WITHIN THE PHILIPPINES
402015 - INCOME TAX BASE OF RESIDENT ALIENS TAXABLE INCOME WITHIN THE PHILIPPINES
402016 - INCOME TAX BASE OF NON-RESIDENT ALIENS
TAXABLE INCOME WITHIN THE PHILIPPINES
ENGAGED IN TRADE OR BUSINESS WITHIN THE PHILIPPINES
402017 - INCOME TAX BASE OF NON-RESIDENT ALIENS NOT
TAXABLE INCOME WITHIN THE PHILIPPINES
ENGAGED IN TRADE OR BUSINESS IN THE PHILIPPINES
HUSBAND OR WIFE TAXABLE INCOME DIRECTLY
402018 - COMPUTATION OF THE TAXABLE INCOME OF ATTRIBUTABLE TO HIM OR HER + (INCOME OF MARRIED
MARRIED INDIVIDUALS INDIVIDUALS NOT DEFINITELY ATTRIBUTABLE TO ANY OF
THE SPOUSES / 2) = HUSBAND OR WIFE TAXABLE INCOME
402019 - REFERS TO A WORKER IN THE PRIVATE SECTOR
PAID THE STATUTORY MINIMUM WAGE OR TO AN EMPLOYEE
IN THE PUBLIC SECTOR WITH COMPENSATION INCOME OF
MINIMUM WAGE EARNER (MWE)
NOT MORE THAN THE STATUTORY MINIMUM WAGE IN THE
NON-AGRICULTURAL SECTOR WHERE HE/OR SHE IS
ASSIGNED.
402020 - PART OF TAXABLE INCOME OR EXEMPT: INCOME OF
EXEMPT
MINIMUM WAGE EARNERS
402021 - PART OF TAXABLE INCOME OR EXEMPT: HOLIDAY
PAY, OVERTIME PAY, NIGHT SHIFT DIFFERENTIAL PAY AND EXEMPT
HAZARD PAY RECEIVED BY MINIMUM WAGE EARNERS
402022 - TAX RATE APPLICABLE TO INDIVIDUALS EARNING
GRADUATED INCOME TAX RATES
PURELY COMPENSATION INCOME (EXCLUDING NRA-NETB)
AT THE OPTION OF THE TAXPAYER IF HE MEETS SPECIFIC
CRITERION STATED BELOW:
1. GRADUATED INCOME TAX RATES (DEFAULT IF TAXPAYER
DID NOT ELECT HIS CHOICE)
402023 - TAX RATE APPLICABLE TO SELF-EMPLOYED
2. IF TOTAL GROSS SALES/RECEIPTS AND OTHER NON-
INDIVIDUALS AND/OR PROFESSIONALS (EXCLUDING NRA-
OPERATING INCOME DO NOT EXCEED THE VAT THRESHOLD,
NETB) (2 ITEMS)
8 PERCENT TAX ON GROSS SALES OR GROSS RECEIPTS
AND OTHER NON-OPERATING INCOME IN EXCESS OF P250,
000 IN LIEU OF GRADUATED INCOME TAX RATES AND OTHER
PERCENTAGE TAXES
402024 - TAX RATE APPLICABLE TO MIXED INCOME EARNERS
WITH RESPECT TO ALL INCOME FROM COMPENSATION GRADUATED INCOME TAX RATES
(EXCLUDING NRA-NETB)
AT THE OPTION OF THE TAXPAYER IF HE MEETS SPECIFIC
CRITERION STATED BELOW:
1. GRADUATED INCOME TAX RATES (DEFAULT IF TAXPAYER
DID NOT ELECT HIS CHOICE)
2. IF TOTAL GROSS SALES/RECEIPTS AND OTHER NON-
OPERATING INCOME DO NOT EXCEED THE VAT THRESHOLD,
8 PERCENT TAX ON GROSS SALES OR GROSS RECEIPTS
402025 - TAX RATE APPLICABLE TO MIXED INCOME EARNERS
AND OTHER NON-OPERATING INCOME IN LIEU OF
WITH RESPECT TO ALL INCOME FROM BUSINESS OR
GRADUATED INCOME TAX RATES AND OTHER PERCENTAGE
PRACTICE OF PROFESSION (EXCLUDING NRA-NETB)
TAXES
(PLEASE BE NOTED THAT THE 250,000 EXEMPTED PORTION
HAS ALREADY BEEN CONSIDERED TO THE COMPENSATION
INCOME OF THE TAXPAYER WHEN THE GRADUATED INCOME
TAX RATES WERE USED. THEREFORE, THE 250,000
EXEMPTED PORTION IS NO LONGER APPLICABLE FOR THE
INCOME FROM BUSINESS OR PRACTICE OF PROFESSION.)
 1. VAT-REGISTERED TAXPAYERS REGARDLESS OF GROSS
SALES/RECEIPTS;
2. TAXPAYERS WHO ARE SUBJECT TO OTHER PERCENTAGE
TAXES UNDER TITLE V OF THE TAX CODE, AS AMENDED,
402026 - INDIVIDUALS WHO MAY NOT AVAIL OF THE 8
EXCEPT THOSE SUBJECT UNDER SECTION 116 OF THE SAME
PERCENT INCOME TAX RATE OPTION (3 ITEMS)
TITLE;
3. PARTNERS OF A GENERAL PROFESSIONAL PARTNERSHIP
(GPP) BY VIRTUE OF THEIR DISTRIBUTIVE SHARE FROM GPP
WHICH IS ALREADY NET OF COST AND EXPENSES.
402027 - COMPUTATION OF INCOME TAX DUE OF NON-
GROSS INCOME DERIVED FROM ALL SOURCES WITHIN THE
RESIDENT ALIENS NOT ENGAGED IN TRADE OR BUSINESS IN
PHILIPPINES * 25 PERCENT = INCOME TAX DUE OF NRA-NETB
THE PHILIPPINES
1. ITEMIZED DEDUCTIONS (DEFAULT UNLESS THE TAXPAYER
402028 - ALLOWABLE DEDUCTION SCHEMES FOR INCOME
SIGNIFIES HIS INTENTION TO ELECT OSD)
TAX PURPOSES (2 ITEMS)
2. OPTIONAL STANDARD DEDUCTION (OSD)
402029 - IN __________, ALL EXPENSES ARE TRACKED TO
GET THE NET EXPENSE WHICH WILL THEN BE DEDUCTED TO
ITEMIZED DEDUCTIONS
A TAXPAYER'S GROSS INCOME TO GET HIS/HER TAXABLE
INCOME.
402030 - IN LIEU OF ITEMIZED DEDUCTIONS, ALL
INDIVIDUALS, SUBJECT TO TAX UNDER SECTION 24, OTHER
THAN NRA, MAY ELECT THE __________, IN AN AMOUNT NOT OPTIONAL STANDARD DEDUCTION (OSD)
EXCEEDING 40 PERCENT OF HIS/HER GROSS
SALES/RECEIPTS, AS THE CASE MAY BE.
402031 - AN INDIVIDUAL WHO IS ENTITLED TO AND CLAIMED
FOR THE OSD SHALL NOT BE REQUIRED TO SUBMIT WITH
HIS TAX RETURN SUCH __________ OTHERWISE REQUIRED FINANCIAL STATEMENTS; GROSS SALES/RECEIPTS
UNDER THE TAX CODE. THE SAID INDIVIDUAL SHALL ONLY
KEEP SUCH RECORDS PERTAINING TO HIS __________.
402032 - REFERS TO THE MASS OF ALL PROPERTY, RIGHTS
AND OBLIGATIONS OF A PERSON WHICH ARE NOT ESTATE
EXTINGUISHED BY HIS DEATH.
402033 - IS A RIGHT ON PROPERTY, REAL OR PERSONAL,
TRUST
HELD BY ONE PARTY FOR THE BENEFIT OF ANOTHER.
1. IF UNDER THE TERMS OF THE TRUST, THE TITLE TO ANY
PART OF THE CORPUS/PRINCIPAL OF THE TRUST MAY BE
REVESTED TO THE GRANTOR (REVOCABLE), THE INCOME OF
THE PART OF THE CORPUS/PRINCIPAL SHALL BE TAXABLE
402034 - CASES WHEN THE INCOME OF THE TRUST IS TO THE GRANTOR.
TAXABLE TO THE GRANTOR (2 ITEMS) 2. IF UNDER THE TERMS OF THE TRUST, THE INCOME OF THE
TRUS SHALL BE APPLIED FOR THE BENEFIT OF THE
GRANTOR, THE INCOME THAT SHALL BE APPLIED FOR THE
BENEFIT OF THE GRANTOR SHALL BE TAXABLE TO THE
GRANTOR.
1. IT IS A SPECIAL ITEM OF DEDUCTION FOR THE
402035 - TREATMENT OF INCOME DISTRIBUTION OF THE
ESTATE/TRUST;
YEAR'S INCOME TO HEIR (IN ESTATES) OR BENEFICIARY (IN
2. IT IS ALSO A SPECIAL ITEM OF INCOME TO THE
TRUSTS)
HEIR/BENEFICIARY.
GROSS INCOME - DEDUCTIONS "BUSINESS EXPENSES AND
402036 - COMPUTATION OF THE TAXABLE INCOME OF THE
DISTRIBUTION OF THE YEAR'S INCOME TO THE HEIR OR
ESTATE OR TRUST
BENEFICIARY" = TAXABLE INCOME
402037 - IS THE FORM IN WHICH A TAXPAYER FILES
INFORMATION ABOUT HIS/HER INCOME AND TAX THEREON INCOME TAX RETURN (ITR)
TO THE BUREAU OF INTERNAL REVENUE (BIR).
A SEPARATE RETURN WILL HAVE TO BE FILED FOR EACH
402038 - ITR FILING REQUIREMENT FOR SEVERAL TRUSTS
TRUST BY THE RESPECTIVE TRUSTEE OR FIDUCIARY WHICH
WITH A COMMON GRANTOR AND COMMON BENEFICIARY
WILL THEN BE CONSOLIDATED IN THE BIR.
402039 - COMPUTATION OF THE APPORTIONMENT OF
APPORTIONED INCOME TAX TO THE TRUST = (TAXABLE
CONSOLIDATED INCOME TAX TO DIFFERENT TRUSTS WHEN
INCOME OF THE TRUST / TAXABLE INCOME OF ALL TRUSTS) /
THERE ARE SEVERAL TRUSTS WITH A COMMON GRANTOR
CONSOLIDATED INCOME TAX
AND A COMMON BENEFICIARY
402040 - COMPUTATION OF THE INCOME TAX STILL DUE OF A INCOME TAX APPORTIONED TO THE TRUST - INCOME TAX
TRUST WHEN THERE ARE SEVERAL TRUSTS WITH A ALREADY PAID BY THE FIDUCIARY OF THE TRUST = INCOME
COMMON GRANTOR AND A COMMON BENEFICIARY TAX STILL DUE
402041 - INDIVIDUALS REQUIRED TO FILE ITR ALL INDIVIDUALS EXCEP NRA-NETB
 HE/SHE IS RECEIVING PURELY COMPENSATION INCOME,
REGARDLESS OF AMOUNT, FROM ONLY ONE EMPLOYER IN
402042 - INDIVIDUAL TAXPAYERS SHALL NOT BE REQUIRED
THE PHILIPPINES FOR THE CALENDAR YEAR, THE INCOME
TO FILE AN ANNUAL ITR IF
TAX OF WHICH HAS BEEN WITHHELD CORRECTLY BY THE
SAID EMPLOYER (TAX DUE EQUALS TAX WITHHELD).
EXCEPT IN CASES WHERE THE COMMISSIONER OTHERWISE
PERMITS, THE RETURN SHALL BE FILED WITH:
1. AN AUTHORIZED AGENT BANK,
2. REVENUE DISTRICT OFFICER,
3. COLLECTION AGENT OR DULY AUTHORIZED TREASURER
402043 - OFFICES WHERE ITR IS FILED (4 ITEMS) OF THE CITY OR MUNICIPALITY IN WHICH SUCH PERSON HAS
A LEGAL RESIDENCE OR PRINCIPAL PLACE OF BUSINESS IN
THE PHILIPPINES, OR
4. IF THERE BE NO LEGAL RESIDENCE OR PLACE OF
BUSINESS IN THE PHILIPPINES, WITH THE OFFICE OF THE
COMMISSIONER.
1. FIRST QUARTER - MAY 15 OF THE CURRENT YEAR
2. SECOND QUARTER - AUGUST 15 OF THE CURRENT YEAR
402044 - DATE OF FILING OF ITR (4 ITEMS) 3. THIRD QUARTER - NOVEMBER 15 OF THE CURRENT YEAR
4. FINAL ADJUSTED RETURN - APRIL 15 OF THE SUCCEEDING
YEAR
402045 - TIME WHEN INCOME TAX IS PAID THE INCOME TAX IS PAID AS THE RETURN IS FILED
402046 - MEANS ALL INCOME DERIVED FROM WHATEVER
GROSS INCOME
SOURCE.
402047 - AS REGARDS TO INCOME TAXATION, TREATMENT
FOR COMPENSATION FOR PERSONAL SERVICES RENDERED ACTUAL AMOUNT PAID IS TAXABLE.
PAID IN CASH
402048 - AS REGARDS TO INCOME TAXATION, TREATMENT
COMPENSATION INCOME IS THE FAIR MARKET VALUE OF
FOR COMPENSATION FOR PERSONAL SERVICES RENDERED
THE PROPERTY RECEIVED.
PAID IN KIND
402049 - AS REGARDS TO INCOME TAXATION, TREATMENT
FOR COMPENSATION FOR PERSONAL SERVICES RENDERED TAXABLE
PAID IN THE FORM OF TIPS AND GRATUITIES
IF THE NOTE CAN BE DISCOUNTED, THE FAIR MARKET VALUE
402050 - AS REGARDS TO INCOME TAXATION, TREATMENT
OF THE NOTE UPON RECEIPT IS THE FAIR DICOUNTED
FOR COMPENSATION PAID IN PROMISSORY NOTE
VALUE.
IF THEY ARE:
402051 - AS REGARDS TO INCOME TAXATION,
1. ORDINARY AND NECESSARY EXPENSES OF THE
TRANSPORTATION, REPRESENTATION AND OTHER
EMPLOYER;
ALLOWANCES RECEIVED BY OFFICIALS OR EMPLOYEES ARE
2. PAID OR INCURRED IN THE PURSUIT OF TRADE, BUSINESS
TAXABLE AS COMPENSATION INCOME. EXCEPTIONS TO THIS
OR PROFESSION; AND/OR
RULE (3 ITEMS)
3. THE EMPLOYEE IS REQUIRED TO ACCOUNT/LIQUIDATE.
402052 - AS REGARDS TO INCOME TAXATION, TREATMENT
FOR EXCESS ADVANCES OVER THE ACTUAL EXPENSES
TAXABLE INCOME IF SUCH AMOUNT IS NOT RETURNED TO
INCURRED FOR TRANSPORTATION, REPRESENTATION AND
THE EMPLOYER.
OTHER ALLOWANCES RECEIVED BY OFFICIALS OR
EMPLOYEES
402053 - AS REGARDS TO INCOME TAXATION, TREATMENT TAXABLE EXCEPT MONETIZED VALUE OF UNUTILIZED
FOR VACATION AND SICK LEAVE ALLOWANCES VACATION LEAVE CREDITS NOT EXCEEDING 10 DAYS.
402054 - AS REGARDS TO INCOME TAXATION, TREATMENT
FOR CONDONATION OF DEBT IF DEBTOR RENDERED TAXABLE INCOME TO THE DEBTOR.
SERVICES TO THE CREDITOR
402055 - AS REGARDS TO INCOME TAXATION, TREATMENT
FOR CONDONATION OF DEBT IF NO SERVICES WERE TAXABLE TO THE CREDITOR AS GIFT GIVEN TO THE DEBTOR.
RENDERED BY THE DEBTOR TO THE CREDITOR
402056 - AS REGARDS TO INCOME TAXATION, TREATMENT
FOR CONDONATION OF DEBT WHEN THE CREDITOR IS A IT HAS THE EFFECT OF A PAYMENT OF DIVIDEND.
CORPORATION WHILE THE DEBTOR IS A STOCKHOLDER
402057 - AS REGARDS TO INCOME TAXATION, TREATMENT
AMOUNT CONDONED IS CONSIDERED AS AN ADDITIONAL
FOR CONDONATION OF DEBT WHEN THE CREDITOR IS A
INVESTMENT.
STOCKHOLDER WHILE THE DEBTOR IS THE CORPORATION
 APPLICATION OF THE TAX BENEFIT RULE:
402058 - AS REGARDS TO INCOME TAXATION, TREATMENT 1. TAXABLE - IF DEDUCTION OF BAD DEBT HAS REDUCED
FOR RECOVERY OF BAD DEBT PREVIOUSLY DEDUCTED (2 THE TAX LIABILITY OF TAXPAYER.
SCENARIOS) 2. NOT TAXABLE - IF THERE WAS NO REDUCTION IN THE TAX
LIABILITY OF TAXPAYER.
402059 - AS REGARDS TO INCOME TAXATION, TREATMENT SUBJECT TO 10 PERCENT FINAL WITHHOLDING TAX OF
FOR TAX INFORMER'S REWARD REWARDS RECEIVED.
402060 - DETERMINATION OF THE AMOUNT TO BE PAID TO 10 PERCENT OF AMOUNT COLLECTED BY THE GOVERNMENT
INFORMER AS TAX INFORMER'S REWARD NOT EXCEEDING P1,000,000.00.
402061 - AS REGARDS TO INCOME TAXATION, TREATMENT TAXABLE INCOME TO THE LESSOR BUT DEDUCTIBLE
FOR RENT FOR THE USE OF PROPERTY EXPENSE TO THE LESSEE.
402062 - AS REGARDS TO INCOME TAXATION, TREATMENT
CONSTITUTES ADDITIONAL RENT AND TAXABLE INCOME TO
FOR TAXES ASSUMED BY LESSEE ON BEHALF OF THE
THE LESSOR.
LESSOR
402063 - METHODS IN WHICH INCOME MAY BE REPORTED BY
1. OUTRIGHT METHOD
THE LESSOR IF LEASEHOLD IMPROVEMENTS ON LEASED
2. SPREAD OUT METHOD
PREMISES WILL GO TO HIM UPON TERMINATION (2 ITEMS)
402064 - IS A METHOD OF RECOGNIZING INCOME BY THE
LESSOR, FROM LEASEHOLD IMPROVEMENTS TO BE
TRANSFERRED TO HIM UPON THE TERMINATION OF THE
OUTRIGHT METHOD
CONTRACT, WHEREIN THE FAIR MARKET VALUE OF THE
IMPROVEMENTS IN THE YEAR OF COMPLETION IS REPORTED
AS INCOME.
402065 - IS A METHOD OF RECOGNIZING INCOME BY THE
LESSOR, FROM LEASEHOLD IMPROVEMENTS TO BE
TRASFERRED TO HIM UPON THE TERMINATION OF THE
CONTRACT, WHEREIN THE BOOK VALUE OF THE SPREAD OUT METHOD
IMPROVEMENTS AT THE TERMINATION OF THE LEASE
CONTRACT IS SPREAD OVER THE REMAINING TERM OF THE
LEASE.
THE LESSEE MAY CLAIM DEPRECIATION OF IMPROVEMENTS
402066 - AS REGARDS TO INCOME TAXATION, TREATMENT
OVER THE REMAINING TERM OF THE LEASE OR THE LIFE OF
FOR DEPRECIATION ON THE LEASEHOLD IMPROVEMENTS
THE IMPROVEMENTS, WHICHEVER IS SHORTER.
402067 - AS REGARDS TO INCOME TAXATION, TREATMENT THE INCOME TO BE REPORTED BY THE LESSOR SHALL BE
FOR PREMATURE TERMINATION OF THE LEASE WHEN THERE COMPUTED BY SUBTRACTING THE AMOUNTS ALREADY
ARE LEASEHOLD IMPROVEMENTS TO BE TRANSFERRED TO REPORTED AS INCOME BY THE LESSOR FROM THE BOOK
THE LESSOR VALUE UPON TERMINATION.
402068 - AS REGARDS TO INCOME TAXATION, TREATMENT
GR: EXCLUSION FROM GROSS INCOME
FOR PROCEEDS OF LIFE INSURANCE PAYABLE UPON THE
XPN: TAXABLE IF THE INSURED OUTLIVES THE POLICY.
DEATH OF THE INSURED
402069 - AS REGARDS TO INCOME TAXATION, TREATMENT
FOR RETURN OF PREMIUMS EITHER DURING THE TERM, AT
EXCLUSION FROM GROSS INCOME
THE MATURITY OR UPON SURRENDER OF THE INSURANCE
CONTRACT
402070 - AS REGARDS TO INCOME TAXATION, TREATMENT
FOR THE VALUE OF PROPERTY ACQUIRED BY GIFT, EXCLUSION FROM GROSS INCOME
BEQUEST, DEVISE OR DESCENT
402071 - AS REGARDS TO INCOME TAXATION, TREATMENT
FOR COMPENSATION FOR PERSONAL INJURIES OR EXCLUSION FROM GROSS INCOME
SICKNESS RECEIVED FROM INSURANCE PLUS DAMAGES
402072 - AS REGARDS TO INCOME TAXATION, TREATMENT
FOR INCOME OF ANY KIND WHICH ARE CONTAINED IN A EXCLUSION FROM GROSS INCOME
TREATY BINDING UPON THE PHILIPPINE GOVERNMENT
1. THE EMPLOYER MUST MAINTAIN A PRIVATE PENSION PLAN
WHICH IS APPROVED BY THE BIR;
2. THE EMPLOYEE HAS BEEN IN THE SERVICE OF THE SAME
402073 - REQUISITES FOR RETIREMENT BENEFITS TO BE
EMPLOYER FOR AT LEAST 10 YEARS;
CONSIDERED AS EXCLUSIONS FROM GROSS INCOME (4
3. THE RETIRING EMPLOYEE MUST NOT BE LESS THAN 50
ITEMS)
YEARS OLD UPON RETIREMENT; AND
4. THE BENEFIT OF EXEMPTION CAN BE AVAILED OF ONLY
ONCE.
THE SEPARATION OF EMPLOYEE FROM SERVICE MUST BE
402074 - REQUISITES FOR SEPARATION PAY TO BE
DUE TO DEATH, SICKNESS, PHYSICAL DISABILITY OR ANY
CONSIDERED AS EXCLUSION FROM GROSS INCOME
CAUSE BEYOND THE CONTROL OF THE EMPLOYEE.
 402075 - REQUISITES FOR PRIZES AND AWARDS GIVEN TO
RELIGIOUS, CHARITABL, SCIENTIFIC, EDUCATIONAL, 1. THE RECIPIENT DID NOT JOIN THE CONTEST; AND
ARTISTIC, LITERARY OR CIVIC ACHIEVEMENT TO BE 2. HE IS NOT REQUIRED TO RENDER SUBSTANTIAL FUTURE
CONSIDERED AS EXCLUSIONS FROM GROSS INCOME (2 SERVICES.
ITEMS)
402076 - AS REGARDS TO INCOME TAXATION, TREATMENT
FOR BENEFITS RECEIVED BY PERSONS RESIDING IN THE
EXCLUSION FROM GROSS INCOME
PHILIPPINES UNDER U.S. LAWS ADMINISTERED BY U.S.
VETERANS ADMINISTRATION
402077 - AS REGARDS TO INCOME TAXATION, TREATMENT
FOR BENEFITS RECEIVED FROM SSS, GSIS INCLUDING
EXCLUSION FROM GROSS INCOME
RETIREMENT GRATUITY RECEIVED BY GOVERNMENT
OFFICIALS AND EMPLOYEES
402078 - AS REGARDS TO INCOME TAXATION, TREATMENT
EXCLUSION FROM GROSS INCOME
FOR INCOME DERIVED BY FOREIGN GOVERNMENTS
402079 - AS REGARDS TO INCOME TAXATION, TREATMENT
FOR INCOME DERIVED BY THE GOVERNMENT OR ITS
EXCLUSION FROM GROSS INCOME
POLITICAL SUBDIVISIONS FROM PUBLIC UTILITY OR ANY
ESSENTIAL GOVERNMENTAL FUNCTION
THE LOCAL AND INTERNATION SPORTS COMPETITIONS HELD
IN THE PHILIPPINES OR ABROAD MUST BE:
402080 - REQUISITES FOR PRIZES AND AWARDS GRANTED
1. SANCTIONED BY THEIR NATIONAL SPORTS ASSOCIATIONS;
TO ATHLETES TO BE CONSIDERED AS EXCLUSION FROM
AND
GROSS INCOME
2. THE SPORTS ASSOCIATION MUST BE RECOGNIZED BY THE
PHILIPPINE OLYMPIC COMMITTEE (POC).
402081 - AS REGARDS TO INCOME TAXATION, TREATMENT 1. P90,000 AND BELOW - EXEMPT
FOR 13TH MONTH PAY AND OTHER BENEFITS 2. AMOUNT EXCEEDING 90,000 - TAXABLE
402082 - AS REGARDS TO INCOME TAXATION, TREATMENT 1. MANDATORY CONTRIBUTIONS - EXEMPT
FOR GSIS, SSS, MEDICARE AND PAG-IBIG AND UNION DUES 2. AMOUNTS EXCEEDING MANDATORY CONTRIBUTIONS -
OF INDIVIDUALS TAXABLE
402083 - AS REGARDS TO INCOME TAXATION, TREATMENT GR: TAXABLE
FOR GAINS FROM SALE OF BONDS, DEBENTURES AND XPN: EXEMPT IF THE MATURITY PERIOD IS MORE THAN 5
OTHER CERTIFICATE OF INDEBTEDNESS YEARS.
402084 - AS REGARDS TO INCOME TAXATION, TREATMENT
FOR GAINS REALIZED BY INVESTORS UPON REDEMPTION OF EXCLUSION FROM GROSS INCOME
SHARES IN A MUTUAL FUND COMPANY
402085 - IS AN INCOME TAX TO BE PAID TO THE
GOVERNMENT BY THE PAYOR OF THE INCOME RATHER WITHHOLDING TAX
THAN BY THE RECIPIENT OF THE INCOME.
1. INDIVIDUALS ENGAGED IN BUSINESS OR PRACTICE OF
PROFESSION;
2. NON-INDIVIDUALS (CORPORATIONS, ASSOCIATIONS,
PARTNERSHIP, ETC.) WHETHER ENGAGED IN BUSINESS OR
402086 - PERSONS REQUIRED TO WITHHOLD WITHHOLDING
NOT; AND
TAXES (3 ITEMS)
3. GOVERNMENT AGENCIES AND ITS INSTRUMENTALITIES,
GOVERNMENT-OWNED OR CONTROLLED CORPORATIONS
(GOCC), AND LOCAL GOVERNMENT UNITS INCLUDING
BARANGAYS
402087 - IS ANY PERSON OR ENTITY WHO IS IN CONTROL OF
THE PAYMENT SUBJECT TO WITHHOLDING TAX AND
WITHHOLDING AGENT
THEREFORE REQUIRED TO DEDUCT AND REMIT TAXES
WITHHELD TO THE GOVERNMENT.
402088 - TYPES OF WITHHOLDING TAXES IN THE PHILIPPINES 1. CREDITABLE WITHHOLDING TAX
(2 ITEMS) 2. FINAL WITHHOLDING TAX
1. COMPENSATION
2. EXPANDED
402089 - FORMS OF CREDITABLE WITHHOLDING TAX (4
3. WITHHOLDING TAX ON GOVERNMENT MONEY PAYMENTS
ITEMS)
(GMP) - VALUE ADDED TAXES
4. WITHHOLDING TAX ON GMP - PERCENTAGE TAXES
402090 - IS THE TAX WITHHELD FROM INCOME PAYMENTS TO
INDIVIDUALS ARISING FROM AN EMPLOYER-EMPLOYEE WITHHOLDING TAX ON COMPENSATION
RELATIONSHIP.
 402091 - IS A KIND OF WITHHOLDING TAX WHICH IS
PRESCRIBED ON CERTAIN INCOME PAYMENTS AND IS
CREDITABLE AGAINS THE INCOME TAX DUE OF THE PAYEE EXPANDED WITHHOLDING TAX
FOR THE TAXABLE QUARTER/YEAR IN WHICH THE
PARTICULAR INCOME WAS EARNED.
402092 - IS THE TAX WITHHELD BY NATIONAL GOVERNMENT
AGENCIES (NGAs) AND INSTRUMENTALITIES, INCLUDING
WITHHOLDING TAX ON GOVERNMENT MONEY PAYMENTS
GOCCs AND LGUs, BEFORE MAKING ANY PAYMENTS TO VAT
(GMP) - VALUE ADDED TAXES
REGISTERED TAXPAYERS/SUPPLIERS/PAYEES ON ACCOUNT
FOR THEIR PURCHASES OF GOODS AND SERVICES.
402093 - IS THE TAX WITHHELD BY NATIONAL GOVERNMENT
AGENCIES (NGAs) AND INSTRUMENTALITIES, INCLUDING
GOCCs AND LGUs, BEFORE MAKING ANY PAYMENTS TO NON- WITHHOLDING TAX ON GOVERNMENT MONEY PAYMENTS
VAT REGISTERED TAXPAYERS/SUPPLIERS/PAYEES ON (GMP) - PERCENTAGE TAXES
ACCOUNT FOR THEIR PURCHASES OF GOODS AND
SERVICES.
402094 - IS A KIND OF WITHHOLDING TAX WHICH IS
PRESCRIBED ON CERTAIN INCOME PAYMENTS AND IS NOT
CREDITABLE AGAINST THE INCOME TAX DUE OF THE PAYEE FINAL WITHHOLDING TAX
ON OTHER INCOME SUBJECT TO REGULAR RATES OF TAX
FOR THE TAXABLE YEAR.
402095 - IS INCOME THAT REQUIRES LITTLE TO NO EFFORT
TO EARN AND MAINTAIN (FROM SOURCES WITHIN THE PASSIVE INCOME
PHILIPPINES ONLY).
402096 - FOR INDIVIDUALS, FINAL TAX RATE ON INTEREST 20 PERCENT
INCOME FROM PHILIPPINE CURRENCY BANK DEPOSITS (FOR ALL INDIVIDUALS EXCEPT NRA-NETB)
402097 - FOR INDIVIDUALS, FINAL TAX RATE ON YIELD OR
ANY OTHER MONETARY BENEFIT FROM DEPOSIT 20 PERCENT
SUBSTITUTES AND FROM TRUST FUNDS AND SIMILAR (FOR ALL INDIVIDUALS EXCEPT NRA-NETB)
ARRANGEMENTS
GR: 20 PERCENT
XPN: ROYALTIES FROM BOOKS AND OTHER LITERARY
402098 - FOR INDIVIDUALS, FINAL TAX RATE ON ROYALTIES WORKS AND MUSICAL COMPOSITIONS SHALL BE SUBJECT
TO 10 PERCENT FINAL TAX.
(FOR ALL INDIVIDUALS EXCEPT NRA-NETB)
GR: 20 PERCENT
XPN: PRIZES AMOUNTING TO P10,000 OR LESS SHALL BE
402099 - FOR INDIVIDUALS, FINAL TAX RATE ON PRIZES
TREATED AS ORDINARY TAXABLE INCOME..
(FOR ALL INDIVIDUALS EXCEPT NRA-NETB)
GR: 20 PERCENT
XPN: WINNINGS FROM SWEEPSTAKES AND LOTTO
402100 - FOR INDIVIDUALS, FINAL TAX RATE ON WINNINGS
AMOUNTING TO P10,000 OR LESS ARE EXEMPT.
(FOR ALL INDIVIDUALS EXCEPT NRA-NETB)
GR: EXEMPT
XPN: IF PRE-TERMINATED WITHIN:
402101 - FOR INDIVIDUALS, FINAL TAX RATE ON INTEREST
4 YEARS TO LESS THAN 5 YEARS - 5 PERCENT
INCOME FROM LONG-TERM DEPOSIT OR INVESTMENT
3 YEARS TO LESS THAN 4 YEARS - 12 PERCENT
(MATURITY OF 5 YEARS OR MORE)
LESS THAN 3 YEARS - 20 PERCENT
(FOR ALL INDIVIDUALS EXCEPT NRA-NETB)
402102 - FOR INDIVIDUALS, FINAL TAX RATE ON INTEREST
RC AND RA - 15 PERCENT
INCOME RECEIVED FROM A DEPOSITARY BANK UNDER THE
NRC AND NRA - EXEMPT
FOREIGN CURRENCY DEPOSIT SYSTEM (FCDS)
402103 - FOR INDIVIDUALS, FINAL TAX RATE ON DIVIDENDS 10 PERCENT
RECEIVED FROM DOMESTIC CORPORATIONS (FOR ALL INDIVIDUALS EXCEPT NRA-NETB)
402104 - FOR INDIVIDUALS, FINAL TAX RATE ON DIVIDENDS 10 PERCENT
RECEIVED FROM JOINT STOCK COMPANIES (FOR ALL INDIVIDUALS EXCEPT NRA-NETB)
402105 - FOR INDIVIDUALS, FINAL TAX RATE ON DIVIDENDS 10 PERCENT
RECEIVED FROM INSURANCE OR MUTUAL FUND COMPANIES (FOR ALL INDIVIDUALS EXCEPT NRA-NETB)
10 PERCENT - APPLICABLE ONLY TO GENERAL CO-
402106 - FOR INDIVIDUALS, FINAL TAX RATE ON THE SHARE
PARTNERSHIPS (NOT FOR GENERAL PROFESSIONAL
OF AN INDIVIDUAL PARTNER IN THE DISTRIBUTABLE NET
PARTNERSHIPS
INCOME OF A PARTNERSHIP AFTER TAX
(FOR ALL INDIVIDUALS EXCEPT NRA-NETB)
402107 - FOR INDIVIDUALS, FINAL TAX RATE ON THE SHARE
OF AN INDIVIDUAL IN THE NET INCOME AFTER TAX OF AN
10 PERCENT
ASSOCIATION, A JOINT ACCOUNT OR A JOINT VENTURE OR
(FOR ALL INDIVIDUALS EXCEPT NRA-NETB)
CONSORTIUM OF WHICH HE IS A MEMBER OR A CO-
VENTURER
 TAX - INCOME TAX OF INDIVIDUALS, ESTATES AND TRUSTS (403001 - 403048)
1. DOMESTIC CORPORATION
403001 - CLASSIFICATION OF CORPORATIONS (3 ITEMS) 2. RESIDENT FOREIGN CORPORATION
3. NON-RESIDENT FOREIGN CORPORATION
403002 - IS A CORPORATION IN THE PHILIPPINES THAT IS
ORGANIZED, REGISTERED, AND EXISTING UNDER PHILIPPINE DOMESTIC CORPORATION
LAWS.
403003 - IS A FOREIGN CORPORATE ENTITY IS BEING
BROUGHT TO THE PHILIPPINES AND SECURED A LICENSED
RESIDENT FOREIGN CORPORATION
TO DO BUSINESS IN THE PHILIPPINES WITH THE SECURITIES
AND EXCHANGE COMMISSION IN THE PHILIPPINES.
403004 - IS A CORPORATION WHICH DOES NOT HAVE ANY
PRESENCE IN THE PHILIPPINES BUT DERIVES INCOME IN THE
PHILIPPINES SUCH AS EXTENDING FOREIGN LOANS
EARNING INTEREST INCOME, INVESTING IN SHARES OF NON-RESIDENT FOREIGN CORPORATION
STOCKS OF DOMESTIC CORPORATIONS EARNING
DIVIDENDS, OR LEASING OUT ASSETS IN THE COUNTRY FOR
A FEE.
403005 - NORMAL INCOME TAX BASE OF DOMESTIC TAXABLE INCOME WITHIN AND WITHOUT (OUTSIDE) THE
CORPORATIONS PHILIPPINES
403006 - NORMAL INCOME TAX BASE OF RESIDENT FOREIGN
TAXABLE INCOME WITHIN THE PHILIPPINES
CORPORATIONS
403007 - NORMAL INCOME TAX BASE OF NON-RESIDENT
GROSS INCOME WITHIN THE PHILIPPINES
FOREIGN CORPORATIONS
403008 - NORMAL INCOME TAX RATE FOR CORPORATIONS 30.00 PERCENT
403009 - IS A TAX IMPOSED TO CORPORATIONS WHO HAVE
BEEN ON THE 4TH YEAR OF ITS OPERATION AND HAS A NET
MINIMUM CORPORATE INCOME TAX (MCIT)
LOSS OR ZERO TAXABLE INCOME OR A NORMAL INCOME
TAX THAT IS LESSER THAN A MINIMUM INCOME TAX.
403010 - TAX RATE AND TAX BASE FOR MCIT 2 PERCENT OF GROSS INCOME
4TH TAXABLE YEAR IMMEDIATELY FOLLOWING THE YEAR
403011 - EFFECTIVITY OF MCIT
THE CORPORATION HAS COMMENCED BUSINESS.
403012 - ALLOWABLE PERIOD FOR CARRYING FORWARD OF
3 IMMEDIATELY SUCCEEDING TAXABLE YEARS
EXCESS MINIMUM CORPORATE INCOME TAX
THE EXCESS OF MCIT OVER THE NIT CAN BE CARRIED
FORWARD ONLY WITHIN THE ALLOWABLE PERIOD WHEN
403013 - LIMITATION ON CARRY OVER OF EXCESS MCIT THE NIT IS GREATER THAN THE MCIT. IT CANNOT BE
CLAIMED AS CREDIT AGAINST MCIT ITSELF OR AGAINST ANY
OTHER LOSSES.
403014 - INCOME TAX DUE FOR CORPORATIONS NIT OR MCIT, WHICHEVER IS HIGHER
403015 - ARE THOSE PRIVATE SCHOOLS MAINTAINED AND
ADMINISTERED BY PRIVATE INDIVIDUALS OR GROUPS WITH
AN ISSUED PERMIT TO OPERATE FROM THE DEPARTMENT
OF EDUCATION, CULTURE AND SPORTS (DECS), THE PROPRIETARY EDUCATIONAL INSTITUTION
COMMISSION ON HIGHER EDUCATION (CHED), OR THE
TECHNICAL EDUCATION AND SKILLS DEVELOPMENT
AUTHORITY (TESDA), AS THE CASE MAY BE.
GR: 10 PERCENT OF TAXABLE INCOME
403016 - INCOME TAX RATE AND TAX BASE FOR XPN: IF INCOME FROM UNRELATED ACTIVITIES IS MORE
PROPRIETARY EDUCATIONAL INSTITUTIONS THAN 50 PERCENT OF ENTIRE GROSS INCOME - 30 PERCENT
OF TAXABLE INCOME
403017 - IS AN AIRLINE OR OTHER TRANSPORTATION
COMPANY THAT MOVES PASSENGERS BETWEEN INTERNATIONAL CARRIER
COUNTRIES.
403018 - INCOME TAX RATE AND TAX BASE FOR
2.5 PERCENT OF GROSS PHILIPPINE BILLINGS
INTERNATIONAL CARRIERS
403019 - MEANS GROSS REVENUE WHETHER FOR
PASSENGER, CARGO OR MAIL ORIGINATING FROM THE
PHILIPPINES UP TO FINAL DESTINATION, REGARDLESS OF GROSS PHILIPPINE BILLINGS
THE PLACE OF SALE OR PAYMENTS OF THE PASSAGE OR
FREIGHT DOCUMENTS.
403020 - INCOME TAX RATE AND TAX BASE FOR BRANCH
15 PERCENT OF PROFIT REMITTED ABROAD
PROFIT REMITTANCES
 403021 - INCOME TAX RATE AND TAX BASE FOR NON-
RESIDENT CINEMATOGRAPHIC FILM OWNERS, LESSORS OR 25 PERCENT OF GROSS INCOME WITHIN THE PHILIPPINES
DISTRIBUTORS
403022 - INCOME TAX RATE AND TAX BASE FOR NON-
4.5 PERCENT OF GROSS RENTAL, LEASE OR CHARTER FEES
RESIDENT OWNERS OR LESSORS OF VESSELS CHARTERED
WITHIN THE PHILIPPINES
(HIRED) BY PHILIPPINE NATIONALS
403023 - INCOME TAX RATE AND TAX BASE OF NON-
7.5 PERCENT OF GROSS RENTALS OR FEES WITHIN THE
RESIDENT OWNERS OR LESSORS OF AIRCRAFT,
PHILIPPINES
MACHINERIES AND OTHER EQUIPMENT
403024 - INCOME TAX RATE AND TAX BASE FOR INTEREST 20 PERCENT OF INTEREST ON LOANS CONTRACTED ON OR
ON FOREIGN LOANS AFTER AUGUST 1, 1986
403025 - AS REGARDS TO INCOME TAXATION, TREATMENT
FOR DIVIDENDS RECEIVED BY A DOMESTIC CORPORATION NOT TAXABLE
FROM ANOTHER DOMESTIC CORPORATION
403026 - AS REGARDS TO INCOME TAXATION, TREATMENT
FOR DIVIDENDS RECEIVED BY A RESIDENT FOREIGN NOT TAXABLE
CORPORATION FROM A DOMESTIC CORPORATION
403027 - AS REGARDS TO INCOME TAXATION, TREATMENT
TAXABLE AT 30 PERCENT FINAL TAX; 15 PERCENT IF
FOR DIVIDENDS RECEIVED BY A NON-RESIDENT FOREIGN
SUBJECT TO TAX SPARING CREDIT
CORPORATION FROM A DOMESTIC CORPORATION
403028 - IS A TERM USED TO DENOTE A SPECIAL FORM OF
DOUBLE TAXATION RELIEF IN TAX TREATIES WITH
DEVELOPING COUNTRIES. WHERE A COUNTRY GRANTS TAX
INCENTIVES TO ENCOURAGE FOREIGN INVESTMENT AND
THAT COMPANY IS A RESIDENT OF ANOTHER COUNTRY
TAX SPARING CREDIT
WITH WHICH A TAX TREATY HAS BEEN CONCLUDED, THE
OTHER COUNTRY MAY GIVE A CREDIT AGAINST ITS OWN TAX
FOR THE TAX WHICH THE COMPANY WOULD HAVE PAID IF
THE TAX HAD NOT BEEN "SPARED" UNDER THE PROVISIONS
OF THE TAX INCENTIVES.
403029 - AS REGARDS TO INCOME TAXATION, TREATMENT
FOR DIVIDENDS RECEIVED BY A DOMESTIC CORPORATION TAXABLE AS ORDINARY INCOME
FROM A RESIDENT FOREIGN CORPORATION
403030 - FOR CORPORATIONS, FINAL TAX RATE ON INTEREST
20 PERCENT (FOR ALL CORPORATIONS EXCEPT NRFC)
INCOME FROM ANY CURRENCY BANK DEPOSIT
403031 - FOR CORPORATIONS, FINAL TAX RATE ON YIELD OR
ANY OTHER MONETARY BENEFIT FROM DEPOSIT 20 PERCENT (FOR ALL CORPORATIONS EXCEPT NRFC)
SUBSTITUTES
403032 - FOR CORPORATIONS, FINAL TAX RATE ON YIELD
20 PERCENT (FOR ALL CORPORATIONS EXCEPT NRFC)
FROM TRUST FUNDS AND SIMILAR ARRANGEMENTS
403033 - FOR CORPORATIONS, FINAL TAX RATE ON
20 PERCENT (FOR ALL CORPORATIONS EXCEPT NRFC)
ROYALTIES
1. GOVERNMENT SERVICE INSURANCE SYSTEM (GSIS)
2. SOCIAL SECURITY SYSTEM (SSS)
403034 - TAX EXEMPT CORPORATIONS (4 ITEMS)
3. PHILIPPINE CHARITY SWEEPSTAKES OFFICE (PCSO)
4. LOCAL WATER DISTRICTS
403035 - IS A PENALTY TAX UPON A CORPORATE TAXPAYER
FOR ACCUMULATING SO MUCH NET INCOME AFTER TAX IMPROPERLY ACCUMULATED EARNINGS TAX (IAET)
BEYOND THE REASONABLE NEEDS OF THE BUSINESS.
403036 - INCOME TAX RATE AND TAX BASE FOR IMPROPERLY 10 PERCENT OF IMPROPERLY ACCUMULATED TAXABLE
ACCUMULATED EARNINGS TAX (IAET) INCOME
TAXABLE INCOME
+ INCOME EXEMPT FROM TAX
+ INCOME EXCLUDED FROM GROSS INCOME
+ INCOME SUBJECT TO FINAL TAX
+ AMOUNT OF NOLCO DEDUCTED
403037 - COMPUTATION OF IMPROPERLY ACCUMULATED
- DIVIDENDS ACTUALLY OR CONSTRUCTIVELY PAID OR
TAXABLE INCOME
ISSUED FROM APPLICABLE YEAR'S TAXABLE INCOME
- AMOUNT RESERVED FOR REASONABLE NEEDS OF THE
BUSINESS
- INCOME TAX PAID OR PAYABLE FOR THE TAXABLE YEAR
= IMPROPERLY ACCUMULATED TAXABLE INCOME
100 PERCENT OF PAID-UP CAPITAL OF A CORPORATION
403038 - AS REGARDS TO IAET, EQUIVALENT AMOUNT OF
(WHICH INCLUDES BOTH PAR VALUE AND ADDITIONAL PAID-
REASONABLE NEEDS OF THE BUSINESS
IN CAPITAL OR APIC)
 1. GENERAL CO-PARTNERSHIPS OR BUSINESS
403039 - CLASSIFICATION OF PARTNERSHIPS (2 ITEMS) PARTNERSHIPS
2. GENERAL PROFESSIONAL PARTNERSHIPS
403040 - IS A PARTNERSHIP WHICH IS NOT CONSIDERED AS A
GENERAL PROFESSIONAL PARTNERSHIP; IS CONSIDERED AS GENERAL CO-PARTNERSHIP
A CORPORATION AND TAXED AS A CORPORATION.
403041 - IS A PARTNERSHIP FORMED BY TWO OR SEVERAL
PERSONS FOR THE SOLE PURPOSE OF EXERCISING THEIR
GENERAL PROFESSIONAL PARTNERSHIP (GPP)
COMMON PROFESSION OF WHICH NO PART OF INCOME IS
DERIVED FROM ENGAGING IN ANY TRADE OR BUSINESS.
403042 - INCOME TAX DUE FOR GENERAL CO-PARTNERSHIPS NIT OR MCIT, WHICHEVER IS HIGHER
403043 - INCOME TAX RATE AND TAX BASE FOR GENERAL
TAX EXEMPT
PROFESSIONAL PARTNERSHIPS (GPP)
403044 - AS REGARDS TO INCOME TAXATION, TREATMENT
FOR SHARE OF PARTNERS IN THE NET INCOME OF 10 PERCENT FINAL TAX
BUSINESS PARTNERSHIP
403045 - AS REGARDS TO INCOME TAXATION, TREATMENT TAXABLE TO THE PARTNERS AS ORDINARY INCOME,
FOR SHARE OF PARTNERS IN THE NET INCOME OF WHETHER DISTRIBUTED TO THEM OR NOT (PRINCIPLE OF
PROFESSIONAL PARTNERSHIP CONSTRUCTIVE RECEIPT)
403046 - CREDITABLE WITHHOLDING TAX ON INCOME
GR: 10 PERCENT
PAYMENTS TO PARTNERS IN A PROFESSIONAL
XPN: 15 PERCENT IF INCOME PAYMENTS TO THE PARTNER
PARTNERSHIP IN THE FORM OF DRAWINGS, ADVANCES,
FOR THE CURRENT YEAR EXCEEDS P720,000.
SHARINGS, ALLOWANCES, STIPENDS, ETC.
403047 - REFERS TO THE OWNERSHIP OF UNDIVIDED THING
CO-OWNERSHIO
OR RIGHT WHICH BELONGS TO 2 OR MORE PERSONS.
EXEMPT - IF THE ACTIVITIES OF THE CO-OWNERS ARE
LIMITED TO THE PRESERVATION OF THE PROPERTY AND
403048 - AS REGARDS TO INCOME TAXATION, TREATMENT
COLLECTION OF INCOME THEREFROM.
FOR EARNINGS FROM ACTIVITIES RELATED TO THINGS
TAXABLE (AS A CORPORATION) - IF THE CO-OWNERS MAKE
UNDER CO-OWNERSHIP
CONTRIBUTION OF EFFORTS, OR NEW CAPITAL, OR IF THE
CO-OWNERSHIP INCOME IS REINVESTED.
 TAX - OTHER CONCEPTS ABOUT INCOME TAXATION (404001 - 404123)
1. STOCK IN TRADE
2. PROPERTY WHICH WOULD BE INCLUDED IN THE
INVENTORY IF ON HAND AT THE CLOSE OF TAXABLE YEAR
404001 - ITEMS NOT CLASSIFIED AS CAPITAL ASSETS (5 3. PROPERTY HELD PRIMARILY FOR SALE IN THE ORDINARY
ITEMS) COURSE OF A TAXPAYER'S TRADE BUSINESS
4. PERSONAL PROPERTY USED IN BUSINESS AND SUBJECT
TO ALLOWANCE FOR DEPRECIATION
5. REAL PROPERTY USED IN TRADE OR BUSINESS
404002 - RULE ON DEDUCTIBILITY FROM GROSS INCOME OF
CAPITAL LOSSES FROM SALE OF PERSONAL CAPITAL
CAPITAL LOSSES INCURRED FROM THE SALE OR EXCHANGE
ASSETS ARE DEDUCTIBLE ONLY FROM ORDINARY GAIN.
OF PERSONAL PROPERTY CLASSIFIED AS CAPITAL ASSET
TAXABLE CAPITAL GAINS (FROM SALE OF PERSONAL
CAPITAL ASSET) OF INDIVIDUALS DEPEND ON THE
FOLLOWING HOLDING PERIODS:
1. SHORT-TERM (NOT MORE THAN 12 MONTHS) - 100
404003 - RULES ON EFFECTS OF HOLDING PERIOD ON PERCENT OF THE GAIN IS TAXABLE
CAPITAL GAINS FROM SALE OR EXCHANGE OF PERSONAL 2. LONG-TERM (MORE THAN 12 MONTHS) - 50 PERCENT OF
PROPERTY CLASSIFIED AS CAPITAL ASSET THE GAIN IS TAXABLE

(HOLDING PERIODS ARE NOT APPLICABLE TO

CORPORATIONS, I.E., ALWAYS 100 PERCENT OF THE GAIN IS
TAXABLE.)
1. THE AMOUNT ALLOWED IS LIMITED TO THE NET INCOME
404004 - RULES ON THE CARRY-OVER OF EXCESS CAPITAL
DURING THE YEAR IN WHICH THE LOSS WAS SUSTAINED.
LOSSES (2 ITEMS)
2. CARRY-OVER IS GOOD ONLY FOR 1 YEAR.
1. TAX RATE - 6 PERCENT
2. TAX BASE - THE HIGHEST AMONG:
404005 - CAPITAL GAINS TAX RATE AND TAX BASE ON SALE
A. SELLING PRICE
OF REAL PROPERTY CLASSIFIED AS CAPITAL ASSET FOR
B. FMV AS DETERMINED BY CIR (ZONAL VALUE)
INDIVIDUALS AND CORPORATIONS
C. FMV AS DETERMINED BY THE CITY OR PROVINCIAL
ASSESSOR (ASSESSOR'S VALUE OR ASSESSED VALUE)
AN INDIVIDUAL IS EXEMPTED FROM CAPITAL GAINS TAX
REALIZED FROM SALE OF PRINCIPAL RESIDENCE IF:
1. THE PROCEEDS ARE UTILIZED IN ACQUIRING NEW
RESIDENCE WITHIN 18 CALENDAR MONTHS FROM THE DATE
OF SALE;
404006 - REQUISITES FOR EXEMPTION FROM CAPITAL GAINS 2. THE COMMISSIONER IS NOTIFIED WITHIN 30 DAYS FROM
TAX ON SALE OF REAL PROPERTY CLASSIFIED AS CAPITAL THE SALE OR DISPOSITION;
ASSET (PRINCIPAL RESIDENCE) FOR INDIVIDUALS (4 ITEMS) 3. THE EXEMPTION CAN BE AVAILED ONCE IN EVERY 10
YEARS; AND
4. THE 6 PERCENT CAPITAL GAINS TAX DUE ON THE
PRESUMED CAPITAL GAINS SHALL BE DEPOSITED IN AN
INTEREST BEARING ACCOUNT WITH AN AUTHORIZED BANK
UNDER AN ESCROW AGREEMENT.
404007 - CAPITAL GAINS TAX RATE AND TAX BASE ON SALE 1. TAX RATE - 15 PERCENT
OF SHARES OF STOCKS NOT TRADED ON THE STOCK 2. TAX BASE - NET CAPITAL GAIN WHICH IS EQUAL TO:
EXCHANGE (SELLING PRICE - FAIR MARKET VALUE)
EXEMPT FRON INCOME TAX BUT SUBJECT TO OTHER
404008 - CAPITAL GAINS TAX RATE AND BASE ON SALE OF PERCENTAGE TAXES (STOCK TRABSACTION TAX: 1/6 OF 1
SHARES OF STOCKS TRADED ON THE STOCK EXCHANGE PERCENT OR 0.6 PERCENT BASED ON GROSS SELLING
PRICE)
1. RETIREMENT OF BONDS, ETC.
2. SHORT SALES OF PROPERTY
404009 - TRANSACTIONS RESULTING TO CAPITAL GAINS OR
3. OPTION GAINS OR LOSSES
LOSSES EVEN IF THERE IS NO SALE OF CAPITAL ASSETS (6
4. WORTHLESS SECURITIES
ITEMS)
5. LIQUIDATING DIVIDEND
6. LIQUIDATION OF PARTNERSHIP
404010 - IS A TRANSACTION THAT OCCURS WHEN
SUBSTANTIALLY IDENTICAL SECURITIES ARE ACQUIRED
WASH SALE
WITHIN A 60-DAY PERIOD BEGINNING 30 DAYS BEFORE THE
SALE AND ENDING 30 DAYS AFTER SALE.
 GR: LOSSES FROM WASH SALES ARE NOT DEDUCTIBLE
FROM GROSS INCOME.
XPNS:
404011 - RULES ON DEDUCTIBILITY FROM GROSS INCOME OF
1. DEALERS IN STOCKS OR SECURITIES IF THE SALE OR
LOSSES FROM WASH SALES (GR AND 2 XPNS)
DISPOSITION IS MADE IN THE ORDINARY COURSE OF
BUSINESS
2. SHORT SALE TRANSACTIONS
404012 - IS A TRANSACTION THAT OCCURS WHEN AN
INVESTOR BORROWS SHARES AND IMMEDIATELY SELLS
THEM, HOPING HE OR SHE CAN SCOOP THEM UP LATER AT A SHORTIMG OR SHORT-SELLING
LOWER PRICE, RETURN THEM TO THE LENDER AND POCKET
THE DIFFERENCE.
404013 - DEDUCTIONS FROM GROSS INCOME THAT MAY BE 1. ITEMIZED DEDUCTIONS; OR
CLAIMED BY A TAXPAYER (2 ITEMS) 2. OPTIONAL STANDARD DEDUCTION (OSD)
1. MUST BE ORDINARY AND NECESSARY;
2. PAID OR INCURRED DURING THE TAXABLE YEAR;
404014 - REQUISITES FOR DEDUCTIBILITY FROM GROSS
3. CONNECTED WITH TRADE, BUSINESS OR PROFESSIONL
INCOME OF EXPENSES IN GENERAL (5 ITEMS)
4. SUPPORTED BY SUFFICIENT EVIDENCE; AND
5. NOT AGAINST THE LAW OR PUBLIC POLICY
404015 - ARE EXPENSES WHICH INCLUDE TRANSPORTATION
EXPENSES, MEALS, LODGING AND LAUNDRY EXPENSES TRAVELLING EXPENSES
INCURRED WHILE AWAY FROM HOME.
1. PAID OR INCURRED DURING THE TAXABLE YEAR;
2. DIRECTLY CONNECTED TO THE DEVELOPMENT,
MANAGEMENT AND OPERATION OR DIRECTLY RELATED TO
OR IN FURTHERANCE OF THE CONDUCT OF A TAXPAYER'S
TRADE BUSINESS OR PROFESSION;
3. MUST NOT HAVE BEEN PAID DIRECTLY OR INDIRECTLY TO
AN OFFICIAL OF THE GOVERNMENT (INCLUDING FOREIGN)
404016 - REQUISITES FOR DEDUCTIBILITY FROM GROSS OR PRIVATE ENTITY IF IT CONSTITUTES A BRIBE, KICKBACK
INCOME OF ENTERTAINMENT, AMUSEMENT AND OR OTHER SIMILAR PAYMENT;
RECREATION EXPENSES (6 ITEMS) 4. NOT CONTRARY TO LAW, MORALS, PUBLIC POLICY OR
PUBLIC ORDER;
5. DULY SUBSTANTIATED BY PROOF; AND
6. MUST NOT EXCEED 1/2 PERCENT OF NET SALES OR 1
PERCENT OF NET REVENUE FOR TAXPAYERS ENGAGED IN
SALES OF GOODS OR PROPERTIES, OR SALE OF SERVICES,
RESPECTIVELY (TO BE APPORTIONED IF THE TAXPAYER IS
DERIVING INCOME FROM BOTH).
NOT DEDUCTIBLE IF PAID, DIRECTLY OR INDIRECTLY, TO AN
404017 - RULE ON DEDUCTIBILITY FROM GROSS INCOME OF
OFFICIAL OR EMPLOYEE OF THE GOVERNMENT OR PRIVATE
BRIBES, KICKBACKS AND OTHER SIMILAR PAYMENTS
ENTITY.
404018 - OPTIONS AVAILABLE TO A PRIVATE EDUCATIONAL
1. CAPITALIZE AND CLAIM THE ANNUAL DEPRECIATION AS
INSTITUTION REGARDING THE TREATMENT OF COSTS
DEDUCTION; OR
INCURRED FOR THE EXPANSION OF SCHOOL FACILITIES (2
2. DEDUCT AS EXPENDITURES DURING THE TAXABLE YEAR.
ITEMS)
1. PERSONAL LIVING AND FAMILY EXPENSES;
2. AMOUNT PAID OUT FOR NEW BUILDINGS OR FOR
PERMANENT IMPROVEMENTS OR BETTERMENTS MADE TO
INCREASE THE VALUE OF ANY PROPERTY OR ESTATE;
3. AMOUNT EXPENDED IN RESTORING PROPERTY OR IN
MAKING GOOD EXHAUSTION THEREOF FOR WHICH AN
404019 - NON-DEDUCTIBLE EXPENSES (4 ITEMS) ALLOWANCE IS OR HAS BEEN MADE; OR
4. PREMIUMS PAID ON ANY LIFE INSURANCE POLICY
COVERING THE LIFE OF AN OFFICER OR EMPLOYEE, OR OF
ANY PERSON FINANCIALLY INTERESTED IN ANY TRADE OR
BUSINESS CARRIED ON BY THE TAXPAYER, INDIVIDUAL OR
CORPORATE, WHEN THE TAXPAYER IS DIRECTLY OR
INDIRECTLY A BENEFICIARY UNDER SUCH POLICY.
1. THERE MUST BE AN INDEBTEDNESS;
2. THE INDEBTEDNESS MUST BE THAT OF THE TAXPAYER;
3. THE INDEBTEDNESS IS CONNECTED WITH TAXPAYER'S
404020 - REQUISITES FOR DEDUCTIBILITY FROM GROSS
PROFESSION;
INCOME OF INTEREST (5 ITEMS)
4. THERE IS A LEGAL LIABILITY TO PAY INTEREST; AND
5. THE INTEREST MUST BE PAID (CASH BASIS) OR INCURRED
(ACCRUAL BASIS) DURING THE TAXABLE YEAR.
 GR: TAXPAYER/S INTEREST EXPENSE SHALL BE REDUCED
BY AN AMOUNT EQUAL TO 33 PERCENT OF INTEREST
INCOME SUBJECTED TO FINAL TAX.
404021 - RULES ON REDUCTION OF DEDUCTIBLE INTEREST
XPN: INTEREST INCURRED OR PAID BY THE TAXPAYER ON
EXPENSE BY INTEREST INCOME (GR AND XPN)
ALL UNPAID BUSINESS RELATED TAXES SHALL BE FULLY
DEDUCTIBLE FROM GROSS INCOME AND SHALL NOT BE
SUBJECT TO THE LIMITATION ON DEDUCTION.
404022 - OPTIONS AVAILABLE TO TAXPAYERS REGARDING AT THE OPTION OF THE TAXPAYER, SUCH INTEREST MAY BE
THE TREATMENT OF INTEREST INCURRED TO ACQUIRE TREATED AS:
PROPERTY USED IN TRADE, BUSINESS OR EXERCISE OF 1. DEDUCTION; OR
PROFESSION (2 ITEMS) 2. CAPITAL EXPENDITURE
1. INTEREST ON LOAN BETWEEN RELATED TAXPAYERS.
2. INTEREST ON LOAN PAID IN ADVANCE THROUGH
DISCOUNT BY INDIVIDUAL TAXPAYER REPORTING INCOME
404023 - NON-DEDUCTIBLE INTEREST (3 ITEMS)
ON CASH BASIS.
3. IF INDEBTEDNESS IS INCURRED TO FINANCE PETROLEUM
OPERATIONS.
1. PAID OR INCURRED WITHIN THE TAXABLE YEAR;
2.CONNECTED WITH TAXPAYER'S PROFESSION, TRADE OR
404024 - REQUISITES FOR DEDUCTIBILITY FROM GROSS BUSINESS;
INCOME OF TAXES (4 ITEMS) 3. IMPOSED DIRECTLY ON THE TAXPAYER;
4. DOES NOT INCLUDE SURCHARGES, PENALTIES, OR FINES
INCIDENT TO DELINQUENCY.
1. PHILIPPINE INCOME TAX
2. FOREIGN INCOME TAX IF CLAIMED AS TAX CREDIT
404025 - NON-DEDUCTIBLE TAXES (4 ITEMS)
3. ESTATE AND DONOR'S TAX
4. SPECIAL ASSESSMENTS
404026 - IS THE TAXPAYER'S RIGHT TO DEDUCT FROM
INCOME TAX DUE THE AMOUNT OF TAX HE HAS PAID TO A FOREIGN TAX CREDIT
FOREIGN COUNTRY, SUBJECT TO LIMITATIONS.
1. RESIDENT CITIZENS
404027 - TAXPAYERS ALLOWED TO CLAIM FOREIGN TAX 2. DOMESTIC CORPORATIONS
CREDIT (4 ITEMS) 3. MEMBERS OF GENERAL PROFESSIONAL PARTNERSHIPS
4. BENEFICIARIES OF ESTATE OR TRUST
TAXES CLAIMED AS DEDUCTION, WHEN REFUNDED OR
CREDITED, SHALL BE INCLUDED AS PART OF GROSS INCOME
404028 - TAX BENEFIT RULE ON FOREIGN TAX CREDIT
IN THE YEAR OF RECEIPT TO THE EXTENT OF INCOME TAX
BENEFIT OF SAID DEDUCTION.
1. ACTUALLY SUSTAINED DURING THE TAXABLE YEAR;
2. NOT COMPENSATED BY INSURANCE OR OTHER FORMS OF
INDEMNITY;
3. INCURRED IN CONNECTION WITH TRADE, PROFESSION OR
BUSINESS;
4. EVIDENCED IN A CLOSED AND COMPLETED TRANSACTION;
404029 - REQUISITES FOR DEDUCTIBILITY FROM GROSS
5. AROSE FROM FIRES, STORMS, SHIPWRECK OR OTHER
INCOME OF LOSSES (7 ITEMS)
CASUALTIES OR FROM ROBBERY, THEFT OR
EMBEZZLEMENT;
6. NOT CLAIMED AS DEDUCTION FOR ESTATE PURPOSES;
AND
7. REPORTED TO THE BIR WITHIN 45 DAYS FROM THE
OCCURRENCE OF SUCH LOSS.
404030 - RULE ON DEDUCTIBILITY FROM GROSS INCOME OF DEDUCTIBLE ONLY TO THE EXTENT OF THE GAINS FROM
WAGERING LOSS SUCH TRANSACTIONS
404031 - RULE ON DEDUCTIBILITY FROM GROSS INCOME OF
NOT DEDUCTIBLE
LOSS ON SALE BETWEEN RELATED TAXPAYERS
404032 - RULE ON DEDUCTIBILITY FROM GROSS INCOME OF
LOSS FROM VOLUNTARY REMOVAL OF BUILDING IF THE THE VALUE OF OLD BUILDING RAZED PLUS OTHER COSTS
TAXPAYER PURCHASED THE LAND WITHOUT INTENDING TO ARE ADDED TO THE COST OF THE LAND.
USE THE BUILDING
404033 - RULE ON DEDUCTIBILITY FROM GROSS INCOME OF
THE VALUE OF THE BUILDING DEMOLISHED PLUS
LOSS FROM VOLUNTARY REMOVAL OF BUILDING IF AN OLD
DEMOLITION COSTS ARE DEDUCTIBLE AS LOSSES.
BUILDING IS DEMOLISHED TO CONSTRUCT NEW ONE
404034 - RULE ON DEDUCTIBILITY FROM GROSS INCOME OF
NOT DEDUCTIBLE; THE LOSS ALLOWED IS THAT ACTUALLY
LOSS ON SHRINKAGE IN VALUE OF STOCKS DUE TO
SUFFERED WHEN THE STOCKS ARE DISPOSED OF.
FLUCTUATION IN MARKET
 WHEN A PRODUCING WELL IS ABANDONDED, THE
UNAMORTIZED COSTS THEREOF AND THE UNDEPRECIATED
COSTS OF EQUIPMENT DIRECTLY USED THEREIN ARE
404035 - RULE ON DEDUCTIBILITY FROM GROSS INCOME OF
DEDUCTIBLE IN THE YEAR OF ABANDONMENT, BUT IF THE
ABANDONMENT LOSSES PERTAINING TO PRODUCING WELLS
SERVICE IS RESTORED LATER, SAID COSTS SHALL BE
INCLUDED AS PART OF GROSS INCOME AND SHALL BE
AMORTIZED OR DEPRECIATED.
404036 - REFERS TO THE EXCESS OF ALLOWABLE
DEDUCTION OVER GROSS INCOME OF A BUSINESS IN A NET OPERATING LOSS
TAXABLE YEAR.
1. NET LOSS IN A TAXABLE YEAR DURING WHICH THE
TAXPAYER WAS EXEMPT FROM INCOME TAX IS NOT
DEDUCTIBLE.
404037 - RULES ON DEDUCTIBILITY FROM GROSS INCOME OF
2. DEDUCTION IS ALLOWED ONLY IF THERE IS NO
NET OPERATING LOSS CARRIED OVER FROM A PREVIOUS
SUBSTANTIAL CHANGE IN THE OWNERSHIP OF BUSINESS.
TAXABLE YEAR
3. DEDUCTION IS AVAILABLE TO THE TAXPAYER ONLY FOR
THE NEXT THREE CONSECUTIVE TAXABLE YEARS
FOLLOWING THE YEAR IN WHICH IT WAS INCURRED.
404038 - MEANS THAT NOT LESS THAN 75 PERCENT IN
NOMINAL VALUE OF OUTSTANDING ISSUED SHARES OR PAID
UP CAPITAL OF THE CORPORATION, IF THE BUSINESS IS IN NO SUBSTANTIAL CHANGE IN THE OWNERSHIP OF BUSINESS
THE NAME OF A CORPORATION, IS HELD BY OR ON BEHALF
OF THE SAME PERSONS.
1. VALID AND SUBSISTING DEBT;
2. DEBT IS ASCERTAINED TO BE WORTHLESS AND
UNCOLLECTIBLE;
404039 - REQUISITES FOR DEDUCTIBILITY FROM GROSS 3. CHARGED-OFF (WRITTEN OFF) DURING THE TAXABLE
INCOME OF BAD DEBTS (5 ITEMS) YEAR;
4. CONNECTED WITH PROFESSION, TRADE OR BUSINESS;
5. NOT SUSTAINED IN A TRANSACTION BETWEEN MEMBERS
OF THE SAME FAMILY OR RELATED TAXPAYERS.
THE RECOVERY OF BAD DEBTS PREVIOUSLY ALLOWED AS
DEDUCTION IN THE PRECEDING YEARS SHALL BE INCLUDED
404040 - TAX BENEFIT RULE ON BAD DEBTS AS PART OF THE GROSS INCOME IN THE YEAR OF
RECOVERY TO THE EXTENT OF THE INCOME TAX BENEFIT
OF SAID DEDUCTION.
1. THERE MUST BE AN EXHAUSTION, WEAR AND TEAR
(INCLUDING REASONABLE ALLOWANCE FOR
404041 - REQUISITES FOR DEDUCTIBILITY FROM GROSS
OBSOLESCENCE);
INCOME OF DEPRECIATION (3 ITEMS)
2. PROPERTY IS USED IN BUSINESS; AND
3. REASONABLE ALLOWANCE FOR DEPRECIATION.
1. STRAIGHT-LINE METHOD
2. DECLINING BALANCE METHOD
404042 - METHODS OF DEPRECIATION ALLOWED FOR 3. SUM-OF-YEARS-DIGIT METHOD
TAXATION PURPOSES (4 ITEMS) 4. OTHER METHODS PRESCRIBED BY THE SECRETARY OF
FINANCE UPON THE RECOMMENDATION OF THE
COMMISSIONER OF INTERNAL REVENUE
404043 - REFERS TO THE REMOVAL, EXTRACTION OR
EXHAUSTION OF A NATURAL RESOURCE LIKE MINES AND
DEPLETION
GAS WELLS AS A RESULT OF PRODUCTION OR SEVERANCE
FROM SUCH MINES OR WELLS.
404044 - METHOD OF DEPLETION ALLOWED FOR TAX
COST DEPLETION METHOD
PURPOSES
1. WHEN THE ALLOWANCE SHALL EQUAL THE CAPITAL
INVESTED, NO ADDITIONAL ALLOWANCE SHALL BE
404045 - LIMITATIONS ON THE AMOUNT OF DEPLETION THAT GRANTED.
MAY BE DEDUCTED FROM GROSS INCOME (2 ITEMS) 2. IN THE CASE OF A FOREIGN CORPORATION, DEPLETION
OF OIL AND GAS WELLS AND MINES SHALL BE ONLY OIL AND
GAS WELLS AND MINES LOCATED IN THE PHILIPPINES.
1. EMPLOYER MUST HAVE ESTABLISHED A PENSION OR
RETIREMENT PLAN;
404046 - REQUISITES FOR DEDUCTIBILITY FROM GROSS 2. PENSION PLAN MUST BE REASONABLE;
INCOME OF PENSION TRUSTS (4 ITEMS) 3. FUNDED BY THE EMPLOYER; AND
4. AMOUNT CONTRIBUTED BY THE EMPLOYER MUST NO
LONGER BE SUBJECT TO HIS CONTROL.
404047 - REQUISITES FOR DEDUCTIBILITY FROM GROSS 1. PAID OR INCURRED DURING THE TAXABLE YEAR; AND
INCOME OF RESEARCH AND DEVELOPMENT COSTS 2. CONNECTED WITH TRADE, BUSINESS OR PROFESSION
 1. TREAT AS ORDINARY AND NECESSARY EXPENSES -
DEDUCTIONS FROM GROSS INCOME IN THE YEAR PAID OR
404048 - OPTIONS AVAILABLE TO TAXPAYERS REGARDING
INCURRED; OR
THE TREATMENT OF RESEARCH AND DEVELOPMENT COSTS
2. TREAT AS DEFERRED EXPENSES - DEDUCTION RATABLY
(2 ITEMS)
DISTRIBUTED OVER A PERIOD OF NOT LESS THAN 60
MONTHS.
1. CONTRIBUTION OR GIFT MUST BE ACTUALLY PAID OR
MADE WITHIN THE TAXABLE YEAR;
2. GIVEN TO ENTITY OR INSTITUTION SPECIFIED BY LAW;
404049 - REQUISITES FOR DEDUCTIBILITY FROM GROSS
3. NET INCOME OF THE INSTITUTION MUST NOT BE INURE TO
INCOME OF CHARITABLE AND OTHER CONTRIBUTIONS (4
THE BENEFIT OF ANY PRIVATE INDIVIDUAL OR
ITEMS)
STOCKHOLDER; AND
4. TAXPAYER MAKING CONTRIBUTION MUST BE ENGAGED IN
TRADE, PROFESSION OR BUSINESS.
1. DONATIONS TO THE GOVERNMENT OF THE PHILIPPINES
OR ITS SUBDIVISIONS
2. DONATIONS TO CERTAIN FOREIGN INSTITUTIONS OR
404050 - CONTRIBUTIONS TO ORGANIZATIONS OR
INTERNATIONAL ORGANIZATIONS
GOVERNING BODIES DEDUCTIBLE IN FULL (3 ITEMS)
3. DONATIONS TO NONGOVERNMENT ORGANIZATIONS
ACCREDITED BY THE PHILIPPINE COUNCIL FOR NGO
CERTIFICATION (PCNC)
1. EDUCATION
404051 - PRIORITY ACTIVITIES IN WHICH CONTRIBUTIONS OR
2. HEALTH
DONATIONS, TO THE GOVERNMENT OF THE PHILIPPINES,
3. YOUTH AND SPORTS DEVELOPMENT
ANY OF ITS AGENCIES, POLITICAL SUBDIVIDISIONS OR FULLY
4. HUMAN SETTLEMENTS
OWNED GOVERNMENT CORPORATIONS, ARE DEDUCTIBLE IN
5. SCIENCE AND CULTURE
FULL (6 ITEMS)
6. ECONOMIC DEVELOPMENT
1. SCIENTIFIC
2. RESEARCH
3. EDUCATIONAL
404052 - ACTIVITIES IN WHICH A NONPROFIT DOMESTIC
4. CHARACTED BUILDING AND YOUTH AND SPORTS
CORPORATION MUST HAVE BEEN ORGANIZED AND
DEVELOPMENT
OPERATED EXCLUSIVELY FOR TO BE ACCREDITED BY THE
5. HEALTH
PHILIPPINE COUNCIL FOR NGO CERTIFICATION (PCNC) (9
6. SOCIAL WELFARE
ITEMS)
7. CULTURAL
8. CHARITABLE
9. OR A COMBINATION THEREOF
1. THE DONATION MUST BE UTILIZED NOT LATER THAN THE
15TH DAY OF THE 3RD MONTH FOLLOWING THE CLOSE OF
TAXABLE YEAR;
2. ADMINISTRATION EXPENSES MUST NOT EXCEED 30
404053 - CONDITIONS FOR DEDUCTIBILITY OF DONATIONS TO PERCENT OF TOTAL EXPENSES;
NONGOVERNMENT ORGANIZATIONS ACCREDITED BY THE 3. UPON DISSOLUTION, THE ASSETS MUST BE DISTRIBUTED
PCNC (4 ITEMS) TO ANOTHER NONPROFIT DOMESTIC CORPORATION, TO THE
STATE OR BY A COURT TO ANOTHER SIMILAR
ORGANIZATION; AND
4. IF THE ABOVE CONDITIONS ARE NOT COMPLIED,
CONTRIBUTIONS SHALL BE SUBJECT TO LIMIT.
1. CONTRIBUTIONS TO THE GOVERNMENT OF THE
PHILIPPINES OR ITS AGENCIES OR POLITICAL SUBDIVISIONS
IF THE FUNDS ARE NOT FOR THE PURPOSE OF PRIORITY
404054 - CONTRIBUTIONS SUBJECT TO LIMIT (2 ITEMS) ACTIVITIES
2. CONTRIBUTIONS TO ACCREDITED DOMESTIC
CORPORATIONS OR ASSOCIATIONS IF THE CONDITIONS FOR
DEDUCTIBILITY ARE NOT MET
1. INDIVIDUAL TAXPAYER - 10 PERCENT OF TAXABLE INCOME
404055 - LIMITATIONS ON DEDUCTION OF CONTRIBUTIONS DERIVED FROM TRADE, BUSINESS OR PROFESSION BEFORE
TO GOVERNMENT AND NONGOVERNMENT ORGANIZATIONS DEDUCTING THE CONTRIBUTIONS
(2 ITEMS) 2. CORPORATION - 5 PERCENT OF THE TAXABLE INCOME
BEFORE DEDUCTING THE CONTRIBUTIONS
1. INDIVIDUAL TAXPAYER - NOT EXCEEDING 40 PERCENT OF
GROSS SALES OR RECEIPTS FROM BUSINESS OR
404056 - OPTIONAL STANDARD DEDUCTION FOR TAXPAYERS
PROFESSION
(2 ITEMS)
2. CORPORATION - NOT EXCEEDING 40 PERCENT OF ITS
GROSS INCOME
 1. THE TAXPAYER SIGNIFIED IN THE RETURN ITS INTENTION
TO ELECT OSD;
2. SUCH ELLECTION SHALL BE IRREVOCABLE FOR THE
TAXABLE YEAR FOR WHICH THE RETURN IS MADE;
3. THAT THE INDIVIDUAL WHO IS ENTITLED TO AND CLAIMED
FOR THE OPTIONAL STANDARD DEDUCTION SHALL NOT BE
404057 - REQUISITES FOR CLAIMING OPTIONAL STANDARD REQUIRED TO SUBMIT WITH HIS TAX RETURN SUCH
DEDUCTION (4 ITEMS) FINANCIAL STATEMENTS OTHERWISE REQUIRED UNDER THE
CODE; AND
4. EXCEPT, WHEN THE COMMISSION OTHERWISE PERMITS,
SAID INDIVIDUAL SHALL KEPP SUCH RECORDS PERTAINING
TO HIS GROSS SALES OR GROSS RECEIPTS OR THE SAID
CORPORATION SHALL KEEP SUCH RECORDS PERTAINING TO
HIS GROSS INCOME.
404058 - MEANS ANY GOOD, SERVICE OR OTHER BENEFIT
FURNISHED OR GRANTED BY AN EMPLOYER IN CASH OR IN
FRINGE BENEFIT
KIND, IN ADDITION TO BASIC SALARIES, TO AN INDIVIDUAL
EMPLOYEE (EXCEPT RANK AND FILE EMPLOYEE).
1. THOSE AUTHORIZED AND EXEMPTED FROM INCOME TAX
UNDER THE CODE OR SPECIAL LAW;
2. CONTRIBUTIONS OF THE EMPLOYER FOR THE BENEFIT OF
THE EMPLOYEE TO RETIREMENT INSURANCE AND
HOSPITALIZATION BENEFIT PLANS;
3. BENEFITS GIVEN TO THE RANK AND FILE, WHETHER
404059 - FRINGE BENEFITS NOT SUBJECT TO FRINGE GRANTED UNDER A COLLECTIVE BARGAINING AGREEMENT
BENEFITS TAX (6 ITEMS) OR NOT;
4. DE MINIMIS BENEFITS;
5. THE FRINGE BENEFITS GIVEN TO THE EMPLOYEE IS
REQUIRED BY THE NATURE OF, OR NECESSARY TO THE
TRADE, BUSINESS OR PROFESSION OF EMPLOYER; OR
6. IF THE FRINGE BENEFIT IS FOR THE CONVENIENCE OF THE
EMPLOYER.
FRINGE BENEFIT TAX = (MONETARY VALUE / 65 PERCENT) *
404060 - COMPUTATION OF FRINGE BENEFITS TAX
35 PERCENT
404061 - IN GENERAL ARE LIMITED TO FACILITIES OR
PRIVILEGES FURNISHED OR OFFERED BY AN EMPLOYER TO
HIS EMPLOYEES THAT ARE OF RELATIVELY SMALL VALUE
AND ARE OFFERED OR FURNISHED BY THE EMPLOYER DE MINIMIS BENEFITS
MERELY AS A MEANS OF PROMOTING THE HEALTH,
GOODWILL, CONTENTMENT OR EFFICIENCY OF HIS
EMPLOYEES.
404062 - DE MINIMIS BENEFITS: MONETIZED UNUSED
NOT EXCEEDING 10 DAYS DURING THE YEAR
VACATION LEAVE CREDITS OF EMPLOYEES
404063 - DE MINIMIS BENEFITS: MONETIZED VALUE OF LEAVE
CREDITS PAID TO GOVERNMENT OFFICIALS AND NO LIMIT; ALL ARE CONSIDERED AS DE MINIMIS BENEFITS.
EMPLOYEES
404064 - DE MINIMIS BENEFITS: MEDICAL CASH ALLOWANCE
NOT EXCEEDING P750 PER SEMESTER OR P125 PER MONTH
TO DEPENDENTS OF EMPLOYEES
P1,500 OR ONE SACK OF 50 KG. RICE PER MONTH
404065 - DE MINIMIS BENEFITS: RICE SUBSIDY
AMOUNTING TO NOT MORE THAN P1,500
404066 - DE MINIMIS BENEFITS: UNIFORMS AND CLOTHING
NOT EXCEEDING P5,000 PER ANNUM
ALLOWANCE
404067 - DE MINIMIS BENEFITS: ACTUAL YEARLY MEDICAL
NOT EXCEEDING P10,000 PER ANNUM
BENEFITS
404068 - DE MINIMIS BENEFITS: LAUNDRY ALLOWANCE P300 PER MONTH
1. MUST BE IN THE FORM OF A TANGIBLE PROPERTY OTHER
THAN CASH OR GIFT CERTIFICATE;
2. MUST HAVE AN ANNUAL MONETARY VALUE NOT
404069 - DE MINIMIS BENEFITS: EMPLOYEE ACHIEVEMENT
EXCEEDING P10,0000; AND
AWARDS
3. RECEIVED BY AN EMPLOYEE UNDER AN ESTABLISHED
WRITTEN PLAN WHICH DOES NOT DISCRIMINATE IN FAVOR
OF HIGHLY PAID EMPLOYEES.
404070 - DE MINIMIS BENEFITS: GIFTS GIVEN DURING
NOT EXCEEDING P5,000 PER EMPLOYEE PER ANNUM
CHRISTMAS AND MAJOR ANNIVERSARY CELEBRATIONS
 404071 - DE MINIMIS BENEFITS: FLOWERS, FRUITS, BOOKS
OR SIMILAR ITEMS GIVEN TO EMPLOYEES UNDER SPECIAL
NO LIMIT; ALL ARE CONSIDERED AS DE MINIMIS BENEFITS.
CIRCUMSTANCES, E.G., ON ACCOUNT OF ILLNESS,
MARRIAGE, BIRTH OF A BABY, ETC.
404072 - DE MINIMIS BENEFITS: DAILY MEAL ALLOWANCE
NO EXCEEDING 25 PERCENT OF THE BASIC MINIMUM WAGE
FOR OVERTIME WORK
404073 - AMOUNT OF TAX EXEMPT 13TH MONTH PAY AND
P90,000
OTHER BENEFITS
404074 - ACCOUNTING PERIODS FOLLOWED FOR TAXATION 1. FISCAL YEAR
PURPOSES (2 ITEMS) 2. CALENDAR YEAR
404075 - IS AN ACCOUNTING PERIOD COVERING 12 MONTHS
ENDING THE LAST DAY OF ANY MONTH OTHER THAN FISCAL YEAR
DECEMBER.
404076 - IS AN ACCOUNTING PERIOD COVERING 12 MONTHS
WHICH STARTS ON THE 1ST DAY OF JANUARY AND ENDS ON CALENDAR YEAR
THE LAST DAY OF DECEMBER.
1. ANNUAL ACCOUNTING PERIOD IS OTHER THAN FISCAL
YEAR;
404077 - INSTANCES WHEN TAXABLE INCOME SHALL BE
2. TAXPAYER HAS NO ANNUAL ACCOUNTING PERIOD;
COMPUTED ON THE BASIS OF CALENDAR YEAR (4 ITEMS)
3. HE DOES NOT KEEP BOOKS; OR
4. TAXPAYER IS AN INDIVIDUAL
404078 - ARE RULES THAT ARE USED TO DETERMINE THE
YEAR IN WHICH INCOME ARE TO BE REPORTED AND ACCOUNTING METHODS
EXPENSES ARE TO BE DEDUCTED FOR TAX PURPOSES.
404079 - IS AN ACCOUNTING METHOD WHICH REQUIRES THE
TAXPAYER TO REPORT INCOME FOR THE TAX YEAR IN
WHICH PAYMENTS ARE ACTUALLY OR CONSTRUCTIVELY CASH BASIS
RECEIVED WHILE EXPENSES ARE DEDUCTED IN THE YEAR IT
IS PAID.
404080 - IS AN ACCOUNTING METHOD IN WHICH INCOME IS
REPORTED IN THE YEAR EARNED WHILE EXPENSES ARE ACCRUAL METHOD
DEDUCTED IN THE YEAR INCURRED.
404081 - IS AN ECONOMIC EVENT WHICH REQUIRES THE
TAXPAYER TO REPORT TAXABLE INCOME THOUGH NO CASH CONSTRUCTIVE RECEIPT OF INCOME
IS ACTUALLY RECEIVED.
1. INTEREST CREDITED TO A BANK SAVINGS DEPOSIT;
2. MATURED BOND INTEREST COUPONS WHICH HAVE NOT
BEEN REDEEMED;
404082 - INSTANCES WHEN CONSTRUCTIVE RECEIPT OF
3. SALARY AVAILABLE TO AN EMPLOYEE WHO DOES NOT
INCOME OCCURS (4 ITEMS)
ACCEPT PAYMENT;
4. SHARE OF PARTNERS IN THE PROFITS OF GENERAL
PROFESSIONAL PARTNERSHIP
404083 - IS AN ACCOUNTING METHOD IN WHICH THE
TAXPAYER REPORTS A PERCENTAGE OF GROSS INCOME
FROM A LONG-TERM CONTRACT BASED ON THE PORTION OF PERCENTAGE OF COMPLETION METHOD
WORK THAT HAS BEEN COMPLETED (METHOD USED FOR
TAXATION PURPOSES).
404084 - IS AN ACCOUNTING METHOD IN WHICH THE INCOME
FROM CONTRACT IS REPORTED IN THE TAXABLE YEAR IN
COMPLETED CONTRACT METHOD
WHICH SUCH CONTRACT IS COMPLETED (NOT USED FOR
TAXATION PURPOSES).
404085 - IS AN ACCOUNTING METHOD IN WHICH GROSS
INCOME IS REPORTED PARTIALLY IN EACH TAXABLE YEAR IN
INSTALLMENT METHOD
PROPORTION TO COLLECTIONS MADE IN SUCH PERIOD AS IT
BEARS TO THE TOTAL CONTRACT PRICE.
404086 - REQUIRED OR NOT REQUIRED TO FILE INCOME TAX
RETURNS: EMPLOYEES DERIVING PURELY COMPENSATION
INCOME FROM 2 OR MORE EMPLOYERS, CONCURRENTLY OR REQUIRED
SUCCESSIVELY ANYTIME DURING THE TAXABLE YEAR
(RESIDENT CITIZEN)
404087 - REQUIRED OR NOT REQUIRED TO FILE INCOME TAX
RETURNS: EMPLOYEES DERIVING PURELY COMPENSATION
INCOME REGARDLESS OF THE AMOUNT, WHETHER FROM A
SINGLE OR SEVERAL EMPLOYERS DURING THE CALENDAR REQUIRED
YEAR, THE INCOME TAX OF WHICH HAS NOT BEEN
WITHHELD CORRECTLY RESULTING TO COLLECTIBLE OR
REFUNDABLE RETURN (RESIDENT CITIZEN)
404088 - REQUIRED OR NOT REQUIRED TO FILE INCOME TAX
RETURNS: SELF-EMPLOYED INDIVIDUALS RECEIVING
REQUIRED
INCOME FROM THE CONDUCT OF TRADE OR BUSINESS
AND/OR PRACTICE OF PROFESSION (RESIDENT CITIZEN)
404089 - REQUIRED OR NOT REQUIRED TO FILE INCOME TAX
RETURNS: INDIVIDUALS DERIVING MIXED INCOME, I.E.,
COMPENSATION INCOME AND INCOME FROM THE CONDUCT REQUIRED
OF TRADE OR BUSINESS AND/OR PRACTICE OF PROFESSION
(RESIDENT CITIZEN)
404090 - REQUIRED OR NOT REQUIRED TO FILE INCOME TAX
RETURNS: INDIVIDUALS DERIVING OTHER NON-BUSINESS,
NON-PROFESSIONAL RELATED INCOME IN ADDITION TO REQUIRED
COMPENSATION INCOME NOT OTHERWISE SUBJECT TO A
FINAL TAX (RESIDENT CITIZEN)
404091 - REQUIRED OR NOT REQUIRED TO FILE INCOME TAX
RETURNS: INDIVIDUALS RECEIVING PURELY COMPENSATION
INCOME FROM A SINGLE EMPLOYER ALTHOUGH THE
REQUIRED
INCOME OF WHICH HAS BEEN CORRECTLY WITHHELD, BUT
WHOSE SPOUSE IS NOT ENTITLED TO SUBSTITUTED FILING
(RESIDENT CITIZEN)
404092 - REQUIRED OR NOT REQUIRED TO FILE INCOME TAX
REQUIRED
RETURNS: MARGINAL INCOME EARNERS (RESIDENT CITIZEN)
404093 - REQUIRED OR NOT REQUIRED TO FILE INCOME TAX
RETURNS: NON-RESIDENT CITIZENS RECEIVING INCOME REQUIRED
FROM SOURCES WITHIN THE PHILIPPINES
404094 - REQUIRED OR NOT REQUIRED TO FILE INCOME TAX
RETURNS: ALIENS, WHETHER RESIDENT OR NOT, RECEIVING REQUIRED
INCOME FROM SOURCES WITHIN THE PHILIPPINES
404095 - REQUIRED OR NOT REQUIRED TO FILE INCOME TAX
RETURNS: DOMESTIC CORPORATIONS RECEIVING INCOME REQUIRED
FROM SOURCES WITHIN AND OUTSIDE THE PHILIPPINES
404096 - REQUIRED OR NOT REQUIRED TO FILE INCOME TAX
RETURNS: FOREIGN CORPORATIONS RECEIVING INCOME REQUIRED
FROM SOURCES WITHIN THE PHILIPPINES
404097 - REQUIRED OR NOT REQUIRED TO FILE INCOME TAX
REQUIRED
RETURNS: TAXABLE PARTNERSHIPS
404098 - REQUIRED OR NOT REQUIRED TO FILE INCOME TAX
RETURNS: ESTATES AND TRUSTS ENGAGED IN TRADE OR REQUIRED
BUSINESS
404099 - REQUIRED OR NOT REQUIRED TO FILE INCOME TAX
NOT REQUIRED
RETURNS: AN INDIVIDUAL WHO IS A MINIMUM WAGE EARNER
404100 - REQUIRED OR NOT REQUIRED TO FILE INCOME TAX
RETURNS: AN INDIVIDUAL WHO IS EARNING PURELY
NOT REQUIRED
COMPENSATION INCOME WHOSE TAXBLE INCOME DOES
NOT EXCEED P250,000.
404101 - REQUIRED OR NOT REQUIRED TO FILE INCOME TAX
RETURNS: AN INDIVIDUAL WHOSE SOLE INCOME HAS BEEN
NOT REQUIRED
SUBJECTED TO FINAL WITHHOLDING TAX SUCH AS
INTEREST, PRIZES, WINNINGS, ROYALTIES AND DIVIDENDS
404102 - REQUIRED OR NOT REQUIRED TO FILE INCOME TAX
RETURNS: NON-RESIDENT ALIENS NOT ENGAGED IN TRADE NOT REQUIRED
OR BUSINESS ON THEIR COMPENSATION INCOME
404103 - IS THE MANNER BY WHICH DECLARATION OF
SUBSTITUED FILING
INCOME OF INDIVIDUALS RECEIVING PURELY
(NOT MANDATORY; EMPLOYEE MAY STILL FILE ITR AT
COMPENSATION INCOME THE TAXES OF WHICH HAVE BEEN
HIS/HER OPTION)
WITHHELD CORRECTLY BY THEIR EMPLOYERS.
 EMPLOYEES WHO SATISFY ALL OF THE FOLLOWING
CONDITIONS:
1. RECEIVING PURELY COMPENSATION INCOME
REGARDLESS OF AMOUNT;
2. WORKING FOR ONLY 1 EMPLOYER IN THE PHILIPPINES
FOR THE CALENDAR YEAR;
404104 - PERSONS QUALIFIED TO AVAIL OF THE 3. TAX HAS BEEN WITHHELD CORRECTLY BY THE EMPLOYER
SUBSTITUTED FILING OF ITR (6 ITEMS) (TAX DUE EQUALS TAX WITHHELD);
4. THE EMPLOYEE'S SPOUSE ALSO COMPLIES WITH ALL 3
CONDITIONS STATED ABOVE;
5. THE EMPLOYER FILES THE ANNUAL INFORMATION
RETURN; AND
6. THE EMPLOYER ISSUES BIR FORM NO. 2326 TO EACH
EMPLOYEE.
IF THEY ARE STILL REQUIRED TO FILE RETURNS, ONLY ONE
RETURN FOR THE TAXABLE YEAR SHALL BE FILED WHICH
404105 - RULE ON FILING OF RETURNS BY HUSBAND AND
SHALL BE SIGNED BY THE HUSBAND AND WIFE UNLESS
WIFE
PHYSICALLY IMPOSSIBLE TO DO SO, IN WHICH CASE
SIGNATURE OF ONE OF THE SPOUSES WOULD SUFFICE.
404106 - TREATMENT FOR UNIDENTIFIABLE INCOME OF
IT SHALL BE DIVIDED EQUALLY BETWEEN THE SPOUSES.
HUSBAND AND WIFE
GR: SUCH INCOME SHALL BE INCLUDED IN THE TAX RETURN
OF PARENT.
404107 - RULES ON THE INCLUSION OF INCOME OF
XPNS:
UNMARRIED MINORS DERIVED FROM PROPERTY RECEIVED
1. DONOR'S TAX HAS BEEN PAID; OR
FROM LIVING PARENT IN THE TAX RETURN OF PARENT
2. THE TRANSFER OF SUCH PROPERTY IS EXEMPT FROM
DONOR'S TAX.
THE RETURN MAY BE MADE BY A DULY AUTHORIZED AGENT
404108 - CONSIDERATION GIVEN TO DISABLE PERSONS AS
OR REPRESENTATIVE, BY GUARDIAN OR OTHER PERSON
REGARDS THE FILING OF THEIR INCOME TAX RETURNS
CHARGED WITH THE CARE OF HIS PERSON OR PROPERTY.
404109 - TIME OF FILING OF INCOME TAX RETURN FOR
ON OR BEFORE THE 15TH DAY OF APRIL
INDIVIDUALS EARNING PURELY COMPENSATION INCOME
404110 - TIME OF FILING OF INCOME TAX RETURN FOR
DECLARE AN ESTIMATED INCOME ON OR BEFORE APRIL 15
INDIVIDUALS EARNING SELF-EMPLOYMENT INCOME
OF THE SAME TAXABLE YEAR
(INCLUDING MIXED INCOME)
CORPORATIONS SHALL FILE A TRUE AND ACCURATE
404111 - TIME OF FILING OF INCOME TAX RETURN FOR
QUARTERLY INCOME TAX RETURN (Q1 - Q3) ON A
CORPORATIONS
CUMULATIVE BASIS AND A FINAL RETURN.
WITH AN AUTHORIZED AGENT BANK, REVENUE DISTRICT
404112 - PLACE OF FILING OF INCOME TAX RETURN: IN OFFICER OF THE CITY OR MUNICIPALITY IN WHICH THE
GENERAL TAXPAYER HAS A LEGAL RESIDENCE OR PLACE OF
EMPLOYMENT/BUSINESS IS LOCATED.
THE RETURN SHALL BE FILED DIRECTLY WITH THE
404113 - PLACE OF FILING OF INCOME TAX RETURN: IF THE COLLECTION OFFICER OR AUTHORIZED MUNICIPAL
PLACE HAS NO ACCREDITED BANKS TREASURER WHERE THE TAXPAYERS' RESIDENCE OR
PLACE OF EMPLOYMENT/BUSINESS IS LOCATED.
404114 - PLACE OF FILING OF INCOME TAX RETURN: IF AT
THE RETURN SHALL BE FILED WITH THE OFFICE OF THE
THE TIME OF FILING, THE TAXPAYER HAS NO LEGAL
COMMISSIONER OF INTERNAL REVENUE
RESIDENCE IN THE PHILIPPINES
UPON FILING OF THE INCOME TAX RETURN (PAY-AS-YOU-
404115 - DATE OF PAYMENT OF INCOME TAX
FILE SYSTEM)
404116 - IS THE PROCESS OF ELECTRONICALLY FILING
RETURNS INCLUDING ATTACHMENTS, IF ANY, SPECIFICALLY E-FILING
THROUGH THE INTERNET.
404117 - IS THE PROCESS OF ELECTRONICALLY PAYING A
TAX LIABILITY THROUGH THE INTERNET BANKING FACILITIES E-PAYMENT
OF AUTHORIZED AGENT BANK.
404118 - IS A TAXPAYER WHO HAS BEEN CLASSIFIED AND
FULY NOTIFIED BY THE COMMISSIONER OF INTERNAL
LARGE TAXPAYER
REVENUE (CIR) FOR HAVING SATISFIED ANY OR A
COMBINATION OF THE CRITERIA SET BY THE BIR.
 ANY TAXPAYER WITH ANNUAL PAYMENT OR PAYABLE OF AT
LEAST P1,000,000 OF ANY THE FOLLOWING TAXES:
404119 - CRITERIA FOR CLASSIFICATION AS LARGE 1. EXCISE TAX
TAXPAYER: ANNUAL PAYMENTS BASIS (AT LEAST P1,000,000) 2. INCOME TAX
3. WITHHOLDING TAX
4. DOCUMENTARY STAMP TAX
ANY TAXPAYER WITH QUARTERLY PAYMENT OR PAYABLE OF
404120 - CRITERIA FOR CLASSIFICATION AS LARGE
AT LEAST P1,000,000 OF ANY THE FOLLOWING TAXES:
TAXPAYER: QUARTERLY PAYMENTS BASIS (AT LEAST P100,
1. VALUE-ADDED TAX
000)
2. PERCENTAGE TAX
ANY TAXPAYER WITH:
1. GROSS SALES OF AT LEAST P1,000,000,000 PER YEAR;
404121 - CRITERIA FOR CLASSIFICATION AS LARGE
AND/OR
TAXPAYER: AS TO FINANCIAL CONDITION (2 ITEMS)
2. NET WORTH OF AT LEAST P300,000,000 AT THE CLOSE OF
EACH CALENDAR/FISCAL YEAR
404122 - TAXPAYERS ARE GENERALLY REQUIRED TO
REGISTER WITHIN __________ FROM DATE OF EMPLOYMENT,
OR ON OR BEFORE THE COMMENCEMENT OF BUSINESS, OR
10 DAYS
BEFORE THE PAYMENT OF ANY TAX DUE, OR UPON THE
FILING OF A RETURN, STATEMENT OR DECLARATION AS
REQUIRED UNDER THE CODE.
ALL BOOKS OF ACCOUNTS AND OTHER ACCOUNTING
RECORDS SHALL BE PRESERVED FOR A PERIOD OF 10
YEARS FROM THE DAY FOLLOWING THE DEADLINE FOR
404123 - PRESCRIPTIVE PERIOD OF BOOKS OR OTHER
FILING OF THE RETURN OR IF FILED AFTER THE DEADLINE,
ACCOUNTING RECORDS
FROM THE DATE AFTER THE FILING OF THE RETURN FOR
THE TAXABLE YEAR WHEN THE LAST ENTRY WAS MADE IN
THE BOOKS OF ACCOUNTS.
 RFBT - OBLIGATIONS (501001 - STILL UNFINISHED)
501001 - IS A JURIDICAL NECESSITY TO GIVE, TO DO OR NOT
OBLIGATION
TO DO.
501002 - MEANS THAT THE COURT MAY BE ASKED TO ORDER
THE PERFORMANCE OF AN OBLIGATION IF THE DEBTOR JURIDICAL NECESSITY
REFUSES TO PERFORM IT.
1. CREDITOR / OBLIGEE / ACTIVE SUBJECT
2. DEBTOR / OBLIGOR / PASSIVE SUBJECT
501003 - REQUISITES OF AN OBLIGATION (4 ITEMS) 3. PRESTATION / OBJECT
4. EFFICIENT CAUSE / VINCULUM JURIS / LEGAL OR
JURIDICAL TIE
501004 - IS THE PARTY WHO HAS THE RIGHT TO DEMAND
CREDITOR, OBLIGEE OR ACTIVE SUBJECT
PERFORMANCE OF THE OBLIGATION.
501005 - IS THE PARTY WHO IS OBLIGED TO PERFORM THE
DEBTOR, OBLIGOR OR PASSIVE SUBJECT
OBLIGATION.
501006 - IS THE SUBJECT MATTER OF THE OBLIGATION. PRESTATION OR OBJECT
PRESTATION TO GIVE (REAL OBLIGATION), TO DO
501007 - POSSIBLE PRESTATIONS OF AN OBLIGATION (3
(PERSONAL OBLIGATION) OR NOT TO DO (PERSONAL
ITEMS)
OBLIGATION)
501008 - IS THE LEGAL FACTOR WHICH BIND THE PARTIES TO
EFFICIENT CAUSE / VINCULUM JURIS / LEGAL OR JURIDICAL
AN OBLIGATION. IT ALSO REFERS TO ANY OF THE FIVE
TIE
SOURCES OF OBLIGATION.
501009 - IS BASED ON POSITIVE LAW; HENCE IT IS
CIVIL OBLIGATION
ENFORCEABLE BY COURT ACTION.
501010 - IS BASED ON NATURAL LAW; HENCE IT IS NOT
NATURAL OBLIGATION
ENFORCEABLE BY COURT ACTION.
501011 - RULE IF THE DEBTOR VOLUNTARILY PERFORMS A THE DEBTOR CAN NO LONGER RECOVER WHAT HE HAS
NATURAL OBLIGATION GIVEN.
1. LAW
2. CONTRACTS
501012 - SOURCES OF OBLIGATION (5 ITEMS) 3. QUASI-CONTRACTS
4. DELICTS
5. QUASI DELICTS
501013 - A RULE OF CONDUCT, JUST AND OBLIGATORY, LAID
DOWN BY LEGITIMATE AUTHORITY FOR COMMON LAW
OBSERVANCE AND BENEFIT.
PARA MASABING MAY OBLIGATION GALING SA LAW, DAPAT
501014 - EXPLAIN: OBLIGATIONS ARISING FROM LAW ARE NAKASAAD ITO SA ISANG SPECIFIC PROVISION NG BATAS.
NOT PRESUMED HINDI PWEDENG MAG-PE-PRESUME KA LANG NA MAY
GANON SA BATAS.
501015 - IS A MEETING OF MINDS BETWEEN TWO PERSONS
WHEREBY ONE BINDS HIMSELF, WITH RESPECT TO THE
CONTRACTS
OTHER, TO GIVE SOMETHING OR TO RENDER SOME
SERVICE.
DAPAT SUNDIN NG PARTIES KUNG ANO MAN ANG NAKASAAD
SA CONTRACT (PARANG BATAS), PERO HINDI IBIG SABIHIN
501016 - EXPLAIN: OBLIGATIONS ARISING FROM CONTRACTS
NA ABOVE THE LAW ANG CONTRACTS. KUNG MAY CONFLICT
HAVE THE FORCE OF LAW BETWEEN THE CONTRACTING
BETWEEN THE CONTRACT AND LAW, THE LAW SHALL
PARTIES AND SHOULD BE COMPLIED WITH IN GOOD FAITH.
PREVAIL. KAILANGAN DIN NG PARTIES MAG EXERCISE NG
INTEGRITY SA PAG-COMPLY SA OBLIGATION (GOOD FAITH).
501017 - REFER TO CERTAIN LAWFUL, VOLUNTARY AND
UNILATERAL ACTS GIVING RISE TO A JURIDICAL RELATION
QUASI-CONTRACTS
TO THE END THAT NO ONE SHALL BE UNJUSTLY ENRICHED
AT THE EXPENSE OF ANOTHER.
1. NEGOTIORUM GESTIO
601018 - KINDS OF QUASI CONTRACTS (3 ITEMS) 2. SOLUTIO INDEBITI
3. OTHER QUASI-CONTRACTS
601019 - REFERS TO THE VOLUNTARY ADMINISTRATION OF
THE PROPERTY, BUSINESS OR AFFAIRS OF ANOTHER NEGOTIORUM GESTIO
WITHOUT HIS CONSENT OR AUTHORITY.
601020 - IS THE OFFICIOUS MANAGER OF ANOTHER'S
GESTOR
AFFAIRS IN NEGOTIORUM GESTIO
GENERALLY IT SHALL BE SOLIDARY UNLESS THE
601021 - THE NATURE OF RESPONSIBILITY OF TWO OR MORE MANAGEMENT WAS ASSUMED TO SAVE THE THING OR
OFFICIOUS MANAGERS IN NEGOTIORUM GESTIO BUSINESS FROM IMMINENT DANGER WHICH WILL MAKE
THEIR LIABILITY JOINT ONLY.
1. IF HE UNDERTAKES RISKY OPERATIONS WHICH THE
OWNER WAS NOT ACCUSTOMED TO EMBARK UPON;
601022 - INSTANCES WHERE THE OFFICIOUS MANAGER 2. IF HE PREFERRED HIS OWN INTEREST TO THAT OF THE
SHALL BE HELD LIABLE FOR ANY FOURTUITOUS EVENT (4 OWNER;
ITEMS) 3. IF HE FAILS TO RETURN THE PROPERTY OR BUSINESS
AFTER DEMAND BY THE OWNER; AND
4. IF HE ASSUMED THE MANAGEMENT IN BAD FAITH
1. WHEN THE PROPERTY OR BUSINESS IS NOT NEGLECTED
601023 - INSTANCES WHERE NEGOTIORUM GESTIO WILL NOT OR ABANDONED; AND
ARISE (2 ITEMS) 2. IF IN FACT THE MANAGER HAS BEEN TACITLY AUTHORIZED
BY THE OWNER.
601024 - REFERS TO PAYMENT BY MISTAKE OF AN
SOLUTIO INDEBITI
OBLIGATION WHICH WAS NOT DUE WHEN PAID.
601025 - NATURE OF RESPONSIBILITY OR LIABILITY OF TWO
OR MORE PAYEES WHEN THER HAS BEEN PAYMENT OF SOLIDARY
WHAT IS NOT DUE
601026 - A PERSON WHO ACCEPTS AN UNDUE PAYMENT OF
HE RECEIVES THE UNDUE PAYMENT IN BAD FAITH
A SUM OF MONEY WILL BE LIABLE FOR INTEREST WHEN...
601027 - A PERSON IN GOOD FAITH ACCEPTING AN UNDUE
PAYMENT OF A THING CERTAIN OR DETERMINATE WILL BE
IN SO FAR AS HE HAS THEREBY BEEN BENEFITED.
RESPONSIBLE FOR THE LOSS OF THE SAME OR ITS
ACCESSORIES AND ACCESSIONS…
601028 - IS A SOURCE OF OBLIGATION THAT REFERS TO ANY
DELICT, CRIME OR FELONY
ACT OR OMISSION PUNISHABLE BY LAW.
1. RESTITUTION
601029 - AS A GENERAL RULE: SCOPE OF CIVIL LIABILITY OF
2. REPARATION
AN OFFENDER UPON COMMISSION OF A CRIME (3 ITEMS)
3. INDEMNIFICATION
1. AN IMBECILE OR INSANE PERSON
2. A PERSON UNDER 18 OF AGE
601030 - PERSONS WHO WILL NOT BE IMPRISONED BUT WILL 3. ANY PERSON WHO ACTS UNDER THE COMPULSION OF AN
BE LIABLE FOR CIVIL DAMAGES FOR THEIR ACTS (4 ITEMS) IRRESISTIBLE FORCE
4. ANY PERSON WHO ACTS UNDER THE IMPULSE OF AN
UNCONTROLLABLE FEAR OF AN EQUAL OR GREATER INJURY
ANY PERSON WHO ACTS UNDER SELF-DEFENSE OR IN THE
601031 - PERSON WHO WILL NOT BE LIABLE EITHER PERFORMANCE OF HIS OFFICIAL DUTY SUFFERING FROM
CRIMINALLY OR CIVILLY FOR HIS ACTS BATTERED WOMAN SYNDROME WHO KILLED OR INJURED
HIS BATTERER.
601032 - DEGREE OF EVIDENCE THAT MUST BE PROVED BY
THE PROSECUTION FOR THE ACCUSED TO BE CRIMINALLY PROOF BEYOND REASONABLE DOUBT
LIABLE
601033 - DEGREE OF EVIDENCE THAT MUST BE PROVED BY
THE PLAINTIFF IN ORDER TO RECOVER CIVIL DAMAGES PREPONDERANCE OF EVIDENCE
BASED ON CONTRACT OR QUASI-DELICT
601034 - ARE ACTS OR OMISSIONS THAT CAUSE DAMAGE TO
ANOTHER, THERE BEING FAULT OR NEGLIGENCE BUT
QUASI-DELICTS, TORTS OR CULPA AQUILIANA
WITHOUT ANY PRE-EXISTING CONTRACTUAL RELATION
BETWEEN THE PARTIES.
601035 - THE RIGHT VIOLATED BY A __________ IS A PUBLIC
RIGHT, WHILE THE RIGHT VIOLATED BY A __________ IS A CRIME; QUASI-DELICT
PRIVATE RIGHT
601036 - EVERY ___________ GIVE RISE TO LIABILITY FOR
DAMAGES TO THE INJURED PARTY BUT THERE ARE QUASI-DELICT; CRIMES
__________ FROM WHICH NO CIVIL LIABILITY ARISES.
601037 - LIABILITY FROM __________ CAN NEVER BE
COMPROMISED EXCEPT IN __________ BUT LIABILITY FROM CRIMES; CRIMINAL NEGLIGENCE; QUASI-DELICT
__________ CAN BE COMPROMISED.
601038 - IN ORDER TO PROVE CRIME, __________ IS
PROOF BEYOND REASONABLE DOUBT; ONLY
REQUIRED BUT IN ORDER TO PROVE NEGLIGENCE IN QUASI-
PREPONDERANCE OF EVIDENCE
DELICT, __________ IS NEEDED.
601039 - IN CASE OF TORT, THE PLAINTIFF OR INJURED
WHEN THE PLAINTIFF'S OWN NEGLIGENCE WAS THE
PARTY WILL BE BARRED OR PRECLUDED FROM
IMMEDIATE AND PROXIMATE CAUSE OF HIS INJURY.
RECOVERING DAMAGES…
601040 - THE __________ AND, IN CASE OF HIS DEATH OR
INCAPACITY, THE MOTHER, ARE RESPONSIBLE FOR THE
FATHER
DAMAGES CAUSED BY MINOR CHILDREN WHO LIVE IN THEIR
COMPANY.
601041 - __________ ARE LIABLE FOR DAMAGES CAUSED BY
THE MINORS OR INCAPACITATED PERSONS WHO ARE GUARDIANS
UNDER THEIR AUTHORITY AND LIVE IN THEIR COMPANY.
601042 - THE __________ OF AN ESTABLISHMENT OR
ENTERPRISE ARE LIKEWISE RESPONSIBLE FOR DAMAGES
CAUSED BY THEIR EMPLOYEES IN THE SERVICE OF THE OWNERS AND MANAGERS
BRANCHES IN WHICH THE LATTER ARE EMPLOYED OR ON
THE OCCASION OF THEIR FUNCTIONS.
601043 - __________ SHALL BE LIABLE FOR THE DAMAGES
CAUSED BY THEIR EMPLOYEES AND HOUSEHOLD HELPERS
ACTING WITHIN THE SCOPE OF THEIR ASSIGNED TASKS, EMPLOYERS
EVEN THOUGH THE FORMER ARE NOT ENGAGED IN ANY
BUSINESS OR INDUSTRY.
601044 - __________ OR HEADS OF ESTABLISHMENTS OF
ARTS AND TRADES SHALL BE LIABLE FOR DAMAGES CAUSED
TEACHERS
BY THEIR PUPILS AND STUDENTS OR APPRENTICES WHO
ARE WITHIN THEIR CUSTODY.
601045 - NATURE OF LIABILITY OF TWO OR MORE PERSONS
SOLIDARY
WHO ARE LIABLE FOR QUASI-DELICT OR TORT
601046 - A THING IS __________ WHEN IT IS PARTICULARLY
DESIGNATED OR PHYSICALLY SEGREGATED FROM ALL DETERMINATE
OTHERS OF THE SAME CLASS.
601047 - A THING IS __________ WHEN IT ONLY INDICATED BY
ITS KIND, WITHOUT BEING DESIGNATED OR DISTINGUISHED
FROM OTHERS OF THE SAME KIND.
1. TO EXERCISE THE PROPER DEGREE OF DILIGENCE
2. TO DELIVER THE THING
601048 - OBLIGATIONS OF ONE OBLIGED TO GIVE A
3. TO DELIVER THE FRUITS OF THE THING
DETERMINATE THING (4 ITEMS)
4. TO DELIVER THE ACCESSIONS AND ACCESSORIES OF THE
THING
IN ORDER OF PRIORITY
601049 - RULE ON THE DEGREE OF DILIGENCE TO BE 1. WHAT IS MANDATED BY LAW
APPLIED IN THE PERFORMANCE OF AN OBLIGATION 2. WHAT IS STIPULATED BY THE PARTIES
3. DILIGENCE OF A GOOD FATHER OF A FAMILY
1. NATURAL FRUITS
601050 - KINDS OF FRUITS (3 ITEMS) 2. INDUSTRIAL FRUITS
3. CIVIL FRUITS
601051 - ARE THE SPONTANEOUS PRODUCTS OF THE SOIL
NATURAL FRUITS
AND THE YOUNG AND OTHER PRODUCTS OF ANIMALS.
601052 - REFER TO THOSE PRODUCED BY LAND OF ANY KIND
INDUSTRIAL FRUITS
THROUGH CULTIVATION OR LABOR.
601053 - REFER TO FRUITS WHICH ARE THE RESULT OF A
JURIDICAL RELATION SUCH AS THE RENT OF A BUILDING,
CIVIL FRUITS
PRICE OF LEASE OF LAND AND OTHER PROPERTY AND THE
AMOUNT OF PERPETUAL OR LIFE ANNUITIES.
AT THE TIME THE OBLIGATION TO DELIVER THE PRINCIPAL
601054 - THE POINT AT WHICH THE CREDITOR GAINS THE
THING ARISES (PERSONAL RIGHT UNTIL DELIVERY OF THE
RIGHT TO THE FRUITS OF A DETERMINATE THING
SAME WHICH GIVES RISE TO REAL RIGHT)
1. PURE OBLIGATION - PERFECTION
601055 - WHEN OBLIGATION TO DELIVER THE THING ARISES 2. UPON THE FULFILLMENT OF SUSPENSIVE PERIOD OR
CONDITION IF ANY
601056 - IS THE POWER BELONGING TO A PERSON OVER A
SPECIFIC THING, WITHOUT A PASSIVE SUBJECT
REAL RIGHT
INDIVIDUALLY DETERMINED, AGAINST WHOM SUCH RIGHT
MAY BE PERSONALLY EXERCISED.
601057 - IS THE POWER BELONGING TO ONE PERSON TO
DEMAND OF ANOTHER, AS A DEFINITE PASSIVE SUBJECT,
PERSONAL RIGHT
THE FULFILLMENT OF A PRESTATION TO GIVE, TO DO OR
NOT TO DO.
601058 - INCLUDE EVERYTHING THAT IS PRODUCED BY A
THING OR IS INCORPORATED OR ATTACHED THERETO, ACCESSIONS
EITHER NATURALLY OR PHYSICALLY.
601059 - ARE THOSE JOINED TO OR INCLUDED WITH THE
PRINCIPAL THING FOR THE LATTER'S BETTER USE, ACCESSORIES
PERFECTION OR ENJOYMENT.
601060 - RULE ON THE INCLUSION OF ACCESSIONS AND THEY ARE INCLUDED UNLESS THE PARTIES STIPULATED
ACCESSORIES IN THE OBLIGATION OTHERWISE.
601061 - REMEDIES OF THE CREDITOR IF THE DEBTOR FAILS
1. SPECIFIC PERFORMANCE
TO PERFORM HIS OBLIGATION TO DELIVER A DETERMINATE
2. DAMAGES
THING (2 ITEMS)
601062 - REMEDIES OF THE CREDITOR IF THE DEBTOR FAILS 1. TO ASK THAT THE OBLIGATION BE COMPLIED WITH AT THE
TO PERFORM HIS OBLIGATION TO DELIVER A GENERIC EXPENSE OF THE DEBTOR; AND
THING (2 ITEMS) 2. DAMAGES
601063 - REMEDIES OF THE CREDITOR IF THE DEBTOR FAILS
1. TO HAVE THE OBLIGATION EXECUTED AT THE EXPENSE
TO PERFORM HIS OBLIGATION IN OBLIGATIONS TO DO OR
OF THE DEBTOR; AND
PERFORMS IT BUT CONTRAVENES TO THE TENOR THEREOF
2. DAMAGES
(2 ITEMS)
1. TO HAVE THE PERFORMANCE BE UNDONE AT THE
601064 - REMEDIES OF THE CREDITOR IF THE DEBTOR
DEBTOR'S EXPENSE; AND
PERFORMS THE OBLIGATION BUT DOES IT POORLY (2 ITEMS)
2. DAMAGES
601065 - REFERS TO BEING FORCED THROUGH COERCION
INVOLUNTARY SERVITUDE
TO WORK FOR ANOTHER.
601066 - REMEDY OF THE OFFENDED PARTY IN CASE A
PUBLIC OFFICIAL WHO HAS MINISTERIAL DUTY TO PERFORM
SPECIAL CIVIL ACTION FOR MANDAMUS
A PARTICULAR OBLIGATION OR PUBLIC DUTY UNDER THE
LAW FAILS TO DO SUCH OBLIGATION.
1. TO DEMAND THAT WHAT HAS BEEN DONE BE UNDONE;
601067 - REMEDIES OF THE CREDITOR IF THE DEBTOR DOES
AND
WHAT HAS BEEN FORBIDDEN HIM (2 ITEMS)
2. DAMAGES
1. FRAUD
601068 - GROUNDS FOR LIABILITY TO PAY DAMAGES (4 2. NEGLIGENCE
ITEMS) 3. DELAY
4. CONTRAVENTION OF THE TENOR O THE OBLIGATION
601069 - REFER TO HARM DONE AND THE SUM OF MONEY
THAT MAY BE RECOVERED IN REPARATION FOR THE HARM DAMAGES
DONE.
1. MORAL
2. EXEMPLARY
3. NOMINAL
601070 - KINDS OF DAMAGES (6 ITEMS)
4. TEMPERATE
5. ACTUAL
6. LIQUIDATED
601071 - REFER TO THE PECUNIARY LOSS (SUCH AS LOSS IN
ACTUAL DAMAGES OR COMPENSATORY DAMAGES
BUSINESS OR PROFESSION) THAT MAY BE RECOVERED.
601072 - INCLUDE PHYSICAL SUFFERING, MENTAL ANGUISH,
FRIGHT, SERIOUS ANXIETY, BESMIRCHED REPUTATION,
MORAL DAMAGES
WOUNDED FEELINGS, MORAL SHOCK, SOCIAL HUMILIATION
AND SIMILAR INJURY.
601073 - REFER TO DAMAGES TO EXERCISE A RIGHT. NOMINAL DAMAGES
601074 - MAY BE RECOVERED IF THE COURT FINDS THAT
SOME PECUNIARY LOSS HAS BEEN SUFFERED BUT ITS
TEMPERATE OR MODERATE DAMAGES
AMOUNT CANNOT, FROM THE NATURE OF THE CASE, BE
PROVED WITH CERTAINTY.
601075 - ARE THOSE AGREED UPON BY THE PARTIES TO A
LIQUIDATED DAMAGES
CONTRACT, TO BE PAID IN CASE OF BREACH.
601076 - ARE IMPOSED BY WAY OF EXAMPLE OR
CORRECTION FOR PUBLIC GOOD, IN ADDITION TO OTHER EXEMPLARY OR CORRECTIVE DAMAGES
KINDS OF DAMAGES.
601077 - IS THE DELIBERATE OR INTENTIONAL EVASION BY
THE DEBTOR OF THE NORMAL COMPLIANCE OF HIS FRAUD OR DOLO
OBLIGATION.
1. CAUSAL FRAUD OR DOLO CAUSANTE
601078 - KINDS OF FRAUD ACCORDING TO MEANING (3
2. INCIDENTAL FRAUD OR DOLO INCIDENTE
ITEMS)
3. FRAUD IN THE PERFORMANCE OF THE OBLIGATION
601079 - REFERS TO FRAUD WITHOUT WHICH CONSENT
CAUSAL FRAUD OR DOLO CAUSANTE
WOULD NOT HAVE BEEN GIVEN.
 601080 - REFERS TO FRAUD WITHOUT WHICH CONSENT
WOULD HAVE STILL BEEN GIVEN BUT THE PERSON GIVING IT INCIDENTAL FRAUD
WOULD HAVE AGREED ON DIFFERENT TERMS.
601081 - EFFECT OF CAUSAL FRAUD TO THE CONTRACT
CAUSAL FRAUD RENDERS THE CONTRACT VOIDABLE.
GIVING RISE TO AN OBLIGATION
601082 - EFFECT OF INCIDENTAL FRAUD TO THE CONTRACT THE CONTRACT IS VALID BUT THE PARTY EMPLOYING IT
GIVING RISE TO AN OBLIGATION SHALL BE LIABLE FOR DAMAGES.
601083 - KINDS OF FRAUD ACCORDING TO TIME OF 1. FUTURE FRAUD
COMMISSION (2 ITEMS) 2. PAST FRAUD
601084 - A WAIVER OF AN ACTION FOR THIS KIND OF FRAUD
CANNOT BE MADE. ANY AGREEMENT FOR ITS WAIVER IS FUTURE FRAUD
VOID.
601085 - A WAIVER OF AN ACTION FOR THIS KIND OF FRAUD
PAST FRAUD (PAGPAPATAWAD ON THE PART OF THE
MAY BE MADE, SINCE THE COMMISSION OF FRAUD CAN NO
CREDITOR)
LONGER BE ENCOURAGED.
601086 - IS THE OMISSION OF THAT DILIGENCE WHICH IS
REQUIRED BY THE NATURE OF THE OBLIGATION AND
NEGLIGENCE OR CULPA
CORRESPONDS WITH THE ENCUMBRANCES OF THE
PERSON, OF THE TIME AND OF THE PLACE.
1. CULPA CONTRACTUAL OR CONTRACTUAL NEGLIGENCE
2. CULPA AQUILIANA OR CIVIL NEGLIGENCE (ALSO TORT OR
601087 - KINDS OF NEGLIGENCE (3 ITEMS)
QUASI-DELICT)
3. CULPA CRIMINAL OR CRIMINAL NEGLIGENCE
601088 - IS NEGLIGENCE IN THE PERFORMANCE OF A
CULPA CONTRACTUAL (DRIVER OF BUS AND PASSENGER)
CONTRACT.
601089 - IS NEGLIGENCE THAT RESULTS IN THE COMMISSION CULPA CRIMINAL (RECKLESS IMPRUDENCE RESULTING IN
OF A CRIME. PHYSICAL INJURIES)
601090 - IS THE NON-FULFILLMENT OF AN OBLIGATION WITH
DELAY, DEFAULT OR MORA
RESPECT TO TIME.
1. MORA SOLVENDI
601091 - KINDS OF DELAY (3 ITEMS) 2. MORA ACCIPIENDI
3. COMPENSATIO MORAE
601092 - IS THE DELAY ON THE PART OF THE DEBTOR. MORA SOLVENDI
601093 - IS THE DELAY ON THE PART OF THE DEBTOR IN
MORA SOLVENDI EX RE
REAL OBLIGATIONS.
601094 - IS THE DELAY ON THE PART OF THE DEBTOR IN
MORA SOLVENDI EX PERSONA
PERSONAL OBLIGATIONS
601095 - IS THE DELAY ON THE PART OF THE CREDITOR MORA ACCIPIENDI
601096 - IS THE DELAY IN RECIPROCAL OBLIGATIONS WHERE
COMPENSATIO MORAE
BOTH PARTIES ARE IN DEFAULT.
LEGAL DELAY BEGINS AT THE TIME THE CREDITOR
601097 - GENERAL RULE ON THE TIME AT WHICH THE JUDICIALLY OR EXTRA-JUDICIALLY DEMANDS FULFILLMENT
DEBTOR INCURS IN DELAY OF THE OBLIGATION BUT THE DEBTOR FAILS TO COMPLY
WITH SUCH DEMAND.
1. WHEN THE LAW SO PROVIDES
2. WHEN THE OBLIGATION EXPRESSLY SO DECLARES
601098 - EXCEPTIONS WHERE DELAY WOULD EXIST EVEN
3. WHEN TIME IS OF THE ESSENCE OF THE CONTRACT
WITHOUT DEMAND (5 ITEMS)
4. WHEN DEMAND WOULD BE USELESS
5. IN RECIPROCAL OBLIGATIONS
1. THE OBLIGATIONS ARISE OUT OF THE SAME CAUSE AND
601099 - REQUISITES FOR DELAY TO EXIST IN RECIPROCAL
MUST BE FULFILLED AT THE SAME TIME
OBLIGATIONS EVEN WITHOUT DEMAND (2 ITEMS)
2. ONE OF THE PARTIES FULFILLS HIS OBLIGATION
1. THE DEBTOR SHALL BE LIABLE FOR DAMAGES.
601100 - EFFECTS OF DELAY ON THE PART OF THE DEBTOR
2. THE DEBTOR SHALL BE LIABLE FOR ANY FORTUITOUS
(2 ITEMS)
EVENT (OBLIGATIONS TO DELIVER A DETERMINATE THING).
1. THE CREDITOR SHALL BEAR THE RISK OF LOSS AND
601101 - EFFECTS OF DELAY ON THE PART OF THE EXPENSES FOR THE PRESERVATION OF THE THING.
CREDITOR (2 ITEMS) 2. THE DEBTOR MAY RESORT TO THE CONSIGNATION OF
THE THING DUE.
601102 - ARE THOSE EVENTS THAT COULD NOT BE
FORESEEN, OR WHICH THOUGH FORESEEN, ARE FORTUITOUS EVENTS
INEVITABLE.
1. WHEN THE LAW EXPRESSLY PROVIDES FOR LIABILITY
EVEN IN CASE OF FORTUITOUS EVENTS.
601103 - EXCEPTIONS WHERE A PERSON WILL BE LIABLE 2. WHEN THE PARTIES HAVE DECLARED LIABILITY EVEN IN
EVEN FOR FORTUITOUS EVENTS (3 ITEMS) CASE OF FORTUITOUS EVENT.
3. WHEN THE NATURE OF THE OBLIGATION REQUIRES THE
ASSUMPTION OF RISK.
1. CONCLUSIVE PRESUMPTION
601104 - KINDS OF PRESUMPTIONS (2 ITEMS)
2. REBUTTABLE (DISPUTABLE) PRESUMPTION
601105 - PRESUMPTION ON THE RECEIPT OF PRINCIPAL THIS SHALL GIVE RISE TO THE (REBUTTABLE) PRESUMPTION
WITHOUT RESERVATION AS TO INTEREST THAT THE INTEREST HAS BEEN PAID.
601106 - PRESUMPTION ON THE RECEIPT OF LATER
THIS SHALL GIVE RISE TO THE (REBUTTABLE) PRESUMPTION
INSTALLMENT WITHOUT RESERVATION AS TO PRIOR
THAT THE PRIOR INSTALLMENTS HAVE BEEN PAID.
INSTALLMENTS
1. PURSUE THE PROPERTY IN THE POSSESSION OF THE
601107 - REMEDIES OF THE CREDITOR TO ENFORCE DEBTOR (EXCEPT THOSE EXEMPT BY LAW)
PAYMENT OF HIS CLAIMS AGAINST DEBTOR (3 ITEMS) 2. ACCION SUBROGATORIA
3. ACCION PAULIANA
601108 - IS THE EXERCISE OF ALL THE RIGHTS ANG
BRINGING OF ALL THE ACTIONS OF THE DEBTOR EXCEPT ACCION SUBROGATORIA
THOSE PERSONAL TO HIM.
601109 - MEANS TO IMPUGN THE ACTS WHICH THE DEBTOR
ACCIO PAULIANA
MAY HAVE DONE TO DEFRAUD HIS CREDITORS.
601110 - EXCEPTIONS TO THE RULE THAT ALL RIGHTS 1. IF THE LAW PROHIBITS THE TRANSMISSION OF THE RIGHT
ACQUIRED IN VIRTUE OF AN OBLIGATION ARE 2. IF THE PARTIES AGREED AGAINST TRANSMISSION
TRANSMISSIBLE (3 ITEMS) 3. IF THE RIGHT IS BY ITS NATURE NOT TRANSMISSIBLE
601111 - IS AN OBLIGATION WITHOUT A TERM OR CONDITION
PURE OBLIGATION
AND IS DEMANDABLE AT ONCE.
601112 - IS AN OBLIGATION WHOSE DEMANDABILITY OR
EXTINGUISHMENT DEPENDS UPON THE HAPPENING OF A CONDITIONAL OBLIGATION
CONDITION.
601113 - IS AN UNCERTAIN EVENT WHICH WIELDS AN
CONDITION
INFLUENCE ON A LEGAL RELATIONSHIP.
601114 - KINDS OF CONDITIONS ACCORDING TO EFFECT ON 1. SUSPENSIVE CONDITION
THE DEMANDABILITY OF OBLIGATION (2 ITEMS) 2. RESOLUTORY CONDITION
601115 - IS A CONDITION THE HAPPENING OF WHICH WILL
SUSPENSIVE CONDITION
GIVE RISE TO THE DEMANDABILITY OF THE OBLIGATION.
601116 - IS A CONDITION THE HAPPENING OF WHICH
RESOLUTORY CONDITION
EXTINGUISHES THE OBLIGATION
601117 - KINDS OF CONDITIONS ACCORDING TO THE 1. POTESTATIVE CONDITION
PERSON OR EVENT TO WHICH SUCH CONDITION DEPENDS (3 2. CASUAL CONDITION
ITEMS) 3. MIXED CONDITION
601118 - IS A CONDITION THAT DEPENDS UPON THE WILL OF
POTESTATIVE
ONE OF THE CONTRACTING PARTIES.
601119 - EFFECT OF A SUSPENSIVE CONDITION IF IT IS
THE OBLIGATION IS VOID.
POTESTATIVE ON THE PART OF THE DEBTOR
601120 - EFFECT OF RESOLUTORY CONDITION IF IT IS
THE OBLIGATION IS VALID.
POTESTATIVE ON THE PART OF THE CREDITOR
601121 - EFFECT OF CONDITION IF IT IS POTESTATIVE ON THE OBLIGATION IS VALID WHETHER THE CONDITION IS
THE PART OF THE CREDITOR. SUSPENSIVE OR RESOLUTORY.
601122 - IS A CONDITION THAT DEPENDS UPON CHANCE OR
CASUAL CONDITION
UPON THE WILL OF A THIRD PERSON.
601123 - IS A CONDITION THAT DEPENDS PARTLY UPON THE
WILL OF ONE OF THE PARTIES AND PARTLY UPON CHANCE MIXED CONDITION
OR THE WILL OF A THIRD PERSON.
601124 - KINDS OF CONDITION ACCORDING TO POSSIBILITY 1. POSSIBLE CONDITION
OF OCCURRENCE (2 ITEMS) 2. IMPOSSIBLE CONDITION
601125 - IS A CONDITION THAT IS CAPABLE OF FULFILLMENT
POSSIBLE CONDITION
IN ITS NATURE AND BY LAW.
601126 - IS A CONDITION THAT IS NOT CAPABLE OF
FULFILLMENT IN ITS NATURE OR DUE TO OPERATION OF IMPOSSIBLE CONDITION.
LAW.
601127 - KINDS OF CONDITIONS ACCORDING TO 1. POSITIVE CONDITION
REQUIREMENT FOR AN EVENT TO HAPPEN OR NOT (2 ITEMS) 2. NEGATIVE CONDITION
601128 - IS A CONDITION THAT SOME EVENT SHOULD
POSITIVE CONDITION
HAPPEN AT A DETERMINATE TIME.
AS SOON AS THE TIME EXPIRES WITHOUT THE EVENT
601129 - EXTINGUISHMENT OF AN OBLIGATION SUBJECT TO
HAPPENING OR IT HAS BECOME INDUBITABLE THAT THE
A POSITIVE CONDITION
EVENT WILL NOT HAPPEN.
601130 - IS A CONDITION THAT SOME EVENT SHOULD NOT
NEGATIVE CONDITION
HAPPEN AT A DETERMINATE TIME.
601131 - EFFECTIVENESS OF AN OBLIGATION SUBJECT TO A AS SOON AS THE TIME INDICATED HAS ELAPSED OR IT HAS
NEGATIVE CONDITION CONDITION BECOME EVIDENT THAT THE EVENT WILL NOT OCCUR.
1. DIVISIBLE CONDITION
601132 - KINDS OF CONDITIONS AS TO DIVISIBILITY (2 ITEMS)
2. INDIVISIBLE CONDITION
601133 - IS A CONDITION THAT IS CAPABLE OF PARTIAL
DIVISIBLE CONDITION
PERFORMANCE.
601134 - IS A CONDITION THAT IS NOT CAPABLE OF PARTIAL
PERFORMANCE BY ITS NATURE OR BY LAW OR AGREEMENT INDIVISIBLE CONDITION
OF THE PARTIES.
601135 - EXCEPTIONS TO THE RULE THAT THE EFFECT OF 1. RECIPROCAL OBLIGATIONS (FRUITS AND INTERESTS
THE FULFILLMENT OF A SUSPENSIVE CONDITION SHALL BE DEEMED TO HAVE BEEN MUTUALLY
RETROACTS (WITH RESPECT TO THE FRUITS AND COMPENSATED)
INTERESTS) TO THE DAY OF THE CONSTITUTION OF THE 2. UNILATERAL OBLIGATIONS (THE DEBTOR KEEPS THE
OBLIGATION (2 ITEMS) FRUITS AND INTERESTS RECEIVED)
601136 - EFFECT WHEN THE DEBTOR VOLUNTARILY
THE CONDITION IS DEEMED FULFILLED.
PREVENTS THE FULFILLMENT OF THE CONDITION
601137 - RULE IN CASE LOSS OF THE DETERMINATE THING
WHICH IS THE OBJECT OF THE OBLIGATION - WITHOUT OBLIGATION IS EXTINGUISHED
DEBTOR'S FAULT
601138 - RULE IN CASE LOSS OF THE DETERMINATE THING
WHICH IS THE OBJECT OF THE OBLIGATION - WITH DEBTOR'S DEBTOR IS OBLIGED TO PAY DAMAGES.
FAULT
601139 - A THING IS CONSIDERED __________ WHEN IT
PERISHES, OR GOES OUT OF COMMERCE OR DISAPPEARS IN
LOST
SUCH A WAY THAT ITS EXISTENCE IS UNKNOWN OR IT
CANNOT BE RECOVERED.
601140 - RULE IN CASE OF DETERIATION OF THE
DETERMINATE THING WHICH IS THE OBJECT OF AN THE IMPAIRMENT SHALL BE BORNE BY THE CREDITOR.
OBLIGATION - WITHOUT DEBTOR'S FAULT
601141 - RULE IN CASE OF DETERIATION OF THE THE CREDITOR MAY CHOOSE BETWEEN:
DETERMINATE THING WHICH IS THE OBJECT OF AN 1. RESCISSION, PLUS DAMAGES; AND
OBLIGATION - WITH DEBTOR'S FAULT 2. FULFILLMENT, PLUS DAMAGE
601142 - RULE IN CASE OF IMPROVEMENT OF THE
THE IMPROVEMENT SHALL INURE TO THE BENEFIT OF THE
DETERMINATE THING WHICH IS THE OBJECT OF AN
CREDITOR.
OBLIGATION - BY NATURE OR BY TIME
601143 - RULE IN CASE OF IMPROVEMENT OF THE
THE DEBTOR WILL HAVE THE RIGHTS GRANTED TO A
DETERMINATE THING WHICH IS THE OBJECT OF AN
USUFRUCTUARY.
OBLIGATION - AT THE EXPENSE OF THE DEBTOR
601144 - IS THE RIGHT TO ENJOY THE USE AND ADVANTAGES
OF ANOTHER PERSON'S PROPERTY SHORT OF USUFRUCT
DESTRUCTION OR WASTE OF ITS SUBSTANCE.
601145 - ARE OBLIGATIONS WHICH ARISE FROM THE SAME
CAUSE AND IN WHICH EACH PARTY IS A DEBTOR AND A
CREDITOR OF EACH OTHER, SUCH THAT THE OBLIGATION RECIPROCAL OBLIGATIONS
OF ONE IS DEPENDENT UPON THE OBLIGATION OF THE
OTHER.
1. RESCISSION WITH DAMAGES; OR
2. FULFILLMENT OF THE OBLIGATION WITH DAMAGES
601146 - REMEDIES OF THE INJURED PARTY IN RECIPROCAL
(ONLY ONE, NOT BOTH; EXCEPT WHEN FULFILLMENT WAS
OBLIGATION (2 ITEMS)
CHOSE BUT LATER, THE OBLIGATION BECOMES
IMPOSSIBLE.)
601147 - IS AN OBLIGATION WHOSE DEMANDABILITY OR
EXTINGUISHMENT DEPENDS UPON THE HAPPENING OF A OBLIGATION WITH A PERIOD
PERIOD.
601148 - IS A SPACE OF TIME WHICH DETERMINES THE
PERIOD
EFFECTIVITY OR EXTINGUISHMENT OF AN OBLIGATION.
601149 - IS A POINT IN TIME THAT WHICH MUST
NECESSARILY COME ALTHOUGH IT MAY NOT BE KNOWN DAY CERTAIN
WHEN.
601150 - CONDITION OR PERIOD: IS AN EVENT THAT MAY OR
CONDITION
MAY NOT HAPPEN.
601151 - CONDITION OR PERIOD: IS AN EVENT THAT MUST
NECESSARILY COME, AT A DATE KNOWN BEFOREHAND, OR PERIOD
AT A TIME THAT CANNOT BE DETERMINED.
601152 - CONDITION OR PERIOD: MAY REFER TO THE
CONDITION
FUTURE OR TO A PAST EVENT UNKNOWN TO THE PARTIES.
601153 - CONDITION OR PERIOD: ALWAYS REFERS TO THE
PERIOD
FUTURE.
601154 - CONDITION OR PERIOD: CAUSES AN OBLIGATION TO
CONDITION
ARISE OR TO CEASE.
601155 - CONDITION OR PERIOD: MERELY FIXES THE TIME
PERIOD
FOR THE EFFICACIOUSNESS OF AN OBLIGATION
601156 - CONDITION OR PERIOD: ONE THAT DEPENDS UPON
THE WILL OF THE DEBTOR AUTHORIZES THE COURT TO FIX PERIOD
ITS DURATION.
601157 - CONDITION OR PERIOD: ONE THAT DEPENDS UPON
THE WILL OF THE DEBTOR WHICH IS SUSPENSIVE SHALL CONDITION
ANNUL THE OBLIGATION.
601158 - IS A PERIOD WITH A SUSPENSIVE EFFECT. EX DIE
601159 - IS A PERIOD WITH A RESOLUTORY EFFECT. IN DIEM
601160 - IS A PERIOD FIXED BY LAW. LEGAL PERIOD
601161 - IS A PERIOD FIXED BY THE PARTIES. VOLUNTARY PERIOD.
601162 - IS A PERIOD FIXED BY THE COURT. JUDICIAL PERIOD.
1. IF THE OBLIGATION DOES NOT FIX A PERIOD, BUT FROM
ITS NATURE AND CIRCUMSTANCES IT CAN BE INFERRED
601163 - INSTANCES WHEN THE COURT MAY FIX THE PERIOD
THAT A PERIOD WAS INTENDED.
(2 ITEMS)
2. WHEN THE DURATION OF THE PERIOD DEPENDS UPON
THE WILL OF THE DEBTOR.
IT SHALL BE PRESUMED TO HAVE BEEN ESTABLISHED FOR
601164 - PRESUMPTION AS TO WHO HAS THE BENEFIT OF
THE BENEFIT OF BOTH THE CREDITOR AND THE DEBTOR
THE PERIOD
UNLESS OTHERWISE INTENDED.
KUNG MAY INTEREST ANG OBLIGATION, HINDI PWEDENG
601165 - EXPLAIN: THE PERIOD IS FOR THE BENEFIT OF BOTH MAGBAYAD NG MAAGA SI DEBTOR (BENEFIT OF CREDITOR).
THE DEBTOR AND THE CREDITOR. HINDI RIN NAMAN PWEDENG MAAGANG SINGILIN NI
CREDITOR SI DEBTOR (BENEFIT OF THE DEBTOR).
1. INSOLVENCY OF THE DEBTOR
2. FAILURE OF THE DEBTOR TO FURNISH PROMISED
601166 - INSTANCES WHEN THE DEBTOR LOSES HIS RIGHT GUARANTIES OR SECURITIES
TO MAKE USE OF THE PERIOD IF IT IS FOR HIS BENEFIT (5 3. IMPAIRMENT OF THE SAID GUARANTIES OR SECURITIES
ITEMS) 4. VIOLATION OF ANY UNDERTAKING IN CONSIDERATION THE
CREDITOR AGREED TO THE PERIOD
5. WHEN THE DEBTOR ATTEMPTS TO ABSCOND
601167 - THE DEBTOR MAY STILL MAKE USE OF THE PERIOD,
HE GIVES A GUARANTY OR SECURITY FOR THE DEBT.
IN CASE HE BECOMES INSOLVENT IF
601168 - THE DEBTOR MAY STILL MAKE USE OF THE PERIOD
IN CASE THE GUARANTIES OR SECURITIES HAVE BEEN
THE DEBTOR GIVES NEW ONES EQUALLY SATISFACTORY.
IMPAIRED (THROUGH DEBTOR'S FAULT OR FORTUITOUS
EVENT) IF
601169 - KINDS OF OBLIGATIONS ACCORDING TO THE 1. SIMPLE OBLIGATION
NUMBER OF PRESTATIONS (2 ITEMS) 2. COMPOUND OBLIGATION
601170 - IS AN OBLIGATION WHERE THERE IS ONLY ONE
SIMPLE OBLIGATION
PRESTATION.
601171 - IS AN OBLIGATION WHERE THERE ARE SEVERAL
COMPOUND OBLIGATION
PRESTATIONS
1. CONJUNCTIVE OBLIGATION
601172 - KINDS OF COMPOUND OBLIGATIONS (2 ITEMS)
2. DISJUNCTIVE OR DISTRIBUTIVE OBLIGATION
601173 - IS A COMPOUND OBLIGATION WHERE SEVERAL
CONJUNCTIVE OBLIGATION
PRESTATIONS ARE DUE AND ALL MUST BE PERFORMED.
601174 - IS A COMPOUND OBLIGATION WHICH MAY BE
DISJUNCTIVE OR DISTRIBUTIVE OBLIGATION
ALTERNATIVE OR FACULTATIVE.
601175 - IS AN OBLIGATION WHERE SEVERAL PRESTATIONS
ARE DUE BUT THE COMPLETE PERFORMANCE OF ONE OF ALTERNATIVE OBLIGATION
THEM IS SUFFICIENT TO EXTINGUISH THE OBLIGATION.
 601176 - IN ALTERNATIVE OBLIGATIONS, THE RIGHT OF
CHOICE BELONGS TO THE __________, UNLESS IT HAS BEEN DEBTOR; CREDITOR
EXPRESSLY GIVEN TO THE _________.
1. THE DEBTOR CANNOT COMPEL THE CREDITOR TO
RECEIVE PART OF ONE AND PART OF ANOTHER
601177 - LIMITATIONS ON DEBTOR'S RIGHT TO CHOOSE IN UNDERTAKING.
ALTERNATIVE OBLIGATIONS (2 ITEMS) 2. THE DEBTOR CANNOT CHOOSE THE PRESTATIONS WHICH
ARE IMPOSSIBLE, UNLAWFUL OR WHICH COULD NOT HAVE
BEEN THE OBJECT OF THE OBLIGATION.
1. WHEN THE DEBTOR (OR CREDITOR IF RIGHT TO CHOOSE
601178 - INSTANCES WHEN OBLIGATION CEASES TO BE HAS BEEN GIVEN TO HIM) HAS COMMUNICATED HIS CHOICE
ALTERNATIVE AND BECOMES A SIMPLE OBLIGATION (2 TO THE CREDITOR (DEBTOR).
ITEMS) 2. WHEN AMONG THE PRESTATIONS WHEREBY THE DEBTOR
IS ALTERNATIVELY BOUND, ONLY ONE IS PRACTICABLE.
601179 - IN ALTERNATIVE OBLIGATIONS WHERE THE RIGHT
OF CHOICE IS WITH THE DEBTOR, RULE IF ONLY ONE OR THE DEBTOR MAY DELIVER ANY OF THE REMAINDER, OR
SOME ARE LOST THROUGH A FORTUITOUS EVENT OR THAT WHICH REMAINS IF ONLY ONE SUBSISTS.
THROUGH THE DEBTOR'S FAULT
601180 - IN ALTERNATIVE OBLIGATIONS WHERE THE RIGHT
OF CHOICE IS WITH THE DEBTOR, RULE IF ALL PRESTATIONS THE OBLIGATION IS EXTINGUISHED.
ARE LOST THROUGH A FORTUITOUS EVENT
601181 - IN ALTERNATIVE OBLIGATIONS WHERE THE RIGHT
THE DEBTOR SHALL PAY THE VALUE OF THE LAST THING
OF CHOICE IS WITH THE DEBTOR, RULE IF ALL PRESTATIONS
THAT WAS LOST PLUS DAMAGES.
ARE LOST THROUGH DEBTOR'S FAULT
601182 - IN ALTERNATIVE OBLIGATIONS WHERE THE RIGHT
OF CHOICE IS WITH THE DEBTOR, RULE IF ALL PRESTATIONS
EXCEPT ONE ARE LOST THROUGH DEBTOR'S FAULT AND THE DEBTOR'S OBLIGATION IS EXTINGUISHED.
THE REMAINING ITEM IS SUBSEQUENTLY LOST THROUGH A
FORTUITOUS EVENT
601183 - IN ALTERNATIVE OBLIGATIONS WHERE THE RIGHT
OF CHOICE IS WITH THE DEBTOR, RULE IF ALL PRESTATIONS
EXCEPT ONE ARE LOST THROUGH A FORTUITOUS EVENT, THE DEBTOR SHALL PAY DAMAGES.
AND THE REMAINING ITEM IS SUBSEQUENTLY LOST
THROUGH DEBTOR'S FAULT
601184 - IN ALTERNATIVE OBLIGATIONS WHERE THE RIGHT
THE DEBTOR SHALL DELIVER THAT WHICH THE CREDITOR
OF CHOICE IS EXPRESSLY GRANTED TO THE CREDITOR,
SHOULD CHOOSE AMONG THE REMAINDER, OR THAT WHICH
RULE IF ONLY ONE OR SOME OF THE PRESTATIONS ARE
REMAINS IF ONLY ONE SUBSISTS.
LOST THROUGH A FORTUITOUS EVENT
601185 - IN ALTERNATIVE OBLIGATIONS WHERE THE RIGHT
OF CHOICE IS EXPRESSLY GRANTED TO THE CREDITOR,
THE OBLIGATION SHALL BE EXTINGUISHED.
RULE IF ALL PRESTATIONS ARE LOST THROUGH A
FORTUITOUS EVENT
601186 - IN ALTERNATIVE OBLIGATIONS WHERE THE RIGHT
THE CREDITOR MAY CLAIM ANY OF THOSE SUBSISTING, OR
OF CHOICE IS EXPRESSLY GRANTED TO THE CREDITOR,
THE PRICE OF ANY OF THOSE WHICH WERE LOST THROUGH
RULE IF ONLY ONE OR SOME OF THE PRESTATIONS ARE
THE DEBTOR'S FAULT PLUS DAMAGES.
LOST THROUGH DEBTOR'S FAULT
601187 - IN ALTERNATIVE OBLIGATIONS WHERE THE RIGHT
OF CHOICE IS EXPRESSLY GRANTED TO THE CREDITOR, THE CREDITOR MAY CLAIM THE PRICE OF ANY OF THE
RULE IF ALL PRESTATIONS ARE LOST THROUGH DEBTOR'S PRESTATIONS PLUS DAMAGES.
FAULT
601188 - IS AN OBLIGATION WHERE ONLY ONE PRESTATION
IS DUE BUT THE DEBTOR MAY RENDER ANOTHER IN FACULTATIVE OBLIGATION
SUBSTITUTION.
601189 - IN FACULTATIVE OBLIGATIONS, RULE IF THE
PRINCIPAL THING IS LOST DUE TO A FORTUITOUS EVENT THE OBLIGATION IS EXTINGUISHED.
BEFORE SUBSTITUTION
601190 - IN FACULTATIVE OBLIGATIONS, RULE IF THE
PRINCIPAL THING IS LOST DUE TO THE DEBTOR'S FAULT THE DEBTOR SHALL PAY DAMAGES.
BEFORE SUBSTITUTION
601191 - IN FACULTATIVE OBLIGATIONS, RULE IF THE
THE DEBTOR STILL HAS THE OBLIGATION TO DELIVER THE
SUBSTITUTE THING IS LOST DUE TO A FORTUITOUS EVENT
PRINCIPAL THING.
BEFORE SUBSTITUTION
601192 - IN FACULTATIVE OBLIGATIONS, RULE IF THE
THE DEBTOR STILL HAS THE OBLIGATION TO DELIVER THE
SUBSTITUTE THING IS LOST DUE TO THE DEBTOR'S FAULT
PRINCIPAL THING.
BEFORE SUBSTITUTION
601193 - IN FACULTATIVE OBLIGATIONS, RULE IF THE
THE DEBTOR STILL HAS THE OBLIGATION TO DELIVER THE
PRINCIPAL THING IS LOST THROUGH A FORTUITOUS EVENT
SUBSTITUTE THING.
AFTER SUBSTITUTION
601194 - IN FACULTATIVE OBLIGATIONS, RULE IF THE
THE DEBTOR STILL HAS THE OBLIGATION TO DELIVER THE
PRINCIPAL THING IS LOST THROUGH THE DEBTOR'S FAULT
SUBSTITUTE THING.
AFTER SUBSTITUTION
601195 - IN FACULTATIVE OBLIGATIONS, RULE IF THE
SUBSTITUTE THING IS LOST DUE TO A FORTUITOUS EVENT THE OBLIGATION IS EXTINGUISHED.
AFTER SUBSTITUTION
601196 - IN FACULTATIVE OBLIGATIONS, RULE IF THE
SUBSTITUTE THING IS LOST DUE TO THE DEBTOR'S FAULT THE DEBTOR SHALL PAY DAMAGES.
AFTER SUBSTITUTION
601197 - ALTERNATIVE OR FACULTATIVE: IF THERE ARE VOID
PRESTATIONS, THE OTHERS MAY STILL BE VALID, HENCE ALTERNATIVE OBLIGATION
THE OBLIGATION REMAINS.
601198 - ALTERNATIVE OR FACULTATIVE: IF THE PRINCIPAL
OBLIGATION IS VOID, THE DEBTOR IS NOT REQUIRED TO FACULTATIVE OBLIGATION
GIVE THE SUBSTITUTE.
601199 - ALTERNATIVE OR FACULTATIVE: THE RIGHT OF
CHOICE IS WITH THE DEBTOR, UNLESS EXPRESSLY GIVEN ALTERNATIVE OBLIGATION
TO THE CREDITOR.
601200 - ALTERNATIVE OR FACULTATIVE: THE RIGHT OF
FACULTATIVE OBLIGATION
CHOICE BELONGS TO THE DEBTOR ONLY.
601201 - IN A __________, EACH DEBTOR IS LIABLE ONLY FOR
A PROPORTIONATE PART OF THE DEBT, AND/OR EACH
JOINT OBLIGATION
CREDITOR IS ENTITLED ONLY TO A PROPORTIONATE PART
OF THE DEBT.
601202 - IN A _________, EACH DEBTOR IS LIABLE FOR THE
WHOLE OBLIGATION, AND/OR EACH CREDITOR IS ENTITLED SOLIDARY OBLIGATION
TO DEMAND PAYMENT OF THE WHOLE OBLIGATION.
1. PASSIVE SOLIDARITY
601203 - KINDS OF SOLIDARY OBLIGATION (3 ITEMS) 2. ACTIVE SOLIDARITY
3. MIXED SOLIDARITY
601204 - IS SOLIDARITY ON THE PART OF THE DEBTORS. PASSIVE SOLIDARITY
601205 - IS SOLIDARITY ON THE PART OF THE CREDITORS. ACTIVE SOLIDARITY
601206 - IS SOLIDARITY ON THE PART OF BOTH DEBTORS
MIXED SOLIDARITY
AND CREDITORS.
601207 - JOINT OR SOLIDARY: "JOINTLY AND SEVERALLY" SOLIDARY OBLIGATION
601208 - JOINT OR SOLIDARY: "PROPORTIONATELY" JOINT OBLIGATION
601209 - JOINT OR SOLIDARY: "INDIVIDUALLY AND
SOLIDARY OBLIGATION
COLLECTIVELY"
601210 - JOINT OR SOLIDARY: "PRO RATA" JOINT OBLIGATION
601211 - JOINT OR SOLIDARY: "IN SOLIDUM" SOLIDARY OBLIGATION
601212 - JOINT OR SOLIDARY: "MANCOMUNADA" JOINT OBLIGATION
601213 - JOINT OR SOLIDARY: "MANCOMUNADA SOLIDARIA" SOLIDARY OBLIGATION
601214 - JOINT OR SOLIDARY: "MANCOMUNADA SIMPLE" JOINT OBLIGATION
601215 - JOINT OR SOLIDARY: "JUNTOS O SEPARADAMENTE" SOLIDARY OBLIGATION
601216 - AS A GENERAL RULE, THE OBLIGATION IS
PRESUMED TO BE _________ WHEN THERE IS A
JOINT
CONCURRENCE OF TWO OR MORE DEBTORS AND/OR TWO
OR MORE CREDITORS IN ONE AND THE SAME OBLIGATION.
1. WHEN THE OBLIGATION EXPRESSLY STATES
601217 - INSTANCES WHERE SOLIDARY LIABILITY EXISTS (3 2. WHEN THE LAW REQUIRES SOLIDARITY
ITEMS) 3. WHEN THE NATURE OF THE OBLIGATION REQUIRES
SOLIDARITY
THE OBLIGATION WILL BE EXTINGUISHED. THE CREDITOR
601218 - EFFECT OF RENUNCIATION OR REMISSION OF THE WHO MADE THE REMISSION SHALL BE LIABLE TO THE OTHER
WHOLE OBLIGATION BY ONLY ONE OF THE SOLIDARY CREDITOR(S). IF APPLICABLE, THE SOLIDARY DEBTOR WHO
CREDITORS OBTAINED THE REMISSION MAY NOT DEMAND
REIMBURSEMENT FROM THE OTHER DEBTOR(S).
IF THE ASSIGNMENT IS WITHOUT THE CONSENT OF THE CO-
CREDITORS, THE ASSIGNMENT IS NOT VALID THEN.
601219 - EFFECT OF UNAUTHORIZED ASSIGNMENT OF ACCORDINGLY, THEY CAN RECOVER THEIR RESPECTIVE
CREDITOR'S RIGHT SHARES FROM THE ASSIGNING CREDITOR IN CASE THE
ASSIGNEE WHO COLLECTED THE DEBT FAILS TO GIVE THEM
THEIR SHARES.
601220 - IS AN OBLIGATION WHERE THE DEBTORS OR
CREDITORS ARE JOINTLY BOUND BUT THE PRESTATION OR JOINT INDIVISIBLE OBLIGATION
OBJECT IS INDIVISIBLE.
601221 - THE __________ OF AN OBLIGATION REFERS TO THE
SUBJECT MATTER OR OBJECT NOT BEING SUSCEPTIBLE OF
PARTIAL PERFORMANCE. __________, ON THE OTHER HAND,
INDIVISIBILITY; SOLIDARITY
REFERS TO THE TIE BETWEEN THE PARTIES. ONE
THEREFORE, DOES NOT IMPLY, OR GIVE RISE, TO THE
OTHER.
601222 - IS AN OBLIGATION CAPABLE OF PARTIAL
PERFORMANCE (SUCH AS THE OBLIGATION TO DELIVER (10 DIVISIBLE OBLIGATION
SACKS OF RICE).
1. WHEN THE OBLIGATION HAS FOR TITS OBJECT THE
EXECUTION OF A CERTAIN NUMBER OF DAYS OF WORK
2. WHEN THE OBLIGATION HAS FOR ITS OBJECT THE
601223 - OBLIGATIONS DEEMED TO BE DIVISIBLE (3 ITEMS)
ACCOMPLISHMENT OF WORK BY METRICAL UNITS
3. ANALOGOUS THINGS WHICH BY THEIR NATURE ARE
SUSCEPTIBLE OF PARTIAL PERFORMANCE
601224 - IS AN OBLIGATION NOT CAPABLE OF PARTIAL
INDIVISIBLE OBLIGATION
PERFORMANCE.
1. OBLIGATIONS TO GIVE DEFINITE THINGS
2. THOSE NOT SUSCEPTIBLE OF PARTIAL PERFORMANCE
(SINGING ONE SONG IN A PROGRAM)
3. THOSE WHERE THE OBJECT OR SERVICE IS PHYSICALLY
601225 - OBLIGATIONS DEEMED TO BE INDIVISIBLE (4 ITEMS)
DIVISIBLE BUT IT IS INDIVISIBLE BY PROVISION OF LAW
4. THOSE WHERE THE OBJECT OR SERVICE IS PHYSICALLY
DIVISIBLE BUT IT IS INDIVISIBLE BY THE INTENTION OF THE
PARTIES
601226 - IS AN OBLIGATION WHICH PROVIDES FOR A
GREATER LIABILITY ON THE PART OF THE DEBTOR IN CASE OBLIGATION WITH A PENAL CLAUSE
OF NON-COMPLIANCE.
601227 - IS GENERALLY UNDERTAKEN TO INSURE
PERFORMANCE AND WORKS AS EITHER, OR BOTH, PENAL CLAUSE
PUNISHMENT AND REPARATION.
601228 - KINDS OF PENAL CLAUSES ACCORDING TO THE 1. LEGAL
BODY IMPOSING IT 2. CONVENTION
601229 - IS A KIND OF PENAL CLAUSE IMPOSED BY LAW. LEGAL PENAL CLAUSE
601230 - IS A KIND OF PENAL CLAUSE IMPOSED BY THE
CONVENTIONAL PENAL CLAUSE
AGREEMENT OF THE PARTIES.
601231 - KINDS OF PENAL CLAUSES ACCORDING TO 1. SUBSIDIARY
ENFORCEMENT (2 ITEMS) 2. JOINT
601232 - IS A KIND OF PENAL CLAUSE WHERE ONLY THE
SUBSIDIARY PENAL CLAUSE
PENALTY MAY BE ENFORCED.
601233 - IS A KIND OF PENAL CLUASE WHERE BOTH THE
JOINT PENAL CLAUSE
OBLIGATION AND THE PENALTY MAY BE ENFORCED.
1. WHEN THERE IS A STIPULATION TO THAT EFFECT
601234 - AS A GENERAL RULE, THE PENALTY TAKES THE
2. WHEN THE DEBTOR REFUSES TO PAY THE PENALTY
PLACE OF THE DAMAGES AND INTEREST IN CASE OF NON-
3. WHEN THE DEBTOR IS GUILTY OF FRAUD IN THE
COMPLIANCE. EXCEPTIONS TO THE RULE (3 ITEMS)
PERFORMANCE OF THE OBLIGATION
1. WHEN THE OBLIGATION HAS BEEN PARTLY COMPLIED
WITH BY THE DEBTOR;
601235 - INSTANCES WHEN THE COURT MAY REDUCE THE 2. WHEN THE OBLIGATION HAS BEEN IRREGULARLY
PENALTY (3 ITEMS) COMPLIED WITH BY THE DEBTOR;
3. WHEN THE PENALTY IS INIQUITOUS OR UNCONSCIONABLE
EVEN IF THERE HAS BEEN NO PERFORMANCE
1. THE NULLITY OF THE PRINCIPAL OBLIGATION CARRIES
601236 - EFFECT OF NULLITY OF PRINCIPAL OBLIGATION OR WITH IT THE NULLITY OF THE PENAL CLAUSE.
PENAL CLAUSE 2. THE NULLITY OF THE PENAL CLAUSE DOES NOT CARRY
WITH IT THE NULLITY OF THE PRINCIPAL OBLIGATION.
1. PAYMENT OR PERFORMANCE
2. LOSS OF THE THING DUE
3. CONDONATION OR REMISSION OF THE DEBT
4. CONFUSION OR MERGER OF RIGHTS OF CREDITOR AND
DEBTOR
601237 - CAUSES OF EXTINGUISHEMENT OF OBLIGATIONS 5. COMPENSATION
(11 ITEMS) 6. NOVATION
7. ANNULMENT
8. RESCISSION
9. FULFILLMENT OF RESOLUTORY CONDITION
10. PRESCRIPTION
11. OTHER CAUSES
601238 - MEANS NOT ONLY THE DELIVERY OF MONEY BUT
ALSO THE PERFORMANCE, IN ANY OTHER MANNER, OF AN PAYMENT
OBLIGATION.
601239 - IS THE MONEY OR CURRENCY WHICH THE DEBTOR
MAY COMPEL HIS CREDITOR TO ACCEPT IN PAYMENT OF HIS LEGAL TENDER
DEBTS (WHETHER PUBLIC OR PRIVATE).
1. P1,000.00 FOR DENOMINATIONS OF 1-PISO, 5-PISO AND 10-
PISO COINS;
601240 - ITEMS CONSIDERED LEGAL TENDER IN THE
2. P100.00 FOR DENOMINATIONS OF 1-SENTIMO, 5-SENTIMO,
PHILIPPINES (3 ITEMS)
10-SENTIMO AND 25-SENTIMO COINS;
3. ALL BILLS ARE LEGAL TENDER UP TO ANY AMOUNT
601241 - IS THE INCREASE IN THE CURRENCY IN
CIRCULATION, OR A MARKED EXPANSION OF CREDIT,
INFLATION
RESULTING IN A FALL IN CURRENCY VALUE, AND A SHARP
RISE ON PRICES.
601242 - IS THE SHARP SUDDEN DECREASE OF MONEY OR
CREDIT OR BOTH WITHOUT A CORRESPONDING DECREASE DEFLATION
IN BUSINESS TRANSACTIONS.
601243 - IN CASE AN EXTRAORDINARY INFLATION OR
DEFLATION OF THE CURRENCY SHOULD SUPERVENE, THE
A = (B / C) * B
VALUE OF THE CURRENCY AT THE TIME OF THE
WHERE:
ESTABLISHMENT OF THE OBLIGATION SHALL BE THE BASIS
A = AMOUNT TO BE PAID AT MATURITY
OF PAYMENT, UNLESS THERE IS AN AGREEMENT TO THE
B = AMOUNT OF THE OBLIGATION
CONTRARY. FORMULA FOR DETERMINING THE AMOUNT OF
C = VALUE ON THE DATE OF MATURITY
PAYMENT IN CASES OF EXTRAORDINARY INFLATION OR
DEFLATION
THE DELIVERY OF PROMISSORY NOTES PAYABLE TO
ORDER, OR BILLS OF EXCHANGE OR OTHER MERCANTILE
601244 - EFFECT OF DELIVERY OF MERCANTILE DOCUMENTS
DOCUMENTS SHALL PRODUCE THE EFFECT OF PAYMENT
AS PAYMENT FOR OBLIGATIONS
ONLY WHEN THEY HAVE BEEN CASHED OR WHEN THROUGH
THE FAULT OF THE CREDITOR, THEY HAVE BEEN IMPAIRED.
601245 - MEANS THE PERFORMANCE OF THE MOST
IMPORTANT ASPECTS OF AN OBLIGATION BUT NOT ALL OF SUBSTANTIAL PERFORMANCE OF AN OBLIGATION
IT.
IF THE OBLIGATION HAS BEEN SUBSTANTIALLY PERFORMED
601246 - EFFECT OF SUBSTANTIAL PERFORMANCE IN GOOD IN GOOD FAITH, THE OBLIGOR MAY RECOVER AS THOUGH
FAITH OF AN OBLIGATION. THERE HAD BEEN STRICT AND COMPLETE FULFILLMENT,
LESS DAMAGES SUFFERED BY THE OBLIGEE.
601247 - EFFECT WHEN THE OBLIGEE ACCEPTS THE
PERFORMANCE KNOWING ITS INCOMPLETENESS OR
THE OBLIGATION IS DEEMED FULLY COMPLIED WITH.
IRREGULARITY, AND WITHOUT EXPRESSING ANY PROTEST
OR OBJECTION
1. WHEN THERE IS AN AGREEMENT TO THAT EFFECT; AND
601248 - INSTANCES WHEN PARTIAL PAYMENTS MAY BE 2. WHEN THE DEBT IS PART LIQUIDATED AND IN PART
MADE (2 ITEMS) UNLIQUIDATED (THE CREDITOR MAY DEMAND AND THE
DEBTOR MAY EFFECT PAYMENT OF THE LATTER)
601249 - CHARACTERISTICS A DEBTOR MUST POSSESS IN 1. FREE DISPOSAL OF THE THING DUE
ORFER TO MAKE THE PAYMENT OF AN OBLIGATION (2 ITEMS) 2. THE CAPACITY TO ALIENATE THE THING
601250 - MEANS THAT THE PROPERTY DELIVERED SHOULD
NOT BE SUBJECT TO ANY CLAIM BY, OR ENCUMBRANCES IN FREE DISPOSAL OF THE THING DUE
FAVOR OF, THIRD PERSONS.
601251 - MEANS THAT THE DEBTOR MUST NOT BE
INCAPABLE OF GIVING CONSENT IN ORDER TO EFFECT CAPACITY TO ALIENATE THE THING
PAYMENT.
 GR: THE PAYMENT SHALL NOT BE VALID .
XPN: WHEN A MINOR BETWEEN EIGHTEEN AND TWENTY-ONE
YEARS OF AGE, WHO HAS ENTERED INTO A CONTRACT
601252 - EFFECT OF PAYMENT IN OBLIGATIONS TO GIVE IF WITHOUT THE CONSENT OF THE PARENT OR GUARDIAN,
DEBTOR DOES NOT HAVE FREE DISPOSAL OF THE THING VOLUNTARILY PAYS A SUM OF MONEY OR DELIVERS A
DUE AND/OR CAPACITY TO ALIENATE THE SAME FUNGIBLE THING IN FULFILLMENT OF THE OBLIGATION,
THERE SHALL BE NO RIGHT TO RECOVER THE SAME FROM
THE OBLIGEE WHO HAS SPENT OR CONSUMED IT IN GOOD
FAITH.
601253 - IS A SPECIES OF ATTACHMENT FOR REACHING
CREDITS BELONGING TO THE JUDGMENT DEBTOR AND GARNISHMENT
OWING TO HIM FROM A STRANGER TO THE LITIGATION. 601253 IS A SPECIES OF ATTACHMENT FOR REACHING CREDITS BELONGING TO THE JUDGMENT DEBTOR AND OWING TO HIM FROM A STRANGER TO THE LITIGATION.
601254 - EFFECT OF PAYMENT BY THE DEBTOR AFTER
SUCH PAYMENT SHALL NOT BE VALID.
COURT HAS ORDERED HIM TO RETAIN DEBT (GARNISHMENT) 601254 EFFECT OF PAYMENT BY THE DEBTOR AFTER COURT HAS ORDERED HIM TO RETAIN DEBT (GARNISHMENT)
GR: THE CREDITOR IS NOT BOUND TO ACCEPT PAYMENT OR
PERFORMANCE BY A THIRD PERSON.
601255 - RULES ON THE PAYMENT OF THE OBLIGATION BY A XPN 1: WHEN THERE IS A STIPULATION TO THAT EFFECT.
THIRD PERSON (GR AND 2 XPNS) XPN 2: WHEN THE THIRD PERSON HAS AN INTEREST IN THE
FULFILLMENT OF THE OBLIGATION SUCH AS A GUARANTOR
OR A CO-DEBTOR. 601255 RULES ON THE PAYMENT OF THE OBLIGATION BY A THIRD PERSON (GR AND 2 XPNS)
1. HE CAN RECOVER WHAT HE HAS PAID.
601256 - RIGHTS OF A THIRD PERSON WHO MAKES THE
2. HE IS ENTITLED TO BE SUBROGATED IN THE RIGHTS OF
PAYMENT WHEN THE PAYMENT IS WITH THE KNOWLEDGE
THE CREDITOR SUCH AS THOSE ARISING FROM MORTGAGE,
AND CONSENT OF THE DEBTOR (2 ITEMS)
GUARANTY OR PENALTY. 601256 RIGHTS OF A THIRD PERSON WHO MAKES THE PAYMENT WHEN THE PAYMENT IS WITH THE KNOWLEDGE AND CONSENT OF THE DEBTOR (2 ITEMS)
601257 - RIGHT OF A THIRD PERSON WHO MAKES THE HE CAN RECOVER ONLY INSOFAR AS THE PAYMENT HAS
PAYMENT WHEN THE PAYMENT IS WITHOUT THE BEEN BENEFICIAL TO THE DEBTOR, HE IS NOT ENTITLED TO
KNOWLEDGE OR AGAINST THE WILL OF THE DEBTOR SUBROGATION. 601257 RIGHT OF A THIRD PERSON WHO MAKES THE PAYMENT WHEN THE PAYMENT IS WITHOUT THE KNOWLEDGE OR AGAINST THE WILL OF THE DEBTOR
1. THE PAYMENT SHALL BE DEEMED TO BE A DONATION
WHICH REQUIRES THE DEBTOR'S CONSENT.
2. IF THE DEBTOR DOES NOT CONSENT, THE PAYMENT
601258 - EFFECT OF PAYMENT BY A THIRD PERSON WHO SHALL NEVERTHELESS BE VALID TO THE CREDITOR WHO
DOES NOT WANT TO BE REIMBURSED (3 ITEMS) HAS ACCEPTED IT.
3. IN SUCH A CASE, THE THIRD PERSON CAN ONLY RECOVER
INSOFAR AS THE PAYMENT HAS BEEN BENEFICIAL TO THE
DEBTOR (NO SUBROGATION). 601258 EFFECT OF PAYMENT BY A THIRD PERSON WHO DOES NOT WANT TO BE REIMBURSED (3 ITEMS)
1. CREDITOR
601259 - PERSONS TO WHOM PAYMENT SHALL BE MADE (3 2. CREDITOR'S SUCCESSORS IN INTEREST (SUCH AS HIS
ITEMS) HEIRS OR ASSIGNS)
3. ANY PERSON AUTHORIZED TO RECEIVE PAYMENT 601259 PERSONS TO WHOM PAYMENT SHALL BE MADE (3 ITEMS)
GR: PAYMENT IS NOT VALID.
XPN 1: IF THE INCAPACITATED CREDITOR HAS KEPT THE
601260 - EFFECT OF PAYMENT TO AN INCAPACITATED
THING DELIVERED.
CREDITOR (GR AND 2 XPNS)
XPN 2: INSOFAR AS THE PAYMENT HAS BEEN BENEFICIAL TO
HIM. 601260 EFFECT OF PAYMENT TO AN INCAPACITATED CREDITOR (GR AND 2 XPNS)
GR: SUCH PAYMENT IS NOT VALID.
XPN 1: IF THE PAYMENT HAS REDOUNDED TO THE BENEFIT
601261 - EFFECT OF PAYMENT TO AN UNATHORIZED THIRD
OF THE CREDITOR.
PERSON (GR AND 2 XPNS)
XPN 2: IF THE PAYMENT IS MADE IN GOOD FAITH TO A THIRD
PERSON IN POSSESSION OF THE CREDIT. 601261 EFFECT OF PAYMENT TO AN UNATHORIZED THIRD PERSON (GR AND 2 XPNS)
1. IF AFTER THE PAYMENT, THE THIRD PERSON ACQUIRES
THE CREDITOR'S RIGHTS (SUCH AS WHEN THE THIRD
PERSON BECOMES THE ASSIGNEE OF THE INSTRUMENT
601262 - INSTANCES WHEN PAYMENT IS MADE TO AN
EVIDENCING THE CREDIT).
UNATHORIZED THIRD PERSON AND THERE IS NO NEED TO
2. IF THE CREDITOR RATIFIES THE PAYMENT TO THE THIRD
PROVE THAT PAYMENT HAS REDOUNDED TO THE BENEFIT
PERSON.
OF THE CREDITOR (3 ITEMS)
3. IF BY THE CREDITOR'S CONDUCT, THE DEBTOR HAS BEEN
LED TO BELIEVE THAT THE THIRD PERSON HAD THE
AUTHORITY TO RECEIVE PAYMENT. 601262 INSTANCES WHEN PAYMENT IS MADE TO AN UNATHORIZED THIRD PERSON AND THERE IS NO NEED TO PROVE THAT PAYMENT HAS REDOUNDED TO THE BENEFIT OF THE CREDITOR (3 ITEMS)
GR: PLACE DESIGNATED BY STIPULATION
XPN: IF THERE IS NO STIPULATION:
601263 - RULES ON THE PLACE WHERE PAYMENT MUST BE 1. DETERMINATE THING - WHEREEVER THE THING MIGHT BE
MADE (GR AND 2 XPNS) AT THE TIME THE OBLIGATION WAS CONSTITUTED.
2. GENERIC THING OR OBLIGATION TO DO - DOMICILE OF
THE DEBTOR 601263 RULES ON THE PLACE WHERE PAYMENT MUST BE MADE (GR AND 2 XPNS)
1. DATION IN PAYMENT
2. APPLICATION OF PAYMENT
601264 - SPECIAL FORMS OF PAYMENT (4 ITEMS)
3. PAYMENT BY CESSION
4. TENDER OF PAYMENT AND CONSIGNATION 601264 SPECIAL FORMS OF PAYMENT (4 ITEMS)
601265 - IS A SPECIAL FORM OF PAYMENT WHERE THE
DATION IN PAYMENT, DACION EN PAGO, ADJUDICACION EN
OWNERSHIP OF PROPERTY IS TRANSFERRED TO HIS
PAGO OR DATIO IN SOLUTUM
CREDITOR TO PAY A DEBT IN MONEY. 601265 IS A SPECIAL FORM OF PAYMENT WHERE THE OWNERSHIP OF PROPERTY IS TRANSFERRED TO HIS CREDITOR TO PAY A DEBT IN MONEY.
601266 - LAW GOVERNING DATION IN PAYMENT LAW ON SALES 601266 LAW GOVERNING DATION IN PAYMENT
601267 - LEGAL SUBSTANCE OF DATION IN PAYMENT OBJECTIVE NOVATION 601267 LEGAL SUBSTANCE OF DATION IN PAYMENT
601268 - IS A SPECIAL FORM OF PAYMENT WHICH REFERS TO
THE DESIGNATION OF THE DEBT TO WHICH PAYMENT SHALL
APPLICATION OF PAYMENT
BE APPLIED WHEN THE DEBTOR OWES SEVERAL DEBTS (OF
SIMILAR KIND) IN FAVOR OF THE SAME CREDITOR. 601268 IS A SPECIAL FORM OF PAYMENT WHICH REFERS TO THE DESIGNATION OF THE DEBT TO WHICH PAYMENT SHALL BE APPLIED WHEN THE DEBTOR OWES SEVERAL DEBTS (OF SIMILAR KIND) IN FAVOR OF THE SAME CREDITOR.
1. WHEN THE PARTIES HAVE STIPULATED THAT PAYMENT
601269 - INSTANCES WHEN APPLICATION OF PAYMENT MAY MAY BE APPLIED TO A DEBT NOT YET DUE; OR
STILL BE MADE EVEN IF NOT ALL DEBTS ARE DUE (2 ITEMS( 2. WHEN THE APPLICATION IS MADE BY THE PARTY FOR
WHOSE BENEFIT THE TERM HAS BEEN CONSTITUTED. 601269 INSTANCES WHEN APPLICATION OF PAYMENT MAY STILL BE MADE EVEN IF NOT ALL DEBTS ARE DUE (2 ITEMS(
GR: THE DEBTOR IS GIVEN THE PREFERENTIAL RIGHT TO
APPLY THE PAYMENT.
XPN: IF THE DEBTOR DOES NOT MAKE THE DESIGNATION,
601270 - RULES ON THE APPLICATION OF PAYMENT (GR AND
THE CREDITOR MAKES IT BY INDICATING THE DEBT PAID IN
XPN)
HIS RECEIPT. IF THE DEBTOR ACCEPTS THE RECEIPT FROM
THE CREDITOR, THE DEBTOR CANNOT COMPLAIN UNLESS
THERE IS A JUST CAUSE OF INVALIDATING THE CONTRACT. 601270 RULES ON THE APPLICATION OF PAYMENT (GR AND XPN)
1. PAYMENT SHALL BE APPLIED TO THE DEBT, AMONG
601271 - IN APPLICATION OF PAYMENT, RULE IF NEITHER THE THOSE DUE, WHICH IS THE MOST ONEROUS TO THE
DEBTOR NOR CREDITOR MAKES THE DESIGNATION, OR DEBTOR.
APPLICATION CANNOT BE INFERRED FROM THE 2. IF THE DEBTS ARE OF THE SAME NATURE AND BURDEN,
CIRCUMSTANCES.(2 ITEMS) PAYMENT SHALL BE APPLIED TO ALL DUE DEBTS
PROPORTIONATELY. 601271 IN APPLICATION OF PAYMENT, RULE IF NEITHER THE DEBTOR NOR CREDITOR MAKES THE DESIGNATION, OR APPLICATION CANNOT BE INFERRED FROM THE CIRCUMSTANCES.(2 ITEMS)
601272 - IS A SPECIAL FORM OF PAYMENT WHICH REFERS TO
THE ABANDONMENT OR ASSIGNMENT BY THE DEBTOR OF
ALL HIS PROPERTY IN FAVOR OF HIS CREDITORS SO THAT PAYMENT BY CESSION
THE LATTER MAY SELL THEM AND RECOVER THEIR CLAIMS
OUT OF THE PROCEEDS. 601272 IS A SPECIAL FORM OF PAYMENT WHICH REFERS TO THE ABANDONMENT OR ASSIGNMENT BY THE DEBTOR OF ALL HIS PROPERTY IN FAVOR OF HIS CREDITORS SO THAT THE LATTER MAY SELL THEM AND RECOVER THEIR CLAIMS OUT OF THE PROCEEDS.
1. VOLUNTARY OR CONVENTIONAL PAYMENT BY CESSION
601273 - KINDS OF PAYMENT BY CESSION (2 ITEMS)
2. LEGAL PAYMENT BY CESSION 601273 KINDS OF PAYMENT BY CESSION (2 ITEMS)
601274 - IS A KIND OF PAYMENT BY CESSION AGREED UPON
VOLUNTARY OR CONVENTIONAL PAYMENT BY CESSION
BY THE PARTIES. 601274 IS A KIND OF PAYMENT BY CESSION AGREED UPON BY THE PARTIES.
601275 - IS A KIND OF PAYMENT BY CESSION DONE BY
LEGAL PAYMENT BY CESSION
OPERATION OF LAW. 601275 IS A KIND OF PAYMENT BY CESSION DONE BY OPERATION OF LAW.
601276 - DATION IN PAYMENT OR PAYMENT BY CESSION:
PAYMENT BY CESSION
THERE MUST BE TWO OR MORE CREDITORS. 601276 DATION IN PAYMENT OR PAYMENT BY CESSION: THERE MUST BE TWO OR MORE CREDITORS.
601277 - DATION IN PAYMENT OR PAYMENT BY CESSION:
DATION IN PAYMENT
PLURALITY OF CREDITORS IS NOT REQUIRED. 601277 DATION IN PAYMENT OR PAYMENT BY CESSION: PLURALITY OF CREDITORS IS NOT REQUIRED.
601278 - DATION IN PAYMENT OR PAYMENT BY CESSION: THE
PAYMENT BY CESSION
DEBTOR IS INSOLVENT 601278 DATION IN PAYMENT OR PAYMENT BY CESSION: THE DEBTOR IS INSOLVENT
601279 - DATION IN PAYMENT OR PAYMENT BY CESSION:
DATION IN PAYMENT
THE DEBTOR MAY NOT BE INSOLVENT. 601279 DATION IN PAYMENT OR PAYMENT BY CESSION: THE DEBTOR MAY NOT BE INSOLVENT.
601280 - DATION IN PAYMENT OR PAYMENT BY CESSION:
AFFECTS ALL THE DEBTOR'S PROPERTIES, EXCEPT THOSE PAYMENT BY CESSION
EXEMPT FROM EXECUTION. 601280 DATION IN PAYMENT OR PAYMENT BY CESSION: AFFECTS ALL THE DEBTOR'S PROPERTIES, EXCEPT THOSE EXEMPT FROM EXECUTION.
601281 - DATION IN PAYMENT OR PAYMENT BY CESSION:
DATION IN PAYMENT
DOES NOT AFFECT ALL THE DEBTOR'S PROPERTIES. 601281 DATION IN PAYMENT OR PAYMENT BY CESSION: DOES NOT AFFECT ALL THE DEBTOR'S PROPERTIES.
601282 - DATION IN PAYMENT OR PAYMENT BY CESSION: THE
CREDITORS ARE AUTHORIZED TO SELL ONLY THE DEBTOR'S PAYMENT BY CESSION
PROPERTIES. 601282 DATION IN PAYMENT OR PAYMENT BY CESSION: THE CREDITORS ARE AUTHORIZED TO SELL ONLY THE DEBTOR'S PROPERTIES.
601283 - DATION IN PAYMENT OR PAYMENT BY CESSION: THE
CREDITOR BECOME THE OWNER OF THE PROPERTIES GIVEN DATION IN PAYMENT
AS PAYMENT. 601283 DATION IN PAYMENT OR PAYMENT BY CESSION: THE CREDITOR BECOME THE OWNER OF THE PROPERTIES GIVEN AS PAYMENT.
601284 - DATION IN PAYMENT OR PAYMENT BY CESSION: THE
PAYMENT BY CESSION
DEBTOR IS NOT RELEASED FROM LIABILITY AS A RULE. 601284 DATION IN PAYMENT OR PAYMENT BY CESSION: THE DEBTOR IS NOT RELEASED FROM LIABILITY AS A RULE.
601285 - DATION IN PAYMENT OR PAYMENT BY CESSION: THE
DATION IN PAYMENT
DEBTOR IS RELEASED FROM LIABILITY AS A RULE. 601285 DATION IN PAYMENT OR PAYMENT BY CESSION: THE DEBTOR IS RELEASED FROM LIABILITY AS A RULE.
601286 - IS THE ACT OF THE DEBTOR OF OFFERING TO HIS
TENDER OF PAYMENT
CREDITOR WHAT IS DUE HIM. 601286 IS THE ACT OF THE DEBTOR OF OFFERING TO HIS CREDITOR WHAT IS DUE HIM.
601287 - IS THE ACT OF DEPOSITING THE SUM OR THING DUE
WITH THE JUDICIAL AUTHORITIES WHENEVER THE
CREDITOR REFUSES WITHOUT JUST CAUSE TO ACCEPT THE CONSIGNATION
SAME, OR IN THE CASES WHEN THE CREDITOR CANNOT
ACCEPT IT. 601287 IS THE ACT OF DEPOSITING THE SUM OR THING DUE WITH THE JUDICIAL AUTHORITIES WHENEVER THE CREDITOR REFUSES WITHOUT JUST CAUSE TO ACCEPT THE SAME, OR IN THE CASES WHEN THE CREDITOR CANNOT ACCEPT IT.
1. THERE MUST BE A VALID TENDER OF PAYMENT.
2. THE CREDITOR REFUSES WITHOUT JUST CAUSE TO
RECEIVE THE PAYMENT.
3. THE PERSONS INTERESTED IN THE FULFILLMENT OF THE
OBLIGATION MUST BE NOTIFIED BY THE DEBTOR OF HIS
601288 - STEPS REQUIRED TO BE DONE FOR TENDER OF
INTENTION TO DEPOSIT THE SUM OR THING DUE WITH THE
PAYMENT AND CONSIGNATION TO EXTINGUISH THE
JUDICIAL AUTHORITIES.
OBLIGATION (5 ITEMS)
4. THE SUM OR THING DUE IS DEPOSITED WITH JUDICIAL
AUTHORITIES.
5. THE PERSONS INTERESTED IN THE FULFILLMENT OF THE
OBLIGATION MUST AGAIN BE NOTIFIED BY THE DEBTOR
THAT THE CONSIGNATION HAS BEEN MADE. 601288 STEPS REQUIRED TO BE DONE FOR TENDER OF PAYMENT AND CONSIGNATION TO EXTINGUISH THE OBLIGATION (5 ITEMS)
1. AFTER THE CREDITOR HAS ACCEPTED THE
601289 - TIME WHEN A DULY MADE CONSIGNATION CONSIGNATION, OR
EXTINGUISHES THE OBLIGATION (2 ITEMS) 2. THE JUDGE HAS DECLARED THAT THE CONSIGNATION
HAS BEEN PROPERLY MADE. 601289 TIME WHEN A DULY MADE CONSIGNATION EXTINGUISHES THE OBLIGATION (2 ITEMS)
THE DEBTOR MAY WITHDRAW THE SUM OR THING
601290 - RIGHT OF THE DEBTOR TO WITHDRAW THE SUM OR CONSIGNED WITHOUT THE NEED FOR THE CONSENT OF THE
THING CONSIGNED BEFORE ACCEPTANCE BY THE CREDITOR. SUCH WITHDRAWAL PRODUCES THE FOLLOWING
CREDITOR OF THE CONSIGNATION OR THE DECLARATION BY EFFECTS:
THE JUDGE THAT THE CONSIGNATION HAS BEEN PROPERLY .1. THE OBLIGATION SHALL REMAIN IN FORCE.
MADE (RIGHT AND 2 EFFECTS) 2. THE CO-DEBTORS, GUARANTORS AND SURETIES ARE NOT
RELEASED. 601290 RIGHT OF THE DEBTOR TO WITHDRAW THE SUM OR THING CONSIGNED BEFORE ACCEPTANCE BY THE CREDITOR OF THE CONSIGNATION OR THE DECLARATION BY THE JUDGE THAT THE CONSIGNATION HAS BEEN PROPERLY MADE (RIGHT AND 2 EFFECTS)
THE DEBTOR MAY WITHDRAW THE SUM OR THING
CONSIGNED ONLY WITH THE CONSENT OF THE CREDITOR.
SUCH WITHDRAWAL PRODUCES THE FOLLOWING EFFECTS:
601291 - RIGHT OF THE DEBTOR TO WITHDRAW THE SUM OR 1. THE OBLIGATION SHALL BE REVIVED.
THING CONSIGNED AFTER ACCEPTANCE BY THE CREDITOR 2. THE CREDITOR SHALL LOSE EVERY PREFERENCE WHICH
OF THE CONSIGNATION OR THE DECLARATION BY THE HE MAY HAVE OVER THE THING.
JUDGE THAT THE CONSIGNATION HAS BEEN PROPERLY 3. THE GUARANTORS AND SURETIES ARE RELEASED
MADE (RIGHT AND 4 EFFECTS) UNLESS THEY CONSENTED.
4. IF THERE ARE SEVERAL DEBTORS AND THEIR OBLIGATION
IS SOLIDARY, SUCH OBLIGATION WILL BECOME A JOINT
OBLIGATION. 601291 RIGHT OF THE DEBTOR TO WITHDRAW THE SUM OR THING CONSIGNED AFTER ACCEPTANCE BY THE CREDITOR OF THE CONSIGNATION OR THE DECLARATION BY THE JUDGE THAT THE CONSIGNATION HAS BEEN PROPERLY MADE (RIGHT AND 4 EFFECTS)
1. WHEN THE CREDITOR IS ABSENT OR UNKNOWN OR DOES
NOT APPEAR AT THE PLACE OF PAYMENT.
2. WHEN THE IS INCAPACITATED TO RECEIVE THE PAYMENT
601292 - INSTANCES WHEN CONSIGNATION, WITHOUT A
AT THE TIME IT IS DUE.
PREVIOUS TENDER OF PAYMENT, WILL PRODUCE THE SAME
3. WHEN, WITHOUT JUST CAUSE, HE REFUSES TO GIVE A
EFFECT AS IF THERE WAS A PREVIOUS TENDER OF
RECEIPT.
PAYMENT (5 ITEMS)
4. WHEN TWO OR MORE PERSONS CLAIM THE SAME RIGHT
TO COLLECT.
5. WHEN THE TITLE TO THE OBLIGATION HAS BEEN LOST. 601292 INSTANCES WHEN CONSIGNATION, WITHOUT A PREVIOUS TENDER OF PAYMENT, WILL PRODUCE THE SAME EFFECT AS IF THERE WAS A PREVIOUS TENDER OF PAYMENT (5 ITEMS)
601293 - A THIS IS CONSIDERED __________ WHEN IT
PERISHES, OR GOES OUT OF COMMERCE, OR DISAPPEARS
LOST
IN SUCH A WAY THAT ITS EXISTENCE IS UNKNOWN OR IT
CANNOT BE RECOVERED. 601293 A THIS IS CONSIDERED __________ WHEN IT PERISHES, OR GOES OUT OF COMMERCE, OR DISAPPEARS IN SUCH A WAY THAT ITS EXISTENCE IS UNKNOWN OR IT CANNOT BE RECOVERED.
GR: THE LOSS OF A DETERMINATE THING EXTINGUISHES
THE OBLIGATION.
XPN 1: WHEN THE LOSS IS DUE TO THE FAULT OF THE
DEBTOR.
XPN 2: WHEN THE DEBTOR HAS INCURRED IN DELAY.
XPN 3: WHEN SO PROVIDED BY LAW, AS WHEN THE DEBTOR
601294 - RULES ON THE LOSS OF A DETERMINATE THING (GR HAS PROMISED TO DELIVER THE SAME THING TO TWO OR
AND 6 XPNS) MORE PERSONS WHO DO NOT HAVE THE SAME INTEREST.
XPN 4: WHEN IT IS STIPULATED BY THE PARTIES.
XPN 5: WHEN THE NATURE OF THE OBLIGATION REQUIRES
THE ASSUMPTION OF RISK.
XPN 6: WHEN THE DEBT PROCEEDS FROM A CRIMINAL
OFFENSE (UNLESS THE PERSON WHO SHOULD RECEIVE IT
REFUSES TO ACCEPT IT WITHOUT JUST CAUSE). 601294 RULES ON THE LOSS OF A DETERMINATE THING (GR AND 6 XPNS)
GR: THE LOSS OF A GENERIC THING DOES NOT EXTINGUISH
THE OBLIGATION (GENUS NUNQUAM PERIT OR CLASS NEVER
601295 - RULES ON THE LOSS OF A GENERIC THING (GR AND
PERISHES).
XPN)
XPN: IN CASE OF DELIMITED GENERIC THING WHEN THE
WHOLE DELIMITED CLASS IS LOST. 601295 RULES ON THE LOSS OF A GENERIC THING (GR AND XPN)
601296 - IS A GENERIC THING WHERE THERE HAS BEEN
LIMITATION OF THE GENERIC OBJECT TO A PARTICULAR DELIMITED
GROUP OF THINGS. 601296 IS A GENERIC THING WHERE THERE HAS BEEN LIMITATION OF THE GENERIC OBJECT TO A PARTICULAR GROUP OF THINGS.
1. WHEN THE PRESTATION BECOMES LEGALLY OR
PHYSICALLY IMPOSSIBLE WITHOUT THE FAULT OF THE
601297 - INSTANCES WHEN THERE CAN BE A LOSS IN DEBTOR (OBLIGATION IS EXTINGUISHED).
POSITIVE PERSONAL OBLIGATIONS (OBLIGATIONS TO DO) (2 2. WHEN THE SERVICE HAS BECOME SO DIFFICULT AS TO BE
ITEMS) MANIFESTLY BEYOND THE CONTEMPLATION OF THE
PARTIES (THE OBLIGOR MAY BE RELEASED IN WHOLE OR IN
PART). 601297 INSTANCES WHEN THERE CAN BE A LOSS IN POSITIVE PERSONAL OBLIGATIONS (OBLIGATIONS TO DO) (2 ITEMS)
THE COURTS SHALL DETERMINE WHETHER UNDER THE
CIRCUMSTANCES, THE PARTIAL LOSS OF THE OBJECT OF
601298 - EFFECT OF PARTIAL LOSS
THE OBLIGATION IS SO IMPORTANT AS TO EXTINGUISH THE
OBLIGATION. 601298 EFFECT OF PARTIAL LOSS
601299 - EFFECT IF THE OBLIGATION HAS BEEN THE CREDITOR SHALL HAVE ALL THE RIGHTS OF ACTION
EXTINGUISHED BY THE LOSS OF THE THING CAUSED BY A WHICH THE DEBTOR MAY HAVE AGAINST SUCH THIRD
THIRD PERSON PERSON BY REASON OF THE LOSS. 601299 EFFECT IF THE OBLIGATION HAS BEEN EXTINGUISHED BY THE LOSS OF THE THING CAUSED BY A THIRD PERSON
601300 - IS THE GRATUITOUS ABANDONMENT BY THE
CREDITOR OF HIS RIGHT (REFERS TO THE FORGIVENESS OF CONDONATION OR REMISSION
AN INDEBTEDNESS). 601300 IS THE GRATUITOUS ABANDONMENT BY THE CREDITOR OF HIS RIGHT (REFERS TO THE FORGIVENESS OF AN INDEBTEDNESS).
601301 - KINDS OF CONDONATION OR REMISSION OAS TO 1. TOTAL CONDONATION
AMOUNT OR EXTENT (2 ITEMS) 2. PARTIAL CONDONATION 601301 KINDS OF CONDONATION OR REMISSION OAS TO AMOUNT OR EXTENT (2 ITEMS)
601302 - IS A KIND OF CONDONATION WHERE THE TOTAL
OBLIGATION (BOTH PRINCIPAL AND ACCESSORY TOTAL CONDONATION
OBLIGATIONS) IS REMITTED. 601302 IS A KIND OF CONDONATION WHERE THE TOTAL OBLIGATION (BOTH PRINCIPAL AND ACCESSORY OBLIGATIONS) IS REMITTED.
601303 - IS A KIND OF CONDONATION WHERE ONLY A PART
OF THE OBLIGATION, OR ONLY THE ACCESSORY PARTIAL CONDONATION
OBLIGATION IS REMITTED. 601303 IS A KIND OF CONDONATION WHERE ONLY A PART OF THE OBLIGATION, OR ONLY THE ACCESSORY OBLIGATION IS REMITTED.
601304 - KINDS OF CONDATION OR REMISSION AS TO FORM 1. EXPRESS CONDONDATION
(2 ITEMS) 2. IMPLIED CONDONATION 601304 KINDS OF CONDATION OR REMISSION AS TO FORM (2 ITEMS)
601305 - IS A KIND OF CONDONATION WHICH IS MADE
EXPRESS CONDONATION
ORALLY OR IN WRITING. 601305 IS A KIND OF CONDONATION WHICH IS MADE ORALLY OR IN WRITING.
601306 - IS A KIND OF CONDONATION WHICH IS INFERRED
ONLY FROM THE CONDUCT OF THE PARTIES, SUCH AS
IMPLIED CONDONATION
WHEN THE CREDITOR VOLUNTARILY DELIVERS THE PRIVATE
DOCUMENT EVIDENCING THE CREDIT TO THE DEBTOR. 601306 IS A KIND OF CONDONATION WHICH IS INFERRED ONLY FROM THE CONDUCT OF THE PARTIES, SUCH AS WHEN THE CREDITOR VOLUNTARILY DELIVERS THE PRIVATE DOCUMENT EVIDENCING THE CREDIT TO THE DEBTOR.
601307 - INSTANCE WHEN CONDONATION AND ACCEPTANCE WHEN THE REMISSION INVOLVES AN IMMOVABLE
ARE REQUIRED TO BE IN A PUBLIC INSTRUMENT PROPERTY. 601307 INSTANCE WHEN CONDONATION AND ACCEPTANCE ARE REQUIRED TO BE IN A PUBLIC INSTRUMENT
601308 - INSTANCE WHEN CONDONATION AND ACCEPTANCE WHEN THE REMISSION INVOLVES A MOVABLE/PERSONAL
ARE REQUIRED TO BE IN WRITING (PUBLIC OR PRIVATE) PROPERTY WITH VALUE EXCEEDING P5,000. 601308 INSTANCE WHEN CONDONATION AND ACCEPTANCE ARE REQUIRED TO BE IN WRITING (PUBLIC OR PRIVATE)
IT IS PRESUMED THAT SUCH PRIVATE DOCUMENT HAS BEEN
601309 - PRESUMPTION WHEN THE PRIVATE DOCUMENT
DELIVERED VOLUNTARILY BY THE CREDITOR TO THE
EVIDENCING THE DEBT IS FOUND IN THE POSSESSION OF
DEBTOR (SO AS TO REMIT THE OBLIGATION) UNLESS THE
THE DEBTOR
CONTRARY IS PROVED. 601309 PRESUMPTION WHEN THE PRIVATE DOCUMENT EVIDENCING THE DEBT IS FOUND IN THE POSSESSION OF THE DEBTOR
THERE IS NO PRESUMPTION THAT THE CREDITOR
601310 - PRESUMPTION WHEN THE PUBLIC DOCUMENT
VOLUNTARILY DELIVERED THE PUBLIC DOCUMENT (NO
EVIDENCING THE DEBT IS FOUND IN THE POSSESSION OF
REMISSION IS PRESUMED) BECAUSE A PUBLIC DOCUMENT IS
THE DEBTOR
EASILY AVAILABLE BEING A PUBLIC RECORD. 601310 PRESUMPTION WHEN THE PUBLIC DOCUMENT EVIDENCING THE DEBT IS FOUND IN THE POSSESSION OF THE DEBTOR
601311 - PRESUMPTION WHEN THE THING PLEDGED AFTER
IT IS PRESUMED THAT THE ACCESSORY OBLIGATION OF
ITS DELIVERY TO THE CREDITOR IS FOUND IN THE
PLEDGE IS REMITTED BUT NOT THE PRINCIPAL OBLIGATION.
POSSESSION OF THE DEBTOR 601311 PRESUMPTION WHEN THE THING PLEDGED AFTER ITS DELIVERY TO THE CREDITOR IS FOUND IN THE POSSESSION OF THE DEBTOR
THE REMISSION OF THE PRINCIPAL DEBT EXTINGUISHES
601312 - EFFECT OF REMISSION/RENUNCIATION OF THE
THE ACCESSORY OBLIGATION (BASED ON THE ACCESSORY
PRINCIPAL OBLIGATION ON THE ACCESSORY OBLIGATION
FOLLOWS THE PRINCIPAL RULE). 601312 EFFECT OF REMISSION/RENUNCIATION OF THE PRINCIPAL OBLIGATION ON THE ACCESSORY OBLIGATION
601313 - EFFECT OF REMISSION/RENUNCIATION OF THE THE REMISSION OF THE ACCESSORY OBLIGATION DOES NOT
ACCESSORY OBLIGATION ON THE PRINCIPAL OBLIGATION CARRY WITH IT THAT OF THE PRINCIPAL DEBT. 601313 EFFECT OF REMISSION/RENUNCIATION OF THE ACCESSORY OBLIGATION ON THE PRINCIPAL OBLIGATION
601314 - IS THE MEETING IN ONE PERSON OF THE QUALITIES
CONFUSION OR MERGER
OR CHARACTERS OF CREDITOR AND DEBTOR. 601314 601314 - 601314 - IS THE MEETING IN ONE PERSON OF THE QUALITIES OR CHARACTERS OF CREDITOR AND DEBTOR.
601315 - EFFECT OF MERGER THAT TAKES PLACE IN THE
BOTH THE PRINCIPAL OBLIGATION AND GUARANTY ARE
PRINCIPAL DEBTOR OR CREDITOR WITH RESPECT TO THE
EXTINGUISHED.
PRINCIPAL OBLIGATION AND GUARANTY 601315 601315 - 601315 - EFFECT OF MERGER THAT TAKES PLACE IN THE PRINCIPAL DEBTOR OR CREDITOR WITH RESPECT TO THE PRINCIPAL OBLIGATION AND GUARANTY
601316 - EFFECT OF MERGER THAT TAKES PLACE IN THE
PRINCIPAL DEBTOR OR CREDITOR WITH RESPECT TO THE ONLY THE GUARANTY IS EXTINGUISHED.
PRINCIPAL OBLIGATION AND GUARANTY 601316 601316 - 601316 - EFFECT OF MERGER THAT TAKES PLACE IN THE PRINCIPAL DEBTOR OR CREDITOR WITH RESPECT TO THE PRINCIPAL OBLIGATION AND GUARANTY
 MERGER EXTINGUISHES ONLY THE SHARE OF THE JOINT
601317 - EFFECT OF MERGER IN A JOINT OBLIGATION DEBTOR OR CREDITOR IN WHOM THE CHARACTERS OF
DEBTOR AND CREDITOR CONCUR. 601317 601317 - 601317 - EFFECT OF MERGER IN A JOINT OBLIGATION
601318 - EFFECT OF MERGER IN A SOLIDARY OBLIGATION MERGER EXTINGUISHES THE WHOLE OBLIGATION. 601318 601318 - 601318 - EFFECT OF MERGER IN A SOLIDARY OBLIGATION
601319 - IS A MODE OF EXTINGUISHMENT OF OBLIGATION
WHEREIN THERE IS SIMULTANEOUS BALANCING OR
WEIGHTING OF TWO OBLIGATIONS OF TWO PERSONS WHO COMPENSATION
ARE RECIPROCALLY DEBTORS AND CREDITORS OF EACH
OTHER. 601319 601319 - 601319 - IS A MODE OF EXTINGUISHMENT OF OBLIGATION WHEREIN THERE IS SIMULTANEOUS BALANCING OR WEIGHTING OF TWO OBLIGATIONS OF TWO PERSONS WHO ARE RECIPROCALLY DEBTORS AND CREDITORS OF EACH OTHER.
1. TOTAL COMPENSATION
601320 - KINDS OF COMPENSATION AS TO EXTENT (2 ITEMS)
2. PARTIAL COMPENSATION 601320 601320 - 601320 - KINDS OF COMPENSATION AS TO EXTENT (2 ITEMS)
601321 - IS A KIND OF COMPENSATION WHERE THE DEBTS
ARE OF THE SAME AMOUNT ALLOWING FOR THE TOTAL TOTAL COMPENSATION
EXTINGUISHMENT OF BOTH OBLIGATIONS. 601321 601321 - 601321 - IS A KIND OF COMPENSATION WHERE THE DEBTS ARE OF THE SAME AMOUNT ALLOWING FOR THE TOTAL EXTINGUISHMENT OF BOTH OBLIGATIONS.
601322 - IS A KIND OF COMPENSATION WHERE THE DEBTS
ARE OF DIFFERENT AMOUNTS RESULTING TO THE TOTAL
PARTIAL COMPENSATION
EXTINGUISHMENT OF ONE OBLIGATION AND PARTIAL
EXTINGUISHMENT OF ANOTHER. 601322 601322 - 601322 - IS A KIND OF COMPENSATION WHERE THE DEBTS ARE OF DIFFERENT AMOUNTS RESULTING TO THE TOTAL EXTINGUISHMENT OF ONE OBLIGATION AND PARTIAL EXTINGUISHMENT OF ANOTHER.
1. LEGAL COMPENSATION
601323 - KINDS OF COMPENSATION AS TO CAUSE OR ORIGIN 2. VOLUNTARY COMPENSATION
(4 ITEMS) 3. JUDICIAL COMPENSATION
4. FACULTATIVE COMPENSATION 601323 601323 - 601323 - KINDS OF COMPENSATION AS TO CAUSE OR ORIGIN (4 ITEMS)
601324 - IS A KIND OF COMPENSATION THAT TAKES PLACE
BY OPERATION OF LAW AND EXTINGUISHES BOTH DEBTS TO
THE CONCURRENT AMOUNT EVEN THOUGH THE DEBTS ARE LEGAL COMPENSATION
PAYABLE AT DIFFERENT PLACES AND THE CREDITORS AND
DEBTORS ARE NOT AWARE OF THE COMPENSATION. 601324 601324 - 601324 - IS A KIND OF COMPENSATION THAT TAKES PLACE BY OPERATION OF LAW AND EXTINGUISHES BOTH DEBTS TO THE CONCURRENT AMOUNT EVEN THOUGH THE DEBTS ARE PAYABLE AT DIFFERENT PLACES AND THE CREDITORS AND DEBTORS ARE NOT AWARE OF THE COMPENSATION.
1. THE TWO PARTIES ARE PRINCIPAL DEBTORS AND
CREDITORS OF EACH OTHER;
2/ BOTH DEBTS CONSIST IN A SUM OF MONEY OR IF THE
THINGS DUE ARE CONSUMABLE, THEY MUST BE OF THE
SAME KIND AND QUALITY;
601325 - REQUISITES FOR LEGAL COMPENSATION (5 ITEMS)
3. THE TWO DEBTS ARE DUE;
4. BOTH DEBTS ARE LIQUIDATED AND DEMANDABLE; AND
5. THERE IS NO EXISTENCE OF ANY RETENTION OR
CONTROVERSY COMMENCED BY A THIRD PERSON AGAINST
ANY OF THE PARTIES. 601325 601325 - 601325 - REQUISITES FOR LEGAL COMPENSATION (5 ITEMS)
601326 - IS A KIND OF COMPENSATION WHICH TAKES PLACE
BY AGREEMENT OF THE PARTIES (E.G., COMPENSATION OF VOLUNTARY COMPENSATION
DEBTS WHICH ARE NOT YET DUE). 601326 601326 - 601326 - IS A KIND OF COMPENSATION WHICH TAKES PLACE BY AGREEMENT OF THE PARTIES (E.G., COMPENSATION OF DEBTS WHICH ARE NOT YET DUE).
601327 - IS A KIND OF COMPENSATION ORDERED BY THE
JUDICIAL COMPENSATION
COURT. 601327 601327 - 601327 - IS A KIND OF COMPENSATION ORDERED BY THE COURT.
601328 - IS A KIND OF COMPENSATION THAT MAY BE
FACULTATIVE COMPENSATION
CLAIMED OR OPPOSED BY ONE OF THE PARTIES. 601328 601328 - 601328 - IS A KIND OF COMPENSATION THAT MAY BE CLAIMED OR OPPOSED BY ONE OF THE PARTIES.
THE CREDITOR OF THE OBLIGATION WHICH IS NOT YET DUE
601329 - PARTY WHO MAY CLAIM FACULTATIVE
MAY CLAIM COMPENSATION OR OPPOSE ONE THAT IS
COMPENSATION: TWO DEBTS ARE SUBJECT TO A PERIOD.
CLAIMED BY THE OTHER PARTY IF THE FORMER HAS BEEN
ONE OF THEM HAS ALREADY MATURED.
GIVEN THE BENEFIT OF THE PERIOD. 601329 601329 - 601329 - PARTY WHO MAY CLAIM FACULTATIVE COMPENSATION: TWO DEBTS ARE SUBJECT TO A PERIOD. ONE OF THEM HAS ALREADY MATURED.
601330 - PARTY WHO MAY CLAIM FACULTATIVE
THE DEPOSITOR MAY CLAIM COMPENSATION, OR OPPOSE
COMPENSATION: ONE OF THE DEBTS ARISES FROM A
ONE THAT IS BEING CLAIMED BY THE DEPOSITARY.
DEPOSIT. 601330 601330 - 601330 - PARTY WHO MAY CLAIM FACULTATIVE COMPENSATION: ONE OF THE DEBTS ARISES FROM A DEPOSIT.
601331 - PARTY WHO MAY CLAIM FACULTATIVE
THE LENDER MAY CLAIM COMPENSATION, OR OPPOSE ONE
COMPENSATION: ONE OF THE DEBTS ARISES FROM THE
THAT IS BEING CLAIMED BY THE BORROWER.
OBLIGATIONS OF A BAILEE IN COMMODATUM. 601331 601331 - 601331 - PARTY WHO MAY CLAIM FACULTATIVE COMPENSATION: ONE OF THE DEBTS ARISES FROM THE OBLIGATIONS OF A BAILEE IN COMMODATUM.
THE PARTY ENTITLED TO RECEIVE SUPPORT MAY CLAIM
601332 - PARTY WHO MAY CLAIM FACULTATIVE
COMPENSATION, OR OPPOSE ONE THAT IS BEING CLAIMED
COMPENSATION: ONE OF THE DEBTS ARISES FROM A CLAIM
BY THE PARTY REQUIRED TO GIVE SUPPORT. (APPLICABLE
FOR SUPPORT BY GRATUITOUS TITLE.
ONLY TO FUTURE SUPPORT, NOT SUPPORT IN ARREARS.) 601332 601332 - 601332 - PARTY WHO MAY CLAIM FACULTATIVE COMPENSATION: ONE OF THE DEBTS ARISES FROM A CLAIM FOR SUPPORT BY GRATUITOUS TITLE.
601333 - PARTY WHO MAY CLAIM FACULTATIVE
THE OFFENTED PARTY MAY CLAIM FACULTATIVE
COMPENSATION: ONE OF THE DEBTS CONSISTS IN CIVIL
COMPENSATION BUT NOT THE OFFENDER.
LIABILITY ARISING FROM A PENAL OFFENSE. 601333 601333 - 601333 - PARTY WHO MAY CLAIM FACULTATIVE COMPENSATION: ONE OF THE DEBTS CONSISTS IN CIVIL LIABILITY ARISING FROM A PENAL OFFENSE.
601334 - EFFECTIVITY OF COMPENSATION WHEN ONE OR THEY MAY BE COMPENSATED AGAINST EACH OTHER
BOTH DEBTS ARE RESCISSIBLE OR VOIDABLE BEFORE THEY ARE JUDICIALLY RESCINDED OR AVOIDED. 601334 601334 - 601334 - EFFECTIVITY OF COMPENSATION WHEN ONE OR BOTH DEBTS ARE RESCISSIBLE OR VOIDABLE
THERE SHALL BE AN INDEMNITY FOR EXPENSES OF
601335 - EFFECT OF COMPENSATION WHEN THE DEBTS ARE
EXCHANGE OR TRANSPORTATION TO THE PLACE OF
PAYABLE AT DIFFERENT PLACES
PAYMENT. 601335 601335 - 601335 - EFFECT OF COMPENSATION WHEN THE DEBTS ARE PAYABLE AT DIFFERENT PLACES
COMPENSATION SHALL BE APPLIED (IN ORDER OF
PRIORITY):
601336 - RULES ON APPLICATION OF PAYMENT WHEN THERE
1. TO THE DEBT DESIGNATED BY THE DEBTOR WHO HAD
ARE SEVERAL DEBTS SUSCEPTIBLE OF COMPENSATION
MULTIPLE DEBTS; OR
2. PROPORTIONATELY TO ALL DEBTS. 601336 601336 - 601336 - RULES ON APPLICATION OF PAYMENT WHEN THERE ARE SEVERAL DEBTS SUSCEPTIBLE OF COMPENSATION
THE DEBTOR CANNOT SET UP COMPENSATION AGAINST THE
601337 - EFFECT OF ASSIGNMENT WITH DEBTOR'S CONSENT ASSIGNEE THE COMPENSATION THAT WOULD PERTAIN TO
ON COMPENSATION OF DEBTS HIM AGAINST THE ASSIGNOR UNLESS HE RESERVED HIS
RIGHT TO THE COMPENSATION. 601337 601337 - 601337 - EFFECT OF ASSIGNMENT WITH DEBTOR'S CONSENT ON COMPENSATION OF DEBTS
601338 - EFFECT OF ASSIGNMENT (IF THE DEBTOR WAS THE DEBTOR MAY SET UP COMPENSATION OF DEBTS
NOTIFIED OF THE ASSIGNMENT BUT HE DID NOT GIVE MATURING BEFORE THE ASSIGNMENT BUT NOT OF
CONSENT THERETO) ON COMPENSATION OF DEBTS SUBSEQUENT ONES. 601338 601338 - 601338 - EFFECT OF ASSIGNMENT (IF THE DEBTOR WAS NOTIFIED OF THE ASSIGNMENT BUT HE DID NOT GIVE CONSENT THERETO) ON COMPENSATION OF DEBTS
601339 - EFFECT OF ASSIGNMENT (IF THE ASSIGNMENT WAS THE DEBTOR CAN SET UP COMPENSATION OF ALL DEBTS
WITHOUT THE KNOWLEDGE OF THE DEBTOR) ON MATURING BEFORE THE TIME HE OBTAINS KNOWLEDGE OF
COMPENSATION OF DEBTS THE ASSIGNMENT. 601339 601339 - 601339 - EFFECT OF ASSIGNMENT (IF THE ASSIGNMENT WAS WITHOUT THE KNOWLEDGE OF THE DEBTOR) ON COMPENSATION OF DEBTS
601340 - IS THE MODIFICATION OR EXTINGUISHMENT IF AN
OBLIGATION BY ANOTHER, EITHER BY CHANGING THE
OBJECT OR PRINCIPAL CONDITION, SUBSTITUTING THE NOVATION
PERSON OF THE DEBTOR, OR SUBROGATING A THIRD
PERSON IN THE RIGHTS OF THE CREDITOR. 601340 601340 - 601340 - IS THE MODIFICATION OR EXTINGUISHMENT IF AN OBLIGATION BY ANOTHER, EITHER BY CHANGING THE OBJECT OR PRINCIPAL CONDITION, SUBSTITUTING THE PERSON OF THE DEBTOR, OR SUBROGATING A THIRD PERSON IN THE RIGHTS OF THE CREDITOR.
1. REAL OR OBJECTIVE NOVATION
601341 - KINDS OF NOVATION ACCORDING TO OBJECT OR
2. PERSONAL OR SUBJECTIVE NOVATION
PURPOSE (3 ITEMS)
3. MIXED NOVATION 601341 601341 - 601341 - KINDS OF NOVATION ACCORDING TO OBJECT OR PURPOSE (3 ITEMS)
601342 - IS A KIND OF NOVATION WHICH CHANGES THE
REAL OR OBJECTIVE NOVATION
OBJECT OR PRINCIPAL CONDITION OF THE OBLIGATION. 601342 601342 - 601342 - IS A KIND OF NOVATION WHICH CHANGES THE OBJECT OR PRINCIPAL CONDITION OF THE OBLIGATION.
601343 - IS A KIND OF NOVATION WHICH CHANGES ONE OF
PERSONAL OR SUBJECTIVE NOVATION
THE PARTIES OF THE OBLIGATION. 601343 601343 - 601343 - IS A KIND OF NOVATION WHICH CHANGES ONE OF THE PARTIES OF THE OBLIGATION.
601344 - IS A KIND OF NOVATION WHICH IS EFFECTS
CHANGES ON BOTH THE OBJECT OR PRINCIPAL CONDITION MIXED NOVATION
AND PARTIES TO THE OBLIGATION. 601344 601344 - 601344 - IS A KIND OF NOVATION WHICH IS EFFECTS CHANGES ON BOTH THE OBJECT OR PRINCIPAL CONDITION AND PARTIES TO THE OBLIGATION.
601345 - IS THE CHANGING OF THE DEBTOR IN AN
OBLIGATION WHICH ALWAYS REQUIRES THE CONSENT OF SUBSTITUTION
THE CREDITOR. 601345 601345 - 601345 - IS THE CHANGING OF THE DEBTOR IN AN OBLIGATION WHICH ALWAYS REQUIRES THE CONSENT OF THE CREDITOR.
601346 - KINDS OF SUBSTITUTION OF THE PERSON OF THE 1. EXPROMISSION
DEBTOR (2 ITEMS) 2. DELEGACION 601346 601346 - 601346 - KINDS OF SUBSTITUTION OF THE PERSON OF THE DEBTOR (2 ITEMS)
601347 - IS THE SUBSTITUTION OF THE PERSON OF THE
DEBTOR WHERE A THIRD PERSON INITIATES THE
SUBSTITUTION AND ASSUMES THE OBLIGATION EVEN EXPROMISSION
WITHOUT THE KNOWLEDGE OR AGAINST THE WILL OF THE
DEBTOR. 601347 601347 - 601347 - IS THE SUBSTITUTION OF THE PERSON OF THE DEBTOR WHERE A THIRD PERSON INITIATES THE SUBSTITUTION AND ASSUMES THE OBLIGATION EVEN WITHOUT THE KNOWLEDGE OR AGAINST THE WILL OF THE DEBTOR.
601348 - IN EXPROMISSION, RIGHTS OF THE NEW DEBTOR IF HE CAN ONLY RECOVER INSOFAR AS THE PAYMENT HAS
HE MAKES PAYMENT BEEN BENEFICIAL TO THE ORIGINAL DEBTOR. 601348 601348 - 601348 - IN EXPROMISSION, RIGHTS OF THE NEW DEBTOR IF HE MAKES PAYMENT
601349 - IN EXPROMISSION, EFFECT IF THE NEW DEBTOR IS THIS SHALL NOT GIVE RISE TO ANY LIABILITY ON THE PART
INSOLVENT OR DOES NOT FULFILL THE OBLIGATION OF THE ORIGINAL DEBTOR. 601349 601349 - 601349 - IN EXPROMISSION, EFFECT IF THE NEW DEBTOR IS INSOLVENT OR DOES NOT FULFILL THE OBLIGATION
601350 - IS THE SUBSTITUTION OF THE PERSON OF THE
DEBTOR WHERE THE DEBTOR INITIATES THE SUBSTITUTION
DELEGACION
REQUIRING THE CONSENT OF ALL PARTIES (ORIGINAL
DEBTOR, CREDITOR AND NEW DEBTOR). 601350 601350 - 601350 - IS THE SUBSTITUTION OF THE PERSON OF THE DEBTOR WHERE THE DEBTOR INITIATES THE SUBSTITUTION REQUIRING THE CONSENT OF ALL PARTIES (ORIGINAL DEBTOR, CREDITOR AND NEW DEBTOR).
601351 - IN DELEGACION, RIGHTS OF THE NEW DEBTOR IF HE HE CAN RECOVER WHAT HE HAS PAID AND IS ENTITLED TO
MAKES PAYMENT SUBROGATION. 601351 601351 - 601351 - IN DELEGACION, RIGHTS OF THE NEW DEBTOR IF HE MAKES PAYMENT
GR: THE CREDITOR'S RIGHT TO PROCEED AGAINST THE
ORIGINAL DEBTOR IS NOT REVIVED.
XPNS:
1. WHEN THE INSOLVENCY OF THE NEW DEBTOR WAS
601352 - IN DELEGACION, EFFECT IF THE NEW DEBTOR IS
ALREADY EXISTING AND OF PUBLIC KNOWLEDGE WHEN THE
INSOLVENT
ORIGINAL DEBTOR DELEGATED HIS DEBT.
2. WHEN THE INSOLVENCY OF THE NEW DEBTOR WAS
ALREADY EXISTING AND KNOWN TO THE DEBTOR AT THE
TIME HE DELEGATED HIS DEBT. 601352 601352 - 601352 - IN DELEGACION, EFFECT IF THE NEW DEBTOR IS INSOLVENT
601353 - IS THE TRANSFER TO A THIRD PERSON OF THE
CREDIT WITH ALL THE RIGHTS APPERTAINING THERETO,
SUBROGATION
EITHER AGAINST THE DEBTOR OR AGAINST THIRD PERSONS,
BE THEY GUARANTORS OR POSSESSORS OF MORTGAGES. 601353 601353 - 601353 - IS THE TRANSFER TO A THIRD PERSON OF THE CREDIT WITH ALL THE RIGHTS APPERTAINING THERETO, EITHER AGAINST THE DEBTOR OR AGAINST THIRD PERSONS, BE THEY GUARANTORS OR POSSESSORS OF MORTGAGES.
1. CONVENTIONAL SUBROGATION
601354 - KINDS OF SUBROGATION (2 ITEMS)
2. LEGAL SUBROGATION 601354 601354 - 601354 - KINDS OF SUBROGATION (2 ITEMS)
601355 - IS THE CHANGE OF CREDITOR BY THE AGREEMENT
OF THE PARTIES (ORIGINAL PARTIES AND THE NEW CONVENTIONAL SUBROGATION
CREDITOR). 601355 601355 - 601355 - IS THE CHANGE OF CREDITOR BY THE AGREEMENT OF THE PARTIES (ORIGINAL PARTIES AND THE NEW CREDITOR).
601356 - IS THE CHANGE OF CREDITOR BY OPERATION OF
LEGAL SUBROGATION
LAW. 601356 601356 - 601356 - IS THE CHANGE OF CREDITOR BY OPERATION OF LAW.
1. WHEN A CREDITOR PAY ANOTHER CREDITOR WHO IS
PREFERRED, EVEN WITHOUT THE DEBTOR'S KNOWLEDGE.
2. WHEN A THIRD PERSON, NOT INTERESTED IN THE
OBLIGATION PAYS WITH THE EXPRESS OR TACIT APPROVAL
601357 - INSTANCES WHERE LEGAL SUBROGATION IS
OF THE DEBTOR.
PRESUMED (3 ITEMS)
3. WHEN, EVEN WITHOUT THE KNOWLEDGE OF THE DEBTOR,
A PERSON INTERESTED IN THE FULFILLMENT OF THE
OBLIGATION PAYS, WITHOUT PREJUDICE TO THE EFFECTS
OF CONFUSION AS TO THE LATTER'S SHARE. 601357 601357 - 601357 - INSTANCES WHERE LEGAL SUBROGATION IS PRESUMED (3 ITEMS)
601358 - KINDS OF NOVATION ACCORDING TO FORM (2 ITEMS 1. EXPRESS NOVATION
( 2. IMPLIED NOVATION 601358 601358 - 601358 - KINDS OF NOVATION ACCORDING TO FORM (2 ITEMS(
601359 - IS A KIND OF NOVATION THAT IS DECLARED IN
EXPRESS NOVATION
UNEQUIVOCAL TERMS. 601359 601359 - 601359 - IS A KIND OF NOVATION THAT IS DECLARED IN UNEQUIVOCAL TERMS.
601360 - IS A KIND OF NOVATION WHICH OCCURS WHEN THE
OLD AND THE NEW OBLIGATION ARE ON EVERY POINT
IMPLIED NOVATION
INCOMPATIBLE WITH EACH OTHER EVEN IF THERE WAS NO
DECLARATION OF SUCH NOVATION. 601360 601360 - 601360 - IS A KIND OF NOVATION WHICH OCCURS WHEN THE OLD AND THE NEW OBLIGATION ARE ON EVERY POINT INCOMPATIBLE WITH EACH OTHER EVEN IF THERE WAS NO DECLARATION OF SUCH NOVATION.
601361 - KINDS OF NOVATION ACCORDING TO EXTENT (2 1. TOTAL OR EXTINCTIVE NOVATION
ITEMS) 2. PARTIAL OR MODIFICATORY NOVATION 601361 601361 - 601361 - KINDS OF NOVATION ACCORDING TO EXTENT (2 ITEMS)
601362 - IS A KIND OF NOVATION WHERE THE OLD
TOTAL OR EXTINCTIVE NOVATION
OBLIGATION IS TOTALLY EXTINGUISHED. 601362 601362 - 601362 - IS A KIND OF NOVATION WHERE THE OLD OBLIGATION IS TOTALLY EXTINGUISHED.
601363 - IS A KIND OF NOVATION WHERE THE OLD
OBLIGATION STILL REMAINS IN FORCE EXCEPT AS IT HAS PARTIAL OR MODIFICATORY NOVATION
BEEN MODIFIED. 601363 601363 - 601363 - IS A KIND OF NOVATION WHERE THE OLD OBLIGATION STILL REMAINS IN FORCE EXCEPT AS IT HAS BEEN MODIFIED.
GR: THE EXTINGUISHMENT OF THE PRINCIPAL OBLIGATION
CARRIES WITH IT THE EXTINGUISHMENT OF THE RELATED
ACCESSORY OBLIGATIONS.

XPN:
1. WHEN THE ACCESSORY OBLIGATION WAS ESTABLISHED
601364 - EFFECT OF NOVATION ON ACCESSORY
FOR THE BENEFIT OF THIRD PERSONS WHO DID NOT GIVE
OBLIGATIONS
THEIR CONSENT (FOR THE NOVATION);
2. WHEN THERE WAS A STIPULATION THAT THE ACCESSORY
OBLIGATION WILL SUBSIST NOTWITHSTANDING THE
NOVATION; AND
3. WHEN THE NOVATION IS ONE WHERE A THIRD PERSON IS
SUBROGATED IN THE RIGHTS OF THE CREDITOR. 601364 601364 - 601364 - EFFECT OF NOVATION ON ACCESSORY OBLIGATIONS
THE NOVATION IS VOID (I.E., THE ORIGINAL OBLIGATION
601365 - EFFECT OF NOVATION IF THE NEW OBLIGATION IS
SHALL SUBSIST, UNLESS THE PARTIES INTENDED THAT THE
VOID
FORMER RELATION WILL BE EXTINGUISHED IN ANY EVENT.) 601365 601365 - 601365 - EFFECT OF NOVATION IF THE NEW OBLIGATION IS VOID
601366 - EFFECT OF NOVATION IF THE ORIGINAL OBLIGATION THE NOVATION IS VOID (THERE IS NO OBLIGATION TO BE
IS VOID EXTINGUISHED.) 601366 601366 - 601366 - EFFECT OF NOVATION IF THE ORIGINAL OBLIGATION IS VOID
601367 - EFFECT OF NOVATION IF THE ORIGINAL OBLIGATION THE NOVATION IS VALID (NOVATION CURES WHATEVER
IS VOIDABLE DEFECTS WERE PRESENT IN THE ORIGINAL OBLIGATION.). 601367 601367 - 601367 - EFFECT OF NOVATION IF THE ORIGINAL OBLIGATION IS VOIDABLE
601368 - EFFECT OF NOVATION IF THE THE ORIGINAL THE NEW OBLIGATION SHALL BE SUBJECT TO THE SAME
OBLIGATION IS SUBJECT TO A SUSPENSIVE OR CONDITION UNLESS OTHERWISE STIPULATED BY THE
RESOLUTORY CONDITION PARTIES. 601368 601368 - 601368 - EFFECT OF NOVATION IF THE THE ORIGINAL OBLIGATION IS SUBJECT TO A SUSPENSIVE OR RESOLUTORY CONDITION
601369 - PERSON PREFERRED: ORIGINAL CREDITOR OR
THIRD PERSON WHO WAS SUBROGATED TO THE RIGHTS OF
ORIGINAL CREDITOR
THE FORMER AFTER MAKING PARTIAL PAYMENT OF THE
OBLIGATION 601369 601369 - 601369 - PERSON PREFERRED: ORIGINAL CREDITOR OR THIRD PERSON WHO WAS SUBROGATED TO THE RIGHTS OF THE FORMER AFTER MAKING PARTIAL PAYMENT OF THE OBLIGATION
601369 - IS THE DEGREE OF DILIGENCE REQUIRED OF BANKS IN
EXTRAORDINARY
HANDLING DEPOSITS
DILIGENCE
AND OF
(EXTREME
COMMONCARE
CARRIERS
AND CAUTION)
IN THE VIGILANCE601369
OVER THE
601369
GOODS
- 601369
AND- FOR
IS THE
THE
DEGREE
SAFETYOF
OFDILIGENCE
THE PASSENGERS
REQUIRED
TRANSPORTED
OF BANKS IN HANDLING
BY THEM. DEPOSITS AND OF COMMON CARRIERS IN THE VIGILANCE OVER THE GOODS AND FOR THE SAFETY OF THE PASSENGERS TRANSPORTED BY THEM.
601369 - LEGAL INTEREST RATE FOR ORDINARY OBLIGATION TO
12PAY
PERCENT
A SUMBEFORE
OF MONEY
JULY
OR1,FORBEARANCE
2013, BUT 6 PERCENT
OF MONEY
ON OR AFTER JULY601369
1, 2013601369 - 601369 - LEGAL INTEREST RATE FOR ORDINARY OBLIGATION TO PAY A SUM OF MONEY OR FORBEARANCE OF MONEY
601369 - REFERS TO THE MODE OF EXTINGUISHMENT OF RIGHT
PRESCRIPTION
TO FILE AN ACTION OR OBLIGATION BY THE MERE LAPSE OF TIME FIXED
601369
BY LAW.
601369 - 601369 - REFERS TO THE MODE OF EXTINGUISHMENT OF RIGHT TO FILE AN ACTION OR OBLIGATION BY THE MERE LAPSE OF TIME FIXED BY LAW.
601369 - PRESCRIPTIVE PERIOD FOR CIVIL ACTION BASED ON ORAL CONTRACT 601369 601369 - 601369 - PRESCRIPTIVE PERIOD FOR CIVIL ACTION BASED ON ORAL CONTRACT
601369 - PRESCRIPTIVE PERIOD FOR CIVIL ACTION BASED ON WRITTEN CONTRACT 601369 601369 - 601369 - PRESCRIPTIVE PERIOD FOR CIVIL ACTION BASED ON WRITTEN CONTRACT
601369 - PRESCRIPTIVE PERIOD FOR CIVIL ACTION BASED ON QUASI-DELICT OR TORT 601369 601369 - 601369 - PRESCRIPTIVE PERIOD FOR CIVIL ACTION BASED ON QUASI-DELICT OR TORT
601369 - PRESCRIPTIVE PERIOD FOR CIVIL ACTION BASED ON QUASI-CONTRACT 601369 601369 - 601369 - PRESCRIPTIVE PERIOD FOR CIVIL ACTION BASED ON QUASI-CONTRACT
601369 - PRESCRIPTIVE PERIOD FOR CIVIL ACTION BASED ON OBLIGATION CREATED BY LAW OR JUDGMENT OF COURT 601369 601369 - 601369 - PRESCRIPTIVE PERIOD FOR CIVIL ACTION BASED ON OBLIGATION CREATED BY LAW OR JUDGMENT OF COURT
601369 - PRESCRIPTIVE PERIOD FOR CIVIL ACTION OF FORCIBLE ENTRY AND DETAINER OR BASED ON ORAL DEFAMATION 601369 601369 - 601369 - PRESCRIPTIVE PERIOD FOR CIVIL ACTION OF FORCIBLE ENTRY AND DETAINER OR BASED ON ORAL DEFAMATION
601369 - PRESCRIPTIVE PERIOD TO FILE AN ACTION TO RECOVER MOVABLE PROPERTY 601369 601369 - 601369 - PRESCRIPTIVE PERIOD TO FILE AN ACTION TO RECOVER MOVABLE PROPERTY
601369 - PRESCRIPTIVE PERIOD TO FILE A REAL ACTION OVER IMMOVABLES 601369 601369 - 601369 - PRESCRIPTIVE PERIOD TO FILE A REAL ACTION OVER IMMOVABLES
601369 - PRESCRIPTIVE PERIOD TO FILE CIVIL ACTION FOR ALL OTHER ACTIONS NOT PROVIDED IN THE CIVIL CODE OR SPECIAL LAW601369 601369 - 601369 - PRESCRIPTIVE PERIOD TO FILE CIVIL ACTION FOR ALL OTHER ACTIONS NOT PROVIDED IN THE CIVIL CODE OR SPECIAL LAW
601369 - IS A MODE OF EXTINGUISHING AN OBLIGATION BY WHICH A PERSON IS BARRED FROM FILING AN ACTION BECAUSE OF FAILURE
601369
OR NEGLECT
601369 - 601369
FOR AN- ISUNREASONABLE
A MODE OF EXTINGUISHING
OR UNEXPLAINED
AN OBLIGATION
LENGTH OFBY
TIME
WHICH
TO THAT
A PERSON
WHICH,
IS BY
BARRED
EXERCISING
FROM FILING
DUE DILIGENCE,
AN ACTIONCOULD
BECAUSE
OR SHOULD
OF FAILURE
HAVE
ORBEEN
NEGLECT
DONEFOR
EARLIER,
AN UNREASONABLE
THUS GIVING RISE
OR UNEXPLAINED
TO A PRESUMPTION
LENGTHTHAT
OF TIME
THE PARTY
TO THAT
ENTITLED
WHICH, BY
TO EXERCISING
ASSERT IT EITHER
DUE DILIGENCE,
HAS ABANDONED
COULD OR DECLINED
SHOULD HAVE
TO ASSERT
BEEN DONE
IT. EARLIER, THUS GIVING RISE TO A PRESUMPTION THAT THE PARTY ENTITLED TO ASSERT IT EITHER H
601369 - IS AN EQUITABLE DOCTRINE BASED ON THE PRINCIPLE THAT A PERSON SHALL BE PRECLUDED FROM DENYING AN ADMISSION
601369
OR REPRESENTATION
601369 - 601369 - ISAGAINST
AN EQUITABLE
THE PERSON
DOCTRINE
WHOBASED
HAS RELIED
ON THEONPRINCIPLE
SUCH ADMISSION
THAT A PERSON
OR REPRESENTATION.
SHALL BE PRECLUDED FROM DENYING AN ADMISSION OR REPRESENTATION AGAINST THE PERSON WHO HAS RELIED ON SUCH ADMISSION OR REPRESENTATION.
 RFBT - CONTRACTS (502001 - 502199)
502001 - REFERS TO A MEETING OF MINDS BETWEEN TWO
PERSONS WHEREBY ONE BINDS HIMSELF, WITH RESPECT
CONTRACT
TO THE OTHER, TO GIVE SOMETHING OR TO RENDER SOME
SERVICE.
502002 - ARE ELEMENTS OF A CONTRACT WITHOUT WHICH
ESSENTIAL ELEMENTS
THERE WOULD BE NO CONTRACT.
1. CONSENT OF THE CONTRACTING PARTIES
2. OBJECT CERTAIN WHICH IS THE SUBJECT MATTER OF THE
502003 - ESSENTIAL ELEMENTS OF A CONTRACT (3 ITEMS)
CONTRACT
3. CAUSE OF THE OBLIGATION
502004 - ARE ELEMENTS OF A CONTRACT WHICH ARE FOUND
IN CERTAIN CONTRACTS UNLESS SET ASIDE OR NATURAL ELEMENTS
SUPPRESSED BY THE PARTIES.
502005 - ARE ELEMENTS OF A CONTRACT WHICH REFER TO
ACCIDENTAL ELEMENTS
PARTICULAR STIPULATIONS OF THE PARTIES.
1. CONSENSUAL
502006 - CLASSIFICATION OF CONTRACTS ACCORDING TO
2. REAL
PERFECTION OR FORMATION (3 ITEMS)
3. FORMAL OR SOLEMN
502007 - ARE CONTRACTS THAT ARE PERFECTED BY MERE
CONSENSUAL CONTRACTS
CONSENT.
502008 - ARE CONTRACTS THAT ARE PERFECTED BY THE
REAL CONTRACTS
DELIVERY OF THE OBJECT OF THE CONTRACT.
502009 - ARE CONTRACTS WHICH MUST BE IN THE FORM
FORMAL OR SOLEMN CONTRACTS
PROVIDED BY LAW FOR THEIR PERFECTION.
1. ONEROUS
502010 - CLASSIFICATION OF CONTRACTS ACCORDING TO
2. GRATUITOUS OR LUCRATIVE
CAUSE (3 ITEMS)
3. REMUNERATORY
502011 - ARE CONTRACTS WHERE THERE IS AN EXCHANGE
ONEROUS CONTRACTS
OF VALUABLE CONSIDERATIONS.
502012 - ARE CONTRACTS WHERE ONE PARTY RECEIVES NO
GRATUITOUS OR LUCRATIVE CONTRACTS
EQUIVALENT CONSIDERATION.
502013 - ARE CONTRACTS WHERE THE CAUSE IS THE
REMUNERATORY CONTRACTS
SERVICE OR BENEFIT REMUNERATED.
502014 - CLASSIFICATION OF CONTRACTS ACCORDING TO 1. PRINCIPAL
IMPORTANCE OR DEPENDENCE OF ONE UPON ANOTHER (3 2. ACCESSORY
ITEMS) 3, PREPARATORY
502015 - IS A CONTRACT THAT CAN STAND BY ITSELF. PRINCIPAL CONTRACT
502016 - IS A CONTRACT WHOSE EXISTENCE DEPENDS UPON
ACCESSORY CONTRACT
ANOTHER CONTRACT.
502017 - IS A CONTRACT WHICH SERVES AS A MEANS BY
PREPARATORY CONTRACT
WHICH OTHER CONTRACTS MAY BE ENTERED INTO.
502018 - CLASSIFICATION OF CONTRACTS ACCORDING TO 1. NOMINATE
NAME OR DESIGNATION (2 ITEMS) 2. INNOMINATE
502019 - ARE CONTRACTS WHICH HAVE A NAME UNDER THE
NOMINATE CONTRACTS
LAW.
502020 - ARE CONTRACTS WITHOUT ANY NAME UNDER THE
INNOMINATE CONTRACTS
LAW.
1. DO UT DES (I GIVE THAT YOU MAY GIVE)
2. DO UT FACIAS (I GIVE THAT YOU MAY DO)
502021 - EXAMPLES OF INNOMINATE CONTRACTS (4 ITEMS)
3. FACIO UT DES (I DO THAT YOU MAY GIVE)
4. FACIO UT FACIAS (I DO THAT YOU MAY DO)
1. THE STIPULATIONS OF THE PARTIES
2. THE PROVISIONS OF THE OBLIGATIONS AND CONTRACTS
502022 - RULES THAT GOVERN INNOMINATE CONTRACTS (4
3. THE RULES GOVERNING THE MOST ANALOGOUS
ITEMS)
NOMINATE CONTRACTS
4. THE CUSTOMS OF THE PLACE
502023 - CLASSIFICATION OF CONTRACTS ACCORDING TO 1. COMMUTATIVE
RISK OR FULFILLMENT (2 ITEMS) 2. ALEATORY
502024 - ARE CONTRACTS WHERE THE PARTIES GIVE
COMMUTATIVE CONTRACTS
EQUIVALENT VALUES.
 502025 - ARE CONTRACTS WHOSE FULFILLMENT DEPENDS
ALEATORY CONTRACTS
UPON CHANCE.
502026 - CLASSIFICATION OF CONTRACTS ACCORDING TO 1. UNILATERAL
THE PARTIES OBLIGATED (2 ITEMS) 2. BILATERAL OR SYNALAGMATIC
502027 - ARE CONTRACTS WHERE ONLY ONE OF THE
UNILATERAL CONTRACTS
PARTIES IS OBLIGATED TO GIVE OR DO SOMETHING.
502028 - ARE CONTRACTS WHERE BOTH PARTIES ARE
BILATERAL CONTRACTS
REQUIRED TO GIVE OR DO SOMETHING.
1. CONTRACTS INVOLVING THINGS
502029 - CLASSIFICATION OF CONTRACTS ACCORDING TO
2. CONTRACTS INVOLVING RIGHTS OR CREDITS
SUBJECT MATTER (3 ITEMS)
3. CONTRACTS INVOLVING SERVICES
502030 - CLASSIFICATION OF CONTRACTS ACCORDING TO 1. EXECUTED
THE TIME OF FULFILLMENT (2 ITEMS) 2. EXECUTORY
502031 - IS A CONTRACT WHICH HAS BEEN PERFORMED. EXECUTED CONTRACT
502032 - IS A CONTRACT THAT HAS NOT YET BEEN
EXECUTORY CONTRACT
PERFORMED.
502033 - IS A CONTRACT WHERE ONLY ONE PERSON
REPRESENTS THE TWO OPPOSITE PARTIES TO THE AUTO-CONTRACT
CONTRACT.
502034 - IS A CONTRACT WHOSE TERMS ARE PREPARED BY
ONLY ONE PARTY, WHILE THE OTHER PARTY MERELY
CONTRACT OF ADHESION
AFFIXES HIS SIGNATURE SIGNIFYING HIS ADHESION
THERETO.
1. PREPARATION OR CONCEPTION
502035 - STAGES OF A CONTRACT (3 ITEMS) 2. PERFECTION OR BIRTH
3. CONSUMATION OR DEATH OR TERMINATION
502036 - IS A STAGE OF A CONTRACT WHICH INVOLVES
PRELIMINARY NEGOTIATIONS AND BARGAINING,
PREPARATION OR CONCEPTION
DISCUSSION OF TERMS AND CONDITIONS, WITH NO ARRIVAL
YET OF A DEFINITE AGREEMENT.
502037 - IS A STAGE OF A CONTRACT WHICH IS THE POINT
WHEN THERE IS A MEETING OF MINDS BETWEEN THE
PERFECTION OR BIRTH
PARTIES ON A DEFINITE SUBJECT MATTER AND A VALID
CAUSE.
502038 - IS A STAGE OF A CONTRACT WHICH OCCURS WHEN
THE PARTIES FULFILL OR PERFORM THE TERMS AGREED
CONSUMMATION OR DEATH OR TERMINATION
UPON IN THE CONTRACT, CULMINATING IN THE
EXTINGUISHMENT THEREOF.
1. LIBERTY OF CONTRACT OR FREEDOM TO STIPULATE
2. MUTUALITY OF CONTRACTS
502039 - BASIC PRINCIPLES OF CONTRACTS (5 ITEMS) 3. RELATIVITY OF CONTRACTS
4. CONSENSUALITY OF CONTRACTS
5. OBLIGATORY FORCE AND COMPLIANCE IN GOOD FAITH
502040 - IS A BASIC PRINCIPLE OF CONTRACTS WHICH
ASSERTS THAT THE CONTRACTING PARTIES MAY ESTABLISH
SUCH STIPULATIONS, CLAUSES, TERMS AND CONDITIONS AS
LIBERTY OF CONTRACT OR FREEDOM TO STIPULATE
THEY MAY DEEM CONVENIENT, PROVIDED THEY ARE NOT
CONTRARY TO LAW, MORALS, GOOD CUSTOMS, PUBLIC
ORDER OR PUBLIC POLICY.
502041 - IS A STIPULATION THAT THE CREDITOR
AUTOMATICALLY BECOMES THE OWNER OF THE PROPERTY
PACTUM COMMISSORIUM
PLEDGED OR MORTGAGED IF THE DEBTOR DEFAULTS IN HIS
PAYMENT (VOID BECAUSE CONTRARY TO LAW).
502042 - IS A PRICE SPECIFIED IN MORTGAGE CONTRACTS
BELOW WHICH THE MORTGAGED PROPERTY IS NOT
TIPO OR UPSET PRICE
SUPPOSED TO BE SOLD AT THE FORECLOSURE SALE (VOID
BECAUSE IT IS CONTRARY TO LAW).
502043 - MEANS UNREASONABLY EXCESSIVE RATE OF
UNCONSCIONABLE INTEREST RATE
INTEREST (VOID BECAUSE IT IS CONTRARY TO MORALS).
 502044 - REFERS TO A CONDITION OF ENFORCED AND
COMPULSORY SERVICE INDUCED BY MEANS OF ANY
SCHEME, PLAN OR PATTERN, INTENDED TO CAUSE A
PERSON TO BELIEVE THAT IF HE OR SHE DID NOT ENTER
INTO OR CONTINUE IN SUCH CONDITION, HE OR SHE OR
ANOTHER PERSON WOULD SUFFER SERIOUS HARM OR
OTHER FORMS OF ABUSE OR PHYSICAL RESTRAINT, OR INVOLUNTARY SERVITUDE
THREAT OF ABUSE OR HARM, OR COERCION INCLUDING
DEPRIVING ACCESS TO TRAVEL DOCUMENTS AND
WITHHOLDING SALARIES, OR ABUSE OR THREATENED
ABUSE OF THE LEGAL PROCESS (ANY STIPULATION
MANIFESTING THIS IS VOID SINCE IT IS CONTRARY TO
MORALS).
502045 - IS A BASIC PRINCIPLE OF CONTRACTS WHICH
ASSERTS THAT THE CONTRACT MUST BIND BOTH
MUTUALITY OF CONTRACTS
CONTRACTING PARTIES AND ITS VALIDITY OR COMPLIANCE
CANNOT BE LEFT TO THE WILL OF ONE OF THEM.
502046 - IS A BASIC PRINCIPLE OF CONTRACTS WHICH
ASSERTS THAT CONTRACTS TAKE EFFECT ONLY BETWEEN
THE PARTIES, THEIR ASSIGNS AND HEIRS, EXCEPT WHERE RELATIVITY OF CONTRACTS
THE RIGHTS AND OBLIGATION ARE NOT TRANSMISSIBLE BY
LAW, BY STIPULATION OR BY NATURE.
502047 - RULE ON THE LIABILITY OF HEIRS WITH RESPECT TO WITH RESPECT TO THE HEIR, HE SHALL NOT BE LIABLE
THE OBLIGATIONS OF THEIR DECEDENT PASSED ONTO BEYOND THE VALUE OF THE PROPERTY HE RECEIVED FROM
THEM THE DECEDENT.
502048 - IS A BASIC PRINCIPLE OF CONTRACTS WHICH
ASSERTS THAT (IN GENERAL) CONTRACTS ARE PERFECTED CONSENSUALITY OF CONTRACTS
BY MERE CONSENT.
502049 - ARE BASIC PRINCIPLES OF A CONTRACT WHICH
ASSERTS THAT OBLIGATIONS ARISING FROM CONTRACTS
OBLIGATORY FORCE OF CONTRACTS AND COMPLIANCE IN
SHALL HAVE THE FORCE OF LAW BETWEEN THE
GOOF FAITH
CONTRACTING PARTIES AND SHOULD BE COMPLIED WITH IN
GOOD FAITH.
502050 - IS THE MANIFESTATION OF THE MEETING OF THE
OFFER AND THE ACCEPTANCE UPON THE THING AND THE CONSENT
CAUSE WHICH ARE TO CONSTITUTE THE CONTRACT.
502051 - THE OFFER MUST BE __________ BECAUSE THERE
COULD BE NO MEETING OF MINDS IF IT IS VAGUE OR NOT CERTAIN
DEFINITE.
502052 - __________ OF THIS FOR SALE ARE NOT DEFINITE
OFFERS, BUT MERE INVITATIONS TO MAKE AN OFFER BUSINESS ADVERTISEMENTS
UNLESS IT APPEARS OTHERWISE.
502053 - AN OFFER BECOMES __________ UPON THE DEATH,
CIVIL INTERDICTION, INSANITY OR INSOLVENCY OF EITHER
INEFFECTIVE
PARTY (OFFEROR OR OFFEREE) BEFORE ACCEPTANCE IS
CONVEYED.
THE OFFER MAY BE WITHDRAWN ANY TIME BEFORE
502054 - TIME WHEN THE OFFEROR MAY WITHDRAW HIS
ACCEPTANCE BY COMMUNICATING SUCH WITHDRAWAL,
OFFER IF HE HAS ALLOWED THE OFFEREE A CERTAIN
EXCEPT WHEN THE OPTION IS FOUNDED UPON A
PERIOD TO ACCEPT.
CONSIDERATION AS SOMETHING PAID OR PROMISED.
502055 - IS A CONTRACT WHEREBY THE OFFEROR GIVES
THE OFFEREE A CERTAIN PERIOD WITHIN WHICH TO BUY OR OPTION
NOT TO BUY A CERTAIN OBJECT FOR A FIXED PRICE.
THE OFFEROR MAY WITHDRAW THE OFFER AT ANYTIME
502056 - RIGHT OF THE OFFEROR TO WITHDRAW THE OFFER
WITHIN THE OPTION PERIOD PROVIDED THERE HAS NOT YET
IF THERE IS NO CONSIDERATION FOR THE OPTION
BEEN ANY ACCEPTANCE.
THE OFFEROR MAY NOT WITHDRAW THE OFFER BEFORE
502057 - RIGHT OF THE OFFEROR TO WITHDRAW THE OFFER THE LAPSE OF THE PERIOD AGREED UPON; OTHERWISE, HE
IF THERE IS A CONSIDERATION FOR THE OPTION WILL BE LIABLE FOR DAMAGES TO THE OFFEREE FOR
BREACH OF CONTRACT.
502058 - IS THE UNQUALIFIED AND TOTAL AGREEMENT IN
ABSOLUTE ACCEPTANCE
ACCEPTING A LIABILITY OR RESPONSIBILITY.
502059 - IF THE ACCEPTANCE IS QUALIFIED, IT CONSTITUTES
A _________ AND HAS THE EFFECT OF REJECTING THE COUNTER-OFFER
OFFER.
502060 - IS A THEORY WHICH ASSERTS THAT A CONTRACT IS
PERFECTED FROM THE MOMENT THE OFFEREE'S
ACCEPTANCE COMES TO THE KNOWLEDGE OF THE COGNITIVE THEORY
OFFEROR (THEORY FOLLOWED IN PHILIPPINE
JURISDICTION).
502061 - TIME WHEN ACCEPTANCE MADE BY LETTER OR IT BINDS THE OFFEROR AT THE TIME THE ACCEPTANCE BY
TELEGRAM BINDS THE OFFEROR LETTER OR TELEGRAM COMES TO HIS KNOWLEDGE.
THE PLACE WHERE A CONTRACT HAS BEEN ENTERED INTO
502062 - PRESUMPTION ON THE PLACE WHERE A CONTRACT
IS PRESUMED TO BE THE SAME PLACE WHERE THE OFFER
IS MADE
WAS MADE.
502063 - A CONTRACT IS GOVERNED BY THE LAW OF THE
WHERE IT WAS ENTERED INTO.
PLACE __________.
502064 - IS AN ACCEPTANCE MADE ORALLY OR IN WRITING. EXPRESS ACCEPTANCE
502065 - IS AN ACCEPTANCE WHICH CAN BE INFERRED FROM
IMPLIED ACCEPTANCE
THE CONDUCT OF THE PARTIES.
502066 - AN OFFER MADE THROUGH AN AGENT IS ACCEPTED
HIM (THE AGENT)
FROM THE TIME IT IS COMMUNICATED TO _________.
502067 - IS A PERSON'S AUTHORITY UNDER LAW TO ENGAGE
IN A PARTICULAR UNDERTAKING OR MAINTAIN A LEGAL CAPACITY
PARTICULAR STATUS.
1. UNEMANCIPATED MINORS
502068 - PERSONS WHO CANNOT GIVE CONSENT TO A
2. INSANE OR DEMENTED PERSONS
CONTRACT (3 ITEMS)
3. DEAF-MUTES WHO DO NOT KNOW HOW TO WRITE
502069 - TAKES PLACE BY THE ATTAINMENT OF THE AGE OF
EMANCIPATION
MAJORITY WHICH IS 18 YEARS.
502070 - CONTRACTS ENTERED INTO BY INSANE OR
DEMENTED PERSONS DURING _________ ARE VALID.
LUCID INTERVAL; LUCID INTERVAL
__________ REFERS TO THE PERIOD OF TEMPORARY SANITY
OF AN INSANE PERSON.
502071 - STATUS OF CONTRACTS ENTERED INTO WHEREIN
VOIDABLE
ONE PARTY IS INCAPACITATED TO GIVE CONSENT
502072 - STATUS OF CONTRACTS ENTERED INTO WHEREIN
UNENFORCEABLE
BOTH PARTIES ARE INCAPACITATED TO GIVE CONSENT
502073 - STATUS OF A CONTRACT WHEREIN AN
INCAPACITATED PERSON PAYS A REASONABLE PRICE FOR VALID
FOOD AND OTHER NECESSARIES SOLD TO HIM.
502074 - STATUS OF CONTRACTS AGREED TO IN A STATE OF
VOIDABLE
DRUNKENNESS OR DURING HYPNOTIC SPELL
502075 - STATUS OF CONTRACTS WHERE CONSENT IS GIVEN
THROUGH MISTAKE, VIOLENCE, INTIMIDATION, UNDUE VOIDABLE
INFLUENCE OR FRAUD
1. MISTAKE
2. INTIMIDATION
502076 - VICES OF CONSENT (5 ITEMS) 3. VIOLENCE
4. UNDUE INFLUENCE
5. FRAUD
502077 - IS AN ERROR IN UNDERSTANDING FACTS. MISTAKE
502078 - VALID OR INVALID CONSENT: MISTAKE REFERS TO
THE SUBSTANCE OF THE THING WHICH IS THE OBJECT OF INVALID CONSENT
THE CONTRACT.
502079 - VALID OR INVALID CONSENT: MISTAKE REFERS TO
THOSE CONDITIONS WHICH HAVE PRINCIPALLY MOVED ONE INVALID CONSENT
OR BOTH PARTIES TO ENTER INTO THE CONTRACT.
502080 - VALID OR INVALID CONSENT: MISTAKE REFERS TO
THE IDENTITY OR QUALIFICATIONS OF ONE OF THE PARTIES
INVALID CONSENT
AND SUCH IDENTITY OR QUALIFICATIONS HAVE BEEN THE
PRINCIPAL CAUSE OF THE CONTRACT.
502081 - VALID OR INVALID CONSENT: MISTAKE REFERS TO
THE LEGAL EFFECT OF AN AGREEMENT WHEN THE REAL
INVALID CONSENT
PURPOSE OF THE PARTIES IS FRUSTRATED AND THE SAME
IS MUTUAL.
502082 - VALID OR INVALID CONSENT: MISTAKE REFERS TO A VALID CONSENT (SUCH MISTAKE SHALL ONLY BE
SIMPLE MISTAKE OF ACCOUNT. CORRECTED.)
 VALID CONSENT (E.G., A THING IS SOLD AT A VERY LOW
502083 - VALID OR INVALID CONSENT: THE PARTY ALLEGING
PRICE. BUYER THEN ALLEGES THAT THE THING SOLD TO HIM
MISTAKE KNEW THE DOUBT, CONTINGENCY OR RISK
HAS BEEN STOLEN BY THE SELLER FROM ANOTHER
AFFECTING THE OBJECT OF A CONTRACT.
PERSON.)
GR: HE WHO ALLEGES FRAUD OR MISTAKE MUST PROVE
THE SAME.
XPN: WHEN ONE PARTY IS UNABLE TO READ OR DOES NOT
502084 - RULE ON WHO HAS THE BURDEN OF PROOF WITH
UNDERSTAND THE LANGUAGE OF THE CONTRACT, IF
REGARD TO THE ALLEGATIONS OF MISTAKE OR FRAUD
MISTAKE OR FRAUD IS ALLEGED, THE PERSON ENFORCING
THE CONTRACT MUST SHOW THAT THE TERMS THEREOF
HAVE BEEN FULLY EXPLAINED TO THE FORMER.
502085 - THERE IS ___________ WHEN IN ORDER TO WREST
CONSENT, SERIOUS OR IRRESISTIBLE FORCE IS EMPLOYED
(WHETHER BY ONE OF THE CONTRACTING PARTIES TO THE VIOLENCE
OTHER OR A THIRD PERSON WHO DID NOT TAKE PART IN
THE CONTRACT).
502086 - THERE IS ___________ WHEN ONE OF THE
CONTRACTING PARTIES IS COMPELLED BY A REASONABLE
AND WELL-GROUNDED FEAR OF AN IMMINENT AND GRAVE
INTIMIDATION
EVIL UPON HIS PERSON OR PROPERTY, OR UPON THE
PERSON OR PROPERTY OF HIS SPOUSE, DESCENDANTS OR
ASCENDANTS TO GIVE HIS CONSENT.
1. AGE
502087 - FACTORS TO BE CONSIDERED IN DETERMINING THE
2. SEX
DEGREE OF INTIMIDATION (3 ITEMS)
3. CONDITION OF THE PERSON
NO INTIMIDATION EXISTS IN CASE OF A THREAT TO
502088 - WHEN NO INTIMIDATION EXISTS ENFORCE ONE'S CLAIM THROUGH COMPETENT AUTHORITY,
IF THE CLAIM IS JUST AND LEGAL.
502089 - THERE IS __________ WHEN A PERSON TAKES
IMPROPER ADVANTAGE OF HIS POWER OVER THE WILL OF
UNDUE INFLUENCE
ANOTHER, DEPRIVING THE LATTER OF A REASONABLE
FREEDOM OF CHOICE.
502090 - KIND OF FRAUD THAT VITIATES CONSENT DOLO CAUSANTE OR CAUSAL FRAUD
502091 - KIND OF FRAUD: WHEN THROUGH THE INSIDIOUS
WORDS OR MCHINATIONS OF ONE OF THE CONTRACTING
PARTIES, THE OTHER IS INDUCED TO ENTER INTO A ACTIVE FRAUD
CONTRACT WHICH, WITHOUT THEM, HE WOULD NOT HAVE
AGREED TO.
502092 - KIND OF FRAUD: WHEN THERE IS A FAILURE TO
DISCLOSE FACTS, WHEN THERE IS A DUTY TO REVEAL
PASSIVE FRAUD
THEM, AS WHEN THE PARTIES ARE BOUND BY
CONFIDENTIAL RELATIONS.
502093 - IF CAUSAL FRAUD VITIATES CONSENT, EFFECT OF INCIDENTAL FRAUD ONLY OBLIGES THE PERSON
INCIDENTAL FRAUD TO A CONTRACT EMPLOYING IT TO PAY DAMAGES.
THE BAD FAITH OF ONE WILL NEGATE THE BAD FAITH OF
502094 - EFFECT WHEN FRAUD HAS BEEN EMPLOYED BY
THE OTHER. THE LAW WILL CONSIDER BOTH OF THEM IN
BOTH CONTRACTING PARTIES
GOOD FAITH; HENCE, THE CONTRACT WILL BE VALID.
502095 - EFFECT IN CASE OF THE USUAL EXAGERRATIONS IN
TRADE IN ORDER TO OBTAIN CONSENT, WHEN THE OTHER NO FRAUD EXISTS.
PARTY HAD AN OPPORTUNITY TO KNOW THE FACTS.
502096 - EFFECT IN CASE OF A MERE EXPRESSION OF AN
OPINION IN ORDER TO OBTAIN CONSENT, UNLESS MADE BY
NO FRAUD EXISTS.
AN EXPERT AND THE OTHER PARY HAS RELIED ON THE
FORMER'S SPECIAL KNOWLEDGE.
502097 - IS A CONTRACT THAT DOES NOT INTEND TO HAVE
ANY LEGAL EFFECT ON OR CHANGE IN THE JURIDICAL SIMULATED CONTRACT
SITUATION OF THE PARTIES.
1. ABSOLUTELY SIMULATED
502098 - KINDS OF SIMULATED CONTRACTS (2 ITEMS)
2. RELATIVELY SIMULATED
502099 - IS A SIMULATED CONTRACT WHERE THE PARTIES
DO NOT INTEND TO BE BOUND AT ALL. BEING FICTITIOUS IT ABSOLUTELY SIMULATED CONTRACT
IS VOID.
 502100 - IS A SIMULATED CONTRACT WHERE THE PARTIES
CONCEAL THEIR TRUE AGREEMENT. THE PARTIES HERE ARE
BOUND BY THEIR REAL AGREEMENT PROVIDED IT DOES NOT
RELATIVELY SIMULATED CONTRACT
PREJUDICE A THIRD PERSON AND IS NOT INTENDED FOR
ANY PURPOSE CONTRARY TO LAW, MORALS, GOOD
CUSTOMS, PUBLIC ORDER AND PUBLIC POLICY.
SUBJECT TO CERTAIN CRITERIA:
502101 - ITEMS THAT MAY BE OBJECTS OF CONTRACTS (3 1. THINGS
ITEMS) 2. RIGHTS
3. SERVICES
1. MUST BE WITHIN THE COMMERCE OF MEN
2. MUST BE TRANSMISSIBLE
502102 - REQUISITES TO BE AN OBJECT OF A CONTRACT (5 3. MUST NOT BE CONTRARY TO LAW, MORALS, GOOD
ITEMS) CUSTOMS, PUBLIC ORDER AND PUBLIC POLICY
4. MUST NOT BE IMPOSSIBLE
5. MUST BE DETERMINATE OR DETERMINABLE
502103 - FOR A THING TO BECOME A VALID OBJECT OF A
CONTRACT, IT MUST BE __________ - MEANING THAT THE
OBJECT MUST BE CAPABLE OF BEING OWNED, POSSESSED, WITHIN THE COMMERCE OF MEN
ACQUIRED AND TRANSFERRED FROM ONE PERSON TO
ANOTHER.
502104 - A THING THAT IS __________ IS CAPABLE OF BEING
FIRMLY DECIDED OR DEFINITELY ASCERTAINED WITHOUT
DETERMINABLE
THE NEED OF A NEW CONTRACT OR AGREEMENT BETWEEN
THE PARTIES.
502105 - IS THE ESSENTIAL REASON THY A PARTY ENTERS
CAUSE
INTO A CONTRACT.
1. IT MUST EXIST.
502106 - REQUISITES OF CAUSE (3 ITEMS) 2. IT MUST BE LAWFUL.
3. IT MUST BE TRUE.
502107 - CAUSE OR MOTIVE: IS THE ESSENTIAL REASON OF
CAUSE
THE CONTRACT.
502108 - CAUSE OR MOTIVE: IS THE PRIVATE OR SECRET
MOTIVE
REASON OR INTENTION OF A CONTRACTING PARTY.
502109 - CAUSE OR MOTIVE: THE CONTRACT IS VOID IF THE
CAUSE
__________ IS ILLEGAL.
502110 - CAUSE OR MOTIVE: THE VALIDITY OF THE
CONTRACT IS NOT AFFECTED BY THE ILLEGALITY OF THE MOTIVE
__________.
502111 - CAUSE OR MOTIVE: THE __________ OF A
CONTRACT IS ALWAYS KNOWN TO THE CONTRACTING CAUSE
PARTIES.
502112 - CAUSE OR MOTIVE: THE __________ OF ONE PARTY
MOTIVE
MAY NOT BE KNOWN TO THE OTHER.
502113 - IS THE INADEQUACY OF CAUSE. LESION
1. RESCISSIBLE CONTRACT
2. VOIDABLE CONTRACT
502114 - TYPES OF DEFECTIVE CONTRACTS (4 ITEMS)
3. UNENFORCEABLE CONTRACT
4. VOID CONTRACT
502115 - IS A DEFECTIVE CONTRACT WHICH HAS ALL THE
ESSENTIAL REQUISITES OF A CONTRACT BUT WHICH MAY BE
RESCISSIBLE CONTRACT
SET ASIDE BY REASON OF EQUITY ON ACCOUNT OF DAMAGE
TO ONE OF THE PARTIES OR UPON A THIRD PERSON.
502116 - STATUS OF RESCISSIBLE CONTRACTS VALID AND BINDING UNLESS RESCINDED
 1. CONTRACTS ENTERED INTO BY GUARDIANS WHENEVER
THE WARD WHOM THEY REPRESENT SUFFER LESION OF
MORE THAN ONE-FOURTH OF THE THINGS WHICH ARE THE
OBJECT THEREOF.
2. THOSE AGREED TO IN REPRESENTATION OF ABSENTEES,
IF THE LATTER SUFFER LESION BY MORE THAN ONE-
FOURTH OF THE VALUE OF THE THING WHICH ARE THE
OBJECT THEREOF.
502117 - EXAMPLES OF RESCISSIBLE CONTRACTS (5 ITEMS) 3. CONTRACTS UNDERTAKEN IN FRAUD OF CREDITORS
WHEN THE LATTER CANNOT IN ANY MANNER COLLECT THE
CLAIMS DUE THEM.
4. THOSE WHICH REFER TO THINGS UNDER LITIGATION IF
THEY HAVE BEEN ENTERED INTO BY THE DEFENDANT
WITHOUT THE KNOWLEDGE AND APPROVAL OF THE
LITIGANTS OR OF COMPETENT JUDICIAL AUTHORITY.
5. ALL OTHER CONTRACTS SPECIALLY DECLARED BY LAW
TO BE SUBJECT TO RESCISSION.
502118 - IS THE REMEDY ALLOWED BY LAW TO THE
CONTRACTING PARTIES AND EVEN TO THIRD PERSONS, TO
SECURE THE REPARATION OF DAMAGES CAUSED TO THEM
BY A CONTRACT, EVEN IF IT SHOULD BE VALID, BY MEANS RESCISSION
OF THE RESTORATION OF THINGS TO THEIR CONDITION AT
THE MOMENT PRIOR TO THE CELEBRATION OF SAID
CONTRACT.
1. THE PARTY SUFFERING DAMAGE MUST HAVE NO OTHER
LEGAL MEANS TO OBTAIN REPARATION FOR THE SAME.
2. THE PARTY DEMANDING RESCISSION MUST BE ABLE TO
RETURN WHATEVER HE MAY BE OBLIGED TO RESTORE.
3. THE THING OBJECT OF THE CONTRACT MUST NOT BE
502119 - REQUISITES FOR RESCISSION (4 ITEMS) LEGALLY IN THE POSSESSION OF A THIRD PERSON WHO
ACTED IN GOOD FAITH (OTHERWISE INDEMNITY FOR
DAMAGES MAY BE DEMANDED FROM THE PERSON CAUSING
THE LOSS).
4. THE ACTION FOR RESCISSION MUST BE BROUGHT WITHIN
THE PERIOD ALLOWED BY LAW.
GR: 4 YEARS FROM THE DATE OF CONTRACT
XPNS:
502120 - PRESCRIPTIVE PERIOD FOR THE ACTION OF 1. FOR PERSONS UNDER GUARDIANSHIP - 4 YEARS FROM
RESCISSION (GR AND XPNS) TERMINATION OF INCAPACITY
2. FOR ABSENTEES - 4 YEARS FROM THE TIME THE
ABSENTEE'S DOMICILE IS KNOWN
RESCISSION SHALL ONLY BE TO THE EXTENT NECESSARY
502121 - EXTENT OF RESCISSION
TO COVER THE DAMAGES CAUSED.
502122 - IS THE TRANSFER OF THE PROPERTY AND
POSSESSION OF LANDS, TENEMENTS, OR OTHER THINGS, ALIENATION
FROM ONE PERSON TO ANOTHER.
1. ALIENATIONS BY GRATUITOUS TITLE - THE DEBTOR DID
NOT RESERVE SUFFICIENT PROPERTY TO PAY ALL DEBTS
CONTRACTED BEFORE DONATION.
502123 - TYPES OF ALIENATIONS IN FRAUD OF CREDITORS (2
2. ALIENATIONS BY ONEROUS TITLE - SALE OR EXCHANGE
ITEMS)
MADE BY PERSONS AGAINST WHO JUDGMENT HAS BEEN
RENDERED IN ANY INSTANCE OR SOME WRIT OF
ATTACHMENT HAS BEEN ISSUED.
1. THE PURCHASER IN BAD FAITH SHALL BE LIABLE FOR
DAMAGES IN CASE THE THING IS LOST WHETHER THROUGH
502124 - EFFECT OF ALIENATION IN FRAUD OF CREDITOR
HIS OWN FAULT OR FORTUITOUS EVENT.
WITH REGARD TO THE PERSON IN BAD FAITH ACQUIRING
2. IF THERE ARE TWO OR MORE ALIENATIONS, THE FIRST
THE THING (2 ITEMS)
ACQUIRER SHALL BE LIABLE FIRST, AND SO ON
SUCCESSIVELY PROVIDED THEY ARE ALSO IN BAD FAITH.
1. THE PURCHASER IN GOOD FAITH SHALL NOT BE LIABLE
NOTWITHSTANDING THE FRAUDULENT INTENTION OF THE
502125 - EFFECT OF ALIENATION IN FRAUD OF CREDITOR
DEBTOR IN DISPOSING THE PROPERTY.
WITH REGARD TO THE PERSON IN GOOD FAITH ACQUIRING
2. IF THERE ARE SUBSEQUENT TRANSFERS, THE
THE THING (2 ITEMS)
TRANSFEREES SHALL NOT BE LIABLE EVEN IF THEY WERE IN
BAD FAITH.
502126 - IS A CONTRACT THAT IS DEFECTIVE BY REASON OF
INCAPACITY OR VITIATED CONSENT OF ONE OF THE VIOIDABLE CONTRACT
PARTIES.
 VALID AND BINDING UNLESS ANNULED BY A PROPER ACTION
502127 - STATUS OF VOIDABLE CONTRACTS
IN COURT
1. THOSE WHERE ONE OF THE PARTIES IS INCAPABLE OF
GIVING CONSENT TO A CONTRACT
2. THOSE WHERE THE CONSENT IS VITIATED BY MISTAKE,
VIOLENCE, INTIMIDATION, UNDUE INFLUENCE OR FRAUD
502128 - EXAMPLES OF VOIDABLE CONTRACTS (4 ITEMS)
3. THOSE WHERE CONSENT IS GIVEN IN A STATE OF
DRUNKENNESS
4. THOSE WHERE CONSENT IS GIVEN DURING A HYPNOTIC
SPELL
1. UNEMANCIPATED MINORS
502129 - PERSONS INCAPABLE OF GIVING CONSENT TO A
2. INSANE OR DEMENTED PERSON
CONTRACT (3 ITEMS)
3. DEAF-MUTES WHO DO NOT KNOW HOW TO WRITE
502130 - IS THE ACTION BROUGHT TO SET ASIDE A VOIDABLE
ANNULMENT
CONTRACT.
502131 - ANNULMENT OR RESCISSION: IS BROUGHT TO
ANNULMENT
DECLARE THE INEFFICACY INHERENT IN THE CONTRACT.
502132 - ANNULMENT OR RESCISSION: IS AVAILED OF TO
PRODUCE THE INEFFICACY WHICH DID NOT EXIST IN THE RESCISSION
CONTRACT.
502133 - ANNULMENT OR RESCISSION: IS BASED ON
ANNULMENT
VITIATED CONSET; HENCE, DAMAGE IS IMMATERIAL.
502134 - ANNULMENT OR RESCISSION: IS BASED ON LESION
RESCISSION
OR DAMAGE.
502135 - ANNULMENT OR RESCISSION: THE ACTION IS
ANNULMENT
PRINCIPAL.
502136 - ANNULMENT OR RESCISSION: THE ACTION IS
RESCISSION
SUBSIDIARY.
502137 - ANNULMENT OR RESCISSION: IS A SANCTION
ANNULMENT
WHERE THE LAW PREDOMINATES.
502138 - ANNULMENT OR RESCISSION: IS A REMEDY WHERE
RESCISSION
EQUITY PREDOMINATES.
502139 - ANNULMENT OR RESCISSION: IS AVAILABLE ONLY
TO THE PARTIES, WHETHER BOUND PRINCIPALLY OR ANNULMENT
SUBSIDIARILY.
502140 - ANNULMENT OR RESCISSION: IS AVAILABLE NOT
ONLY TO THE CONTRACTING PARTIES BUT ALSO TO THIRD RESCISSION
PERSONS WHOSE INTERESTS ARE AFFECTED.
1. INTIMADATION, VIOLENCE OR UNDUE INFLUENCE - 4
YEARS FROM THE TIME THE DEFECT OF CONSENT CEASES
502141 - PRESCRIPTIVE PERIOD FOR THE ACTION OF 2. MISTAKE OR FRAUD - 4 YEARS FROM THE TIME OF
ANNULMENT (3 ITEMS) DISCOVERY OF MISTAKE OR FRAUD
3. MINORITY OR OTHER INCAPACITY OF A PARTY - 4 YEARS
FROM THE TIME GUARDIANSHIP CEASES
1. GUARDIAN OF THE INCAPACITATED PERSON DURING THE
LATTER'S INCAPACITY
502142 - PERSONS WHO MAY BRING ACTION FOR 2. INCAPACITATED PERSON AFTER HE HAS ATTAINED
ANNULMENT (3 ITEMS) CAPACITY
3. THE PARTY WHOSE CONSENT IS VITIATED BY MISTAKE,
VIOLENCE, INTIMIDATION, UNDUE INFLUENCE OR FRAUD
502143 - IS A MAXIM OF EQUITY WHICH PROHIBITS THE
PERSON WHO EMPLOYED THE VICE OF CONSENT OR HE WHO COMES TO COURT MUST COME WITH CLEAN
CAPACITATED PERSON IN A VOIDABLE CONTRACT FOR HANDS.
BRINGING UP THE ACTION FOR ANNULMENT.
502144 - ITEMS TO BE RESTORED BY THE CONTRACTING 1. THE THINGS WHICH HAVE BEEN THE SUBJECT MATTER OF
PARTIES IN CASE OF ANNULMENT OF A CONTRACT THE CONTRACT, WITH THEIR FRUITS
INVOLVING OBLIGATIONS TO GIVE (2 ITEMS) 2. THE PRICE WITH ITS INTEREST
502145 - ITEM TO BE RESTORED BY THE CONTRACTING
THE VALUE OF THE SERVICE SHALL BE THE BASIS OF
PARTIES IN CASE OF ANNULMENT OF A CONTRACT
DAMAGES
INVOLVING OBLIGATIONS TO RENDER SERVICE
502146 - REQUIREMENT FOR ONE OF THE PARTIES IN A THE INCAPACITATED PERSON IS NOT OBLIGED TO MAKE ANY
VOIDABLE CONTRACT WHO IS INCAPACITATED TO MAKE ANY RESTITUTION EXCEPT INSOFAR AS HE HAS BEEN BENEFITED
RESTITUTION BY THE THING OR PRICE RECEIVED BY HIM.
 THE SAID PARTY SHALL RETURN THE FOLLOWING:
502147 - OBLIGATIONS CREATED WHEN THE THING IS LOST
1. FRUITS RECEIVED
THROUGH THE FAULT OF THE PARTY OBLIGED BY THE
2. VALUE OF THE THING AT THE TIME OF THE LOSS
DECREE OF ANNULMENT TO RETURN IT (3 ITEMS)
3. INTEREST FROM THE TIME OF THE LOSS
502148 - EFFECT IF ONE OF THE PARTIES IN A VOIDABLE THE OTHER PARTY CANNOT BE COMPELLED TO COMPLY
CONTRACT TO BE ANNULED CANNOT RESTORE WHAT HE IS WITH WHAT IS INCUMBENT UPON HIM (MUTUAL RESTITUTION
BOUND TO RETURN IN THE DECREE OF ANNULMENT IS REQUIRED).
502149 - EFFECT OF LOSS OF THING THROUGH THE FAULT THE ACTION FOR ANNULMENT IS EXTINGUISHED, WHETHER
OF THE PARTY WHO HAS THE RIGHT TO BRING THE ACTION SUCH PARTY IS INCAPACITATED OR HIS CONSENT IS
FOR ANNULMENT WHILE THE SAME IS IN HIS POSSESSION VITIATED.
HE CAN STILL BRING AN ACTION FOR ANNULMENT.
502150 - EFFECT OF LOSS OF THING WITHOUT THE FAULT OF
HOWEVER, HE WILL BE REQUIRED TO RETURN THE VALUE
THE PARTY WHO HAS THE RIGHT TO BRING THE ACTION FOR
OF THE THING AND ITS FRUITS AND ONLY UP TO THE
ANNULMENT WHILE THE SAME IS IN HIS POSSESSION
EXTENT THAT HE HAS BEEN BENEFITED.
502151 - IS THE ADOPTION OR AFFIRMATION OF A CONTRACT
WHICH IS DEFECTIVE BECAUSE OF A PARTY'S VITIATED RATIFICATION
CONSENT OR INCAPACITY.
1. EXPRESS
502152 - FORMS OF RATIFICATION (2 ITEMS)
2. IMPLIED OR TACIT
502153 - IS A FORM OF RATIFICATION WHICH IS MADE
EXPRESS RATIFICATION
ORALLY OR IN WRITING.
502154 - IS A FORM OF RATIFICATION THAT EXISTSIF WITH
KNOWLEDGE OF THE REASON WHICH RENDERS THE
CONTRACT VOIDABLE AND SUCH REASON HAVING CEASED,
IMPLIED OR TACIT RATIFICATION
THE PERSON WHO HAS A RIGHT TO INVOKEE IT EXECUTES
AN ACT WHICH NECESSARILY IMPLIES AN ACTION TO WAIVE
HIS RIGHT.
1. GUARDIAN OF THE INCAPACITATED PERSON DURING THE
LATTER'S INCAPACITY
502155 - PERSONS WHO MAY RATIFY A VOIDABLE CONTRACT 2. INCAPACITATED PERSON AFTER HE HAS ATTAINED
(3 ITEMS) CAPACITY
3. THE PARTY WHOSE CONSENT IS VITIATED BY MISTAKE,
VIOLENCE, INTIMIDATION, UNDUE INFLUENCE OR FRAUD
1. IT EXTINGUISHES THE ACTION TO ANNUL A VOIDABLE
CONTRACT.
502156 - EFFECTS OF RATIFICATION (2 ITEMS)
2. IT CLEANSES THE CONTRACT FROM ALL ITS DEFECTS
FROM THE MOMENT IT WAS CONSTITUTED.
502157 - IS A DEFECTIVE CONTRACT THAT CANNOT BE
UNENFORCEABLE CONTRACT
ENFORCED UNLESS RATIFIED.
THIS RIGHT IS AVAILABLE ONLY TO THE CONTRACTING
502158 - PERSONS WHO HAVE THE RIGHT TO DEFENSE OF
PARTIES. UNENFORCEABLE CONTRACTS CANNOT BE
UNENFORCEABILITY
ASSAILED BY THIRD PERSONS.
1. THOSE ENTERED INTO IN THE NAME OF ANOTHER
PERSON BY ONE WHO HAS BEEN GIVEN NO AUTHORITY OR
LEGAL REPRESENTATION, OR WHO HAS ACTED BEYOND HIS
502159 - EXAMPLES OF UNENFORCEABLE CONTRACTS (3 POWERS
ITEMS) 2. THOSE THAT DO NOT COMPLY WITH THE STATUTE OF
FRAUDS
3. THOSE WHERE BOTH PARTIES ARE INCAPABLE OF GIVING
CONSENT TO A CONTRACT
502160 - IS A WRITTEN LAW DESIGNED TO PREVENT THE
COMMISSION OF FRAUD BY REQUIRING CERTAIN
CONTRACTS TO BE IN WRITING AND BE SUBSCRIBED BY THE STATUTE OF FRAUDS
PARTY CHARGED. IT APPLIES ONLY TO WHOLLY EXECUTORY
CONTRACTS.
502161 - ARE CONTRACTS WHERE NO PERFORMANCE HAS
EXECUTORY CONTRACTS
YET BEEN MADE BY BOTH CONTRACTING PARTIES.
 1. AN AGREEMENT THAT BY ITS TERMS IS NOT TO BE
PERFORMED WITHIN A YEAR FROM THE MAKING THEREOF
2. A SPECIAL PROMISE TO ANSWER FOR THE DEBT, DEFAULT
OR MISCARRIAGE OF ANOTHER (GUARANTY)
3. AN AGREEMENT IN CONSIDERATION OF MARRIAGE,
OTHER THAN MUTUAL PROMISE TO MARRY
502162 - EXECUTORY CONTRACTS THAT MUST BE IN
4. SALE OF GOODS, CHATTELS OR THINGS IN ACTION AT A
WRITING TO BE ENFORCEABLE ACCORDING TO THE
PRICE NOT LESS THAN P500
STATUTE OF FRAUDS (7 ITEMS)
5. AN AGREEMENT FOR THE LEASING OF A REAL PROPERTY
OR OF AN INTEREST THEREIN FOR MORE THAN 1 YEAR
6. SALE OF REAL PROPERTY OR AN INTEREST THEREIN
(REGARDLESS OF PRICE)
7. A REPRESENTATION AS TO THE CREDIT OF A THIRD
PERSON
502163 - MEANS ANY PROPERTY OTHER THAN REAL ESTATE. CHATTEL
502164 - ARE ITEMS OF PROPERTY TO WHICH A PERSON IS
LEGALLY ENTITLED EITHER BECAUSE THE ITEMS ARE OWED
THINGS IN ACTION
IN A DEBT OR BECAUSE THE PERSON HAS ANOTHER LEGAL
CLAIM ON THEM.
1. BY FAILURE TO OBJECT TO THE PRESENTATION OF ORAL
502165 - MEANS OF RATIFICATION OF UNENFORCEABLE
EVIDENCE TO PROVE THEM
CONTRACTS BY VIOLATION OF STATUTE OF FRAUDS (2
2. BY THE ACCEPTANCE OF BENEFITS UNDER THEM (MAKING
ITEMS)
THE CONTRACT EXECUTED IN PART)
502166 - IN UNENFORCEABLE CONTRACTS WHERE BOTH OF
THE CONTRACT IS VOIDABLE AT THE INSTANCE OF THE
THE CONTRACTING PARTIES ARE INCAPACITATED, EFFECT
PARENT OR GUARDIAN OF THE PARTY WHO DID NOT RATIFY
WHEN THE PARENT OR GUARDIAN OF ONLY ONE PARTY
THE CONTRACT.
RATIFIES
502167 - IN UNENFORCEABLE CONTRACTS WHERE BOTH OF
THE CONTRACTING PARTIES ARE INCAPACITATED, EFFECT THE CONTRACT SHALL BE CONSIDERED VALIDATED FROM
WHEN BOTH PARENT OR GUARDIANS OF BOTH PARTIES INCEPTION.
RATIFY
502168 - IS A DEFECTIVE CONTRACT WHICH HAS NO FORCE
AND EFFECT FROM THE VERY BEGINNING, AS IF IT HAD
VOID CONTRACT
NEVER BEEN ENTERED INTO, AND WHICH CANNOT BE
VALIDATED EITHER BY TIME OR RATIFICATION.
502169 - WAIVER OF THE RIGHT TO SET UP THE DEFENSE OF THE RIGHT TO SET UP THE DEFENSE OF ILLEGALITY CANNOT
ILLEGALITY BE WAIVED.
502170 - PERSONS WHO MAY AVAIL THE RIGHT TO SET UP
ONLY THE CONTRACTING PARTIES OR THIRD PERSONS
THE DEFENSE OF ILLEGALITY OR DEFENSE FOR THE
WHOSE INTEREST ARE DIRECTLY AFFECTED
DECLARATION OF INEXISTENCE OF A CONTRACT
502171 - A CONTRACT CREATED AS THE DIRECT RESULT OF
VOID AND INEXISTENT
A PREVIOUS ILLEGAL CONTRACT IS __________/
1. THOSE WHOSE CAUSE, OBJECT OR PURPOSE IS
CONTRARY TO LAW, MORALS, GOOD CUSTOMS, PUBLIC
ORDER OR PUBLIC POLICY;
2. THOSE WHICH ARE ABSOLUTELY SIMULATED OR
FICTITIOUS;
3. THOSE WHOSE OBJECT OR CAUSE DID NOT EXIST AT THE
TIME OF THE TRANSACTION;
502172 - EXAMPLES OF VOID CONTRACTS (7 ITEMS) 4. THOSE WHOSE OBJECT IS OUTSIDE THE COMMERCE OF
MEN;
5. THOSE WHICH CONTEMPLATE AN IMPOSSIBLE SERVICE;
6. THOSE WHERE THE INTENTION OF THE PARTIES RELATIVE
TO THE PRINCIPAL OBJECT OF THE CONTRACT CANNOT BE
ASCERTAINED; AND
7. THOSE EXPRESSLY PROHIBITED OR DECLARED VOID BY
LAW.
1. DONATION BETWEEN SPOUSES DURING THE MARRIAGE
(EXCEPT MODARATE ONES)
2. SALE BETWEEN SPOUSES (EXCEPT WHEN THERE IS
SEPARATION OF PROPERTY)
502173 - CONTRACTS DECLARED VOID BY LAW (4 ITEMS) 3. CONTRACT WHICH STIPULATES THAT HOUSEHOLD
SERVICE SHALL BE WITHOUT ANY COMPENSATION
4. CONTRACT UPON FUTURE INHERITANCE (EXCEPT IN
CASES PROVIDED BY LAW SUCH AS IN THE MARRIAGE
SETTLEMENTS)
 (IN PARI DELICTO)
1. THEY SHALL HAVE NO RIGHT OF ACTION AGAINST EACH
502174 - EFFECTS OF ILLEGALITY OF A CONTRACT OTHER;
CONSIDERED AS A CRIMIINAL OFFENSE IF BOTH PARTIES 2. BOTH SHALL BE CRIMINALLY PROSECUTED; AND
ARE GUILTY (3 ITEMS) 3. THE EFFECTS AND INSTRUMENTS OF THE CRIME (THE
THINGS AND PRICE OF THE CONTRACT) SHALL BE
CONFISCATED IN FAVOR OF THE GOVERNMENT.
1. THE GUILTY PARTY WILL BE CRIMINALLY PROSECUTED;
2. NEITHER ONE MAY COMPEL THE OTHER TO COMPLY WITH
HIS UNDERTAKING;
502175 - EFFECTS OF ILLEGALITY OF A CONTRACT
3. THE INSTRUMENTS WILL BE CONFISCATED IN FAVOR OF
CONSIDERED AS A CRIMIINAL OFFENSE IF ONLY ONE PARTY
THE GOVERNMENT; AND
IS GUILTY (4 ITEMS)
4. THE INNOCENT PARTY SHALL NOT BE BOUND TO COMPLY
WITH HIS PROMISE IF HE HAS NOT YET GIVEN ANYTHING,
AND IF HE HAD GIVEN, HE MAY CLAIM FOR ITS RETURN.
502176 - EFFECTS OF ILLEGALITY OF A CONTRACT NOT NEITHER PARTY MAY RECOVER WHAT HE HAS GIVEN OR
CONSIDERED AS A CRIMINAL OFFENSE IF BOTH PARTIES DEMAND THE PERFORMANCE OF THE OTHER'S
ARE GUILTY UNDERTAKING.
1. THE GUILTY PARTY CANNOT RECOVER WHAT HE HAS
GIVEN NOR CAN HE ASK FOR THE FULFILLMENT OF WHAT
502177 - EFFECTS OF ILLEGALITY OF A CONTRACT NOT
HAS BEEN PROMISED HIM.
CONSIDERED AS A CRIMINAL OFFENSE IF ONLY ONE PARTY
2. THE INNOCENT PARTY MAY DEMAND THE RETURN OF
IS GUILTY (2 ITEMS)
WHAT HE HAS GIVEN WITHOUT ANY OBLIGATION TO COMPLY
WITH HIS PROMISE.
502178 - IS A UNIVERSAL DOCTRINE WHICH HOLDS THAT NO
ACTION ARISES, IN EQUITY OR LAW, FROM AN ILLEGAL
CONTRACT; NO SUIT CAN BE MAINTAINED FOR ITS SPECIFIC
PERFORMANCE, OR TO RECOVER THE PROPERTY AGREED
PARI DELICTO
TO BE SOLD OR DELIVERED, OR THE MONEY AGREED TO BE
PAID, OR DAMAGES FOR ITS VIOLATION. IT APPLIES ONLY
WHEN THERE IS EQUAL GUILT, AND NOT WHEN ONE PARTY
IS MORE GUILTY THAN THE OTHER.
1. THE PAYOR MAY RECOVER INTEREST HE PAID IN EXCESS
OF THE INTEREST ALLOWED BY USURY LAWS TOGETHER
WITH INTEREST FROM THE DATE OF PAYMENT.
2. A PARTY MAY RECOVER, IF PUBLIC INTEREST WILL BE
SUBSERVED, MONEY OR PROPERTY DELIVERED FOR
ILLEGAL PURPOSE PROVIDED HE REPUDIATES THE
502179 - EXCEPTIONS TO THE RULE OF PARI DELICTO (FIRST
CONTRACT BEFORE THE PURPOSE HAS BEEN
3 ITEMS)
ACCOMPLISHED OR BEFORE ANY DAMAGE HAS BEEN
CAUSED TO A THIRD PERSON.
3. AN INCAPACITATED PERSON WHO IS A PARTY TO AN
ILLEGAL CONTRACT MAY RECOVER, IF THE INTEREST OF
JUSTICE SO DEMANDS, MONEY OR PROPERTY DELIVERED
BY HIM.
4. A PERSON MAY RECOVER, IF PUBLIC POLICY IS THEREBY
ENHANCED, WHAT HE HAS PAID OR DELIVERED, IF THE
AGREEMENT IS NOT ILLEGAL PER SE BUT IS MERELY
PROHIBITED, AND THE PROHIBITION BY LAW IS DESIGNED
FOR HIS PROTECTION.
5. ANY PERSON MAY RECOVER ANY AMOUNT HE HAS PAID IN
EXCESS OF THE PRICE FIXED BY LAW FOR ANY ARTICLE OR
502180 - EXCEPTIONS TO THE RULE OF PARI DELICTO (LAST COMMODITY.
4 ITEMS) 6. A LABORER MAY DEMAND ADDITIONAL COMPENSATION
FOR SERVICE RENDERED BEYOND THE MAXIMUM NUMBER
OF HOURS OF LABOR IN A CONTRACT WHERE HE
UNDERTAKES TO WORK LONGER THAN THE MAXIMUM
HOURS FIXED.
7. A LABORER MAY RECOVER THE DEFICIENCY IN A
CONTRACT WHERE HE ACCEPTS A WAGE LOWER THAN THE
MINIMUM WAGE SET BY LAW.
502181 - RULE WHEN A CONTRACT IS DIVISIBLE AND THERE THE LEGAL TERMS MAY BE ENFORCED; THE ILLEGAL TERMS
ARE ILLEGAL TERMS ARE VOID, HENCE, THEY MAY NOT BE ENFORCED.
502182 - RULE WHEN A CONTRACT IS INDIVISIBLE AND THE WHOLE CONTRACT IS VOID; HENCE, NO PART THEREOF
THERE ARE ILLEGAL TERMS MAY BE ENFORCED.
502183 - IF A CONTRACT IS NOT IN THE FORM PROVIDED BY
VOID
LAW FOR ITS VALIDITY, THE CONTRACT IS __________.
502184 - REQUIRED FORM OF CONTRACT FOR VALIDITY FOR
IT MUST BE IN A PUBLIC DOCUMENT TOGETHER WITH THE
VALIDITY FOR VALIDITY: CONTRACT OF DONATION OF AN
ACCEPTANCE THEREOF BY THE DONEE.
IMMOVABLE
502185 - REQUIRED FORM OF CONTRACT FOR VALIDITY FOR
IT MUST BE IN WRITING TOGETHER WITH THE ACCEPTANCE
VALIDITY FOR VALIDITY: CONTRACT OF DONATION OF
OF THE DONEE.
PERSONAL PROPERTY WHOSE VALUE EXCEEDS P5,000
502186 - REQUIRED FORM OF CONTRACT FOR VALIDITY FOR
VALIDITY FOR VALIDITY: AUTHORITY OF THE AGENT TO SELL IT MUST BE IN WRITING; OTHERWISE, THE SALE IS VOID.
A PIECE OF LAND
502187 - REQUIRED FORM OF CONTRACT FOR VALIDITY FOR IT MUST BE IN A PUBLIC INSTRUMENT TO WHICH SHALL BE
VALIDITY FOR VALIDITY: CONTRACT OF PARTNERSHIP ATTACHED A SIGNED INVENTORY OF THE IMMOVABLE
WHERE IMMOVABLE PROPERTY IS CONTRIBUTED PROPERTY.
502188 - RIGHT OF THE PARTIES IF THE CONTRACT, THOUGH
THEY MAY COMPEL EACH OTHER TO OBSERVE THE PROPER
VALID AND ENFORCEABLE, IS NOT IN THE FORM REQUIRED
FORM REQUIRED BY LAW.
BY LAW
1. ACTS AND CONTRACTS WHICH HAVE FOR THEIR OBJECT
THE CREATION, TRANSMISSION, MODIFICATION OR
EXTINGUISHMENT OF REAL RIGHTS OVER IMMOVABLE
PROPERTY;
2. THE CESSION, REPUDIATION OR RENUNCIATION OF
502189 - CONTRACTS REQUIRED TO APPEAR IN A PUBLIC HEREDITARY RIGHTS OR OF THOSE OF CONJUGAL
DOCUMENT FOR THE CONVENIENCE OF THE PARTIES (4 PARTNERSHIP OF GAINS;
ITEMS) 3. THE POWER TO ADMINISTER PROPERTY, OR ANY OTHER
POWER WHICH HAS FOR ITS OBJECT AN ACT APPEARING OR
WHICH SHOULD APPEAR IN A PUBLIC DOCUMENT, OR
SHOULD PREJUDICE A THIRD PERSON; AND
4. THE CESSION OF ACTIONS OR RIGHTS PROCEEDING
FROM AN ACT APPEARING IN A PUBLIC DOCUMENT.
GR: ALL OTHER CONTRACTS WHERE THE AMOUNT
INVOLVED EXCEEDS P500 MUST BE IN WRITING FOR THE
502190 - CONTRACTS REQUIRED TO BE IN WRITING
CONVENIENCE OF THE PARTIES.
(WHETHER PUBLIC OR PRIVATE) FOR THE CONVENIENCE OF
XPN: THE SALE OF GOODS, CHATTELS OR THINGS IN ACTION
THE PARTIES (GR AND XPN)
WHOSE PRICE IS P500 OR MORE MUST BE IN WRITING TO BE
ENFORCEABLE.
502191 - IS A REMEDY IN EQUITY BY MEANS OF WHICH A
WRITTEN INSTRUMENT IS MADE OR CONSTRUED SO AS TO
EXPRESS OR CONFORM TO THE REAL INTENTION OF THE REFORMATION
PARTIES WHEN SOME ERROR OR MISTAKE HAS BEEN
COMMITTED.
1. MISTAKE WAS MUTUAL - BY EITHER PARTY, OR HIS
502192 - PERSONS WHO MAY ASK FOR REFORMATION OF A SUCCESSORS IN INTEREST, SUCH AS HIS HEIRS OR ASSIGNS
CONTRACT (2 ITEMS) 2. IN OTHER CASES - BY THE INJURED PARTY, OR HIS HEIRS
OR ASSIGNS
1. WHEN A MUTUAL MISTAKE OF THE PARTIES CAUSES THE
FAILURE OF THE INSTRUMENT TO DISCLOSE THEIR
AGREEMENT;
2. WHEN ONE PARTY WAS MISTAKEN AND THE OTHER ACTED
FRAUDULENTLY OR INEQUITABLY IN SUCH A WAY THAT THE
INSTRUMENT DOES NOT SHOW THEIR TRUE INTENTION;
3. WHEN A PARTY WAS MISTAKEN AND THE OTHER KNEW OR
BELIEVED THAT THE INSTRUMENT DID NOT STATE THEIR
502193 - INSTANCES WHEN AN INSTRUMENT MAY BE REAL AGREEMENT;
REFORMED (5 ITEMS) 4. WHEN THROUGH THE IGNORANCE, LACK OF SKILL,
NEGLIGENCE OR BAD FAITH ON THE PART OF THE PERSON
DRAFTING THE INSTRUMENT OR OF THE CLERK OR TYPIST,
THE INSTRUMENT DOES NOT EXPRESS THE INTENTION OF
THE PARTIES; AND
5. IF TWO PARTIES AGREE UPON THE MORTGAGE OR
PLEDGE OF REAL OR PERSONAL PROPERTY, BUT THE
INSTRUMENT STATES THAT THE PROPERTY IS SOLD
ABSOLUTELY OR WITH RIGHT OF REPURCHASE.
1. SIMPLE DONATIONS INTER VIVOS (BETWEEN LIVING
502194 - INSTANCES WHEN REFORMATION IS NOT AVAILABLE PEOPLE) WHEREIN NO CONDITION IS IMPOSED;
(3 ITEMS) 2. WILLS; AND
3. WHEN THE REAL AGREEMENT IS VOID.
502195 - EFFECT WHEN ONE OF THE PARTIES HAS BROUGHT SUCH PARTY CANNOT SUBSEQUENTLY ASK FOR THE
AN ACTION TO ENFORCE A CONTRACT THAT MAY HAVE REFORMATION OF THE CONTRACT (EQUIVALENT TO
BEEN SUBJECTED TO REFORMATION RATIFICATION, WAIVER OR ESTOPPEL).
502196 - IS THE DETERMINATION OF THE MEANING OF THE
WORDS/TERMS USED IN ITS CONTENTS THAT ARE INTERPRETATION OF CONTRACTS
AMBIGUOUS, NOT UNDERSTOOD, AND NOT OBVIOUS.
502197 - RULE WHEN IT IS ABSOLUTELY IMPOSSIBLE TO
THE LEAST TRANSMISSION OF RIGHTS AND INTERESTS
SETTLE DOUBTS REFERING TO THE INCIDENTAL
SHALL PREVAIL.
CIRCUMSTANCES OF A GRATUITOUS CONTRACT
502198 - RULE WHEN IT IS ABSOLUTELY IMPOSSIBLE TO
THE DOUBT SHALL BE SETTLED IN FAVOR OF THE GREATES
SETTLE DOUBTS REFERING TO THE INCIDENTAL
RECIPROCITY OF INTERESTS.
CIRCUMSTANCES OF AN ONEROUS CONTRACT
502199 - RULE WHEN IT IS ABSOLUTELY IMPOSSIBLE TO
SETTLE DOUBTS, IF SUCH DOUBTS ARE CAST UPON THE
PRINCIPAL OBJECT OF THE CONTRACT IN SUCH A WAY THAT THE CONTRACT SHALL BE NULL AND VOID.
IT CANNOT BE KNOWN WHAT MAY HAVE BEEN THE
INTENTION OR WILL OF THE PARTIES
 RFBT - PARTNERSHIPS (503001 - 503???)
IS A CONTRACT OF TWO OR MORE PERSONS WHO BIND
THEMSELVES TO CONTRIBUTE MONEY, PROPERTY OR
INDUSTRY TO A COMMON FUND, WITH THE INTENTION OF
PARTNERSHIP
DIVIDING THE PROFITS AMONG THEMSELVES. IT MAY ALSO
BE FORMED BY TWO OR MORE PERSONS FOR THE
EXERCISE OF A PROFESSION.
1, CONSENSUAL
2. PRINCIPAL
CHARACTERISTICS OF A CONTRACT OF PARTNERSHIP (6 3. BILATERAL OR MULTILATERAL
ITEMS) 4. NOMINATE
5. PREPARATORY
6. ONEROUS
IS A CHARACTERISTIC OF A PARTNERSHIP CONTRACT
WHICH ASSERTS THAT THE SAME IS PERFECTED BY MERE CONSENSUAL
CONSENT (IN GENERAL).
IS A CHARACTERISTIC OF A PARTNERSHIP CONTRACT
WHICH ASSERTS THAT THE SAME DOES NOT DEPEND UPON PRINCIPAL
ANY OTHER CONTRACT FOR ITS VALIDITY OR EXISTENCE.
IS A CHARACTERISTIC OF A PARTNERSHIP CONTRACT
WHICH ASSERTS THAT THE SAME IS ENTERED INTO BY TWO
BILATERAL OR MULTILATERAL
OR MORE PERSONS WHOSE RIGHTS AND OBLIGATIONS ARE
RECIPROCAL.
IS A CHARACTERISTIC OF A PARTNERSHIP CONTRACT
WHICH ASSERTS THAT THE SAME HAS A SPECIAL NAME NOMINATE
GIVEN TO IT BY LAW.
IS A CHARACTERISTIC OF A PARTNERSHIP CONTRACT
WHICH ASSERTS THAT THE SAME IS A MEANS BY WHICH
PREPARATORY
OTHER CONTRACTS WILL BE ENTERED INTO AS THE
PARTNERSHIP PURSUES IT BUSINESS.
IS A CHARACTERISTIC OF A PARTNERSHIP CONTRACT
WHICH ASSERTS THAT THE PARTNERS CONTRIBUTE MONEY, ONEROUS
PROPERTY OR INDUSTRY TO A COMMON FUND.
1. THERE MUST BE A VALID CONTRACT;
2. THERE MUST BE A MUTUAL CONTRIBUTION OF MONEY,
PROPERTY OR INDUSTRY TO A COMMON FUND;
3. IT MUST HAVE A LAWFUL OBJECT OR PURPOSE; AND
ESSENTIAL REQUISITES OF PARTNERSHIP (4 ITEMS)
4. THE PARTNERSHIP MUST HAVE BEEN ESTABLISHED FOR
THE BENEFIT OR INTEREST OF THE PARTNERS WHICH IS
(GENERALLY) TO OBTAIN PROFITS AND TO DIVIDE THE
PROFITS AMONG THE PARTNERS.
IS THE BASIS OF THE RIGHT OF A PERSON TO SELECT
ANOTHER SATISFACTORY TO ONESELF AS A PARTNER
DELECTUR PERSONAE
INVOLVING TRUST AND CONFIDENCE IN THE LATTER'S
CHARACTER, CAPACITIES OR RESPONSIBILITY.
1. TANGIBLE REAL PROPERTIES
PROPERTIES THAT MAY BE CONTRIBUTED TO A 2. TANGIBLE PERSONAL PROPERTIES
PARTNERSHIP (3 ITEMS) 3. INTANGIBLE PROPERTIES (E.G., GOODWILL OR
INCONRPOREAL RIGHTS SUCH AS CREDIT RIGHTS)
MAY BE MANIFESTED BY PHYSICAL MANUAL EFFORTS OR
INDUSTRY
INTELLECTUAL EFFORT.
EFFECT IF A PARTNERSHIP HAS AN UNLAWFUL OBJECT THE PARTNERSHIP CONTRACT IS VOID.
1. THE PARTNERS WILL BE CRIMINALLY PROSECUTED; AND
EFFECTS IF THE ILLEGALITY OF PARTNERSHIP OBJECT 2. THE PROFITS AND EFFECTS AND INSTRUMENTS OF THE
CONSTITUTES A CRIME (2 ITEMS) CRIME WILL BE CONFISCATED IN FAVOR OF THE
GOVERNMENT.
GR: TO OBTAIN PROFITS AND TO DIVIDE THE SAME AMONG
THE PARTNERS.
PRIMARY PURPOSE OF A PARTNERSHIP (GR AND XPN) XPN: PARTNERSHIPS FORMED FOR THE PRACTICE OF
PROFESSION HAVE THE PRIMARY PURPOSE OF RENDERING
SERVICE TO THE PUBLIC (NOT TO OBTAIN PROFITS).
REQUIRED FORM OF A PARTNERSHIP CONTRACT WHERE THE PARTNERSHIP CONTRACT MUST BE IN A PUBLIC
IMMOVABLE PROPERTY OR REAL RIGHTS ARE CONTRIBUTED INSTRUMENT; AND AN INVENTORY OF THE SAID PROPERTY
TO THE PARTNERSHIP (REGARDLESS OF THE AMOUNT MUST BE MADE, SIGNED BY THE PARTIES AND ATTACHED TO
THEREOF) THE PUBLIC INSTRUMENT.
 EFFECT IF THE PARTNERSHIP CONTRACT INVOLVES THE
1. THE PARTNERSHIP CONTRACT IS VOID; AND
CONTRIBUTION OF IMMOVABLE PROPERTY OR REAL RIGHTS
2. THE PARTNERSHIP WILL NOT HAVE ANY JURIDICAL
BUT THE REQUIREMENTS FOR ITS FORM ARE NOT COMPLIED
PERSONALITY.
WITH (2 ITEMS)
REQUIRED FORM OF A PARTNERSHIP CONTRACT WHERE THE PARTNERSHIP CONTRACT MUST BE IN A PUBLIC
THE CAPITAL OF THE PARTNERSHIP IS P3,000 OR MORE, IN INSTRUMENT AND REGISTED WITH THE SECURITIES AND
MONEY OR PROPERTY EXCHANGE COMMISSION.
EFFECT IF THE PARTNERSHIP CONTRACT HAS A CAPITAL OF 1. THE PARTNERSHIP CONTRACT IS STILL VALID (STILL
P3,000 OR MORE, IN MONEY OR PROPERTY, BUT THE ACQUIRES JURIDICAL PERSONALITY); AND
REQUIREMENTS FOR ITS FORM ARE NOT COMPLIED WITH (2 2. THE LIABILITY OF THE PARTNERSHIP AND THE MEMBERS
ITEMS) THEREOF TO THIRD PERSONS ARE NOT AFFECTED.
A CERTIFICATE SIGNED UNDER OATH BY THE PARTNERS
REQUIRED FORM OF A LIMITED PARTNERSHIP CONTRACT AND RECORDED WITH THE SECURITIES AND EXCHANGE
COMMISSION IS REQUIRED.
EFFECT IF THE PARTNERSHIP IS FORMED AS A LIMITED
THE PARTNERSHIP WILL BE CONSIDERED AS A GENERAL
PARTNERSHIP BUT THE REQUIREMENTS FOR ITS FORM ARE
PARTNERSHIP.
NOT COMPLIED WITH
1. CAPACITATED NATURAL PERSONS
PERSONS WHO MAY BECOME PARTNERS (2 ITEMS) 2. ARTIFICIAL PERSONS LIKE PARTNERSHIPS AND
CORPORATIONS (E.G., JOINT VENTURES)
GR: PERSONS WHO ARE NOT PARTNERS AS TO EACH OTHER
ARE NOT PARTNERS AS TO THIRD PERSONS.
XPN: WHEN A PERSON REPRESENTS HIMSELF OR
RULES ON EXISTENCE OF PARTNERSHIP BETWEEN
CONSENTS TO ANOTHER REPRESENTING HIM TO ANYONE,
PERSONS
AS A PARTNER IN AN EXISTING PARTNERSHIP OR WITH ONE
OR MORE PERSONS NOT ACTUAL PARTNERS (PARTNER BY
ESTOPPEL).
IS A STATE WHERE AN UNDIVIDED THING OR RIGHT
BELONGS TO TWO OR MORE PERSONS. IT DOES NOT OF
ITSELF ESTABLISH A PARTNERSHIP, WHETHER SUCH CO- CO-OWNERSHIP
OWNERS OR CO-POSSESSORS DO OR DO NOT SHARE ANY
PROFITS MADE BY THE USE OF THE PROPERTY.
IS THE AMOUNT OF MONEY AN INVESTMENT MAKES BEFORE
THE CONSIDERATION OF ANY DEDUCTIONS. THE SHARING
OF THIS AMOUNT DOES NOT OF ITSELF ESTABLISH A
GROSS RETURNS
PARTNERSHIP, WHETHER OR NOT THE PERSONS SHARING
THEM HAVE A JOINT OR COMMON RIGHT OR INTEREST IN
ANY PROPERTY FROM WHICH THE RETURNS ARE DERIVED.
IS USED AS AN ADJECTIVE MEANING: SUFFICIENT TO
ESTABLISH A FACT OR RAISE A PRESUMPTION UNLESS PRIMA FACIE
DISPROVED OR REBUTTED.
THE RECEIPT OF A PERSON OF A __________ IS A PRIMA
SHARE OF THE PROFITS OF A BUSINESS
FACIE EVIDENCE THAT HE IS A PARTNER IN THE BUSINESS.
NO INFERENCE SHALL BE DRAWN IF SUCH PROFITS WERE
RECEIVED IN PAYMENT:
1. AS A DEBT BY INSTALLMENTS OR OTHERWISE;
2. AS WAGES OF AN EMPLOYEE OR RENT TO A LANDLORD;
INSTANCES WHEN NO INFERENCE, THAT A PERSON IS A 3. AS ANNUITY TO A WIDOW OR REPRESENTATIVE OF A
PARTNER IN THE BUSINESS, SHALL BE DRAWN IF PROFITS DECEASED PARTNER;
WERE RECEIVED BY HIM (5 ITEMS) 4. AS INTEREST ON LOAN, THOUGH THE AMOUNT OF
PAYMENT VARY WITH THE PROFITS OF THE BUSINESS; OR
5. AS THE CONSIDERATION FOR THE SALE OF GOODWILL OF
A BUSINESS OR OTHER PROPERTY BY INSTALLMENT OR
OTHERWISE.
1. UNIVERSAL PARTNERSHIP
KINDS OF PARTNERSHIPS AS TO OBJECT (2 ITEMS)
2. PARTICULAR PARTNERSHIP
1. UNIVERSAL PARTNERSHIP OF ALL PRESENT PROPERTY
KINDS OF UNIVERSAL PARTNERSHIPS (2 ITEMS)
2. UNIVERSAL PARTNERSHIP OF PROFITS
IS A PARTNERSHIP IN WHICH ALL THE PARTNERS
CONTRIBUTE ALL THE PROPERTY WHICH ACTUALLY
BELONGED TO THEM TO THE COMMON FUND, WITH THE UNIVERSAL PARTNERSHIP OF ALL PRESENT PROPERTY
INTENTION OF DIVIDING THE SAME AMONG THEMSELVES, AS
WELL AS THE PROFITS WHICH THEY ACQUIRE THEREWITH.
 1. PRESENT PROPERTY OR PROPERTY BELONGING TO THE
PARTNERS AT THE TIME OF THE CONSTITUTION OF THE
PARTNERSHIP
PROPERTY WHICH SHALL BELONG TO THE COMMON FUND
2. PROFITS THAT MAY BE ACQUIRED FROM THE PRESENT
OF A UNIVERSAL PARTNERSHIP OF ALL PRESENT PROPERTY
PROPERTY
(3 ITEMS)
3. PROPERTY ACQUIRED BY EACH PARTNER AFTER THE
FORMATION OF THE PARTNERSHIP BUT ONLY IF
STIPULATED.
1. IT SHALL NOT INCLUDE PROPERTY SUBSEQUENTLY
RULES ON PROPERTY INCLUDED IN STIPULATIONS
ACQUIRED BY EACH PARTNER THROUGH INHERITANCE,
REQUIRING PROPERTY ACQUIRED BY EACH PARTNER,
LEGACY OR DONATION.
AFTER THE FORMATION OF THE PARTNERSHIP, TO BELONG
2. IT INCLUDES PROFITS AND FRUITS THEREFROM
TO THE COMMON FUND OF A UNIVERSAL PARTNERSHIP OF
INCLUDING THOSE FROM PROPERTY ACQUIRED BY
ALL PRESENT PROPERTY
INHERITANCE, LEGACY OR DONATION.
IS A PARTNERSHIP WHICH COMPRISES ALL THE PROFITS
THAT THE PARTNERS MAY ACQUIRE BY THEIR WORK OR UNIVERSAL PARTNERSHIP OF PROFITS
INDUSTRY DURING THE EXISTENCE OF THE PARTNERSHIP.
1. PROFITS OBTAINED BY THE PARTNERS BY THEIR WORK
OR INDUSTRY DURING THE EXISTENCE OF THE
PARTNERSHIP;
2. THE USUFRUCT (THE USE) OF THE PROPERTY BELONGING
TO EACH PARTNER AT THE TIME OF THE CONSTITUTION OF
PROFITS AND/OR PROPERTY WHICH SHALL BELONG TO A
THE PARTNERSHIP;
UNIVERSAL PARTNERSHIP OF PROFITS (4 ITEMS)
3. THE PROFITS AND FRUITS FROM THE PROPERTIES
AFOREMENTIONED (1 AND 2); AND
4. PROFITS AND FRUITS, IF STIPULATED, OF PROPERTY
ACQUIRED BY EACH PARTNER AFTER THE CONSTITUTION OF
THE PARTNERSHIP.
ARTICLES OF UNIVERSAL PARTNERSHIP ENTERED INTO
WITHOUT SPECIFICATION OF ITS NATURE, ONLY
RULE IN CASE UNIVERSAL PARTNERSHIP IS WITHOUT ANY CONSTITUTE A UNIVERSAL PARTNERSHIP OF PROFITS
SPECIFICATION (LEAST TRANSMISSION OF RIGHTS FOR GRATUITOUS
CONTRACTS; A UNIVERSAL PARTNERSHIP IS CONSIDERED A
DONTATION).
1. DONATIONS BETWEEN SPOUSES DURING THE MARRIAGE
EXCEPT MODERATE GIFTS ON THE OCCASION OF A FAMILY
REJOICING;
2. THOSE BETWEEN PERSON LIVING AS HUSBAND AND WIFE
WITHOUT THE BENEFIT OF MARRIAGE EXCEPT MODERATE
GIFTS;
3. THOSE MADE BETWEEN PERSONS WHO WERE GUILTY OF
PERSONS PROHIBITED FROM ENTERING INTO A UNIVERSAL
ADULTERY OR CONCUBINAGE AT THE TIME OF THE
PARTNERSHIP (VOID DONATIONS) (5 ITEMS)
DONATION;
4. THOSE MADE BETWEEN TWO PERSONS FOUND GUILTY OF
THE SAME CRIMINAL OFFENSE, IN CONSIDERATION
THEREOF; AND
5. THOSE MADE TO A PUBLIC OFFICER OR HIS WIFE,
DESCENDANTS OR ASCENDANTS BY REASON OF HIS
OFFICE.
IS A PARTNERSHIP THAT HAS FOR ITS OBJECT
DETERMINATE THINGS, THEIR USE OR FRUITS, OR A
PARTICULAR PARTNERSHIP
SPECIFIC UNDERTAKING, OR THE EXERCISE OF A
PROFESSION.
1. GENERAL PARTNERSHIP
KINDS OF PARTNERSHIPS AS TO LIABILITY (2 ITEMS)
2. PARTICULAR PARTNERSHIP
IS A PARTNERSHIP WHERE ALL THE PARTNERS ARE
GENERAL PARTNERS WHO ARE LIABLE TO THE EXTENT OF
GENERAL PARTNERSHIP
THEIR SEPARATE PROPERTY AFTER THE PARTNERSHIP
ASSETS HAVE BEEN EXHAUSTED.
IS A PARTNERSHIP WHERE THERE IS AT LEAST ONE
LIMITED PARTNERSHIP
GENERAL PARTNER AND AT LEAST ONE LIMITED PARTNER.
1. PARTNERSHIP FOR A FIXED TERM
KINDS OF PARTNERSHIPS AS TO DURATION (3 ITEMS) 2. PARTNERSHIP FOR A PARTICULAR UNDERTAKING
3. PARTNERSHIP AT WILL
IS PARTNERSHIP FOR WHICH A PERIOD FOR ITS DURATION
PARTNERSHIP FOR A FIXED TERM
IS FIXED BY THE PARTNERS.
 IS A PARTNERSHIP WHICH IS ORGANIZED FOR A CERTAIN
UNDERTAKING WHICH, WHEN ATTAINED, WILL CAUSE THE PARTNERSHIP FOR A PARTICULAR UNDERTAKING
TERMINATION OF THE PARTNERSHIP.
IS A PARTNERSHIP WHERE NO PERIOD IS FIXED BY THE
PARTIES FOR ITS DURATION; HENCE, MAY BE TERMINATED PARTNERSHIP AT WILL
AT WILL BY THE PARTNERS.
KINDS OF PARTNERSHIPS AS TO REPRESENTATION AS TO 1. ORDINARY PARTNERSHIP
OTHERS (2 ITEMS) 2. PARTNERSHIP BY ESTOPPEL
IS A PARTNERSHIP WHICH ACTUALLY EXISTS AMONG THE
ORDINARY PARTNERSHIP
PARTNERS AS WELL AS TO THIRD PERSONS.
IS A PARTNERSHIP WHICH IN REALITY IS NOT A
PARTNERSHIP BUT IS CONSIDERED AS ONE WITH RESPECT
TO THOSE WHO, BY REASON OF THEIR CONDUCT OR PARTNERSHIP BY ESTOPPEL
ADMISSION, ARE PRECLUDED FROM DENYING ITS
EXISTENCE.
LIABILITY CREATED WHEN A PERSON REPRESENTS HIMSELF BOTH THE ACTUAL AND THE PERSON WHO MADE THE
AS A PARTNER IN AN EXISTING PARTNERSHIP AND ALL THE MISREPRESENTATION SHALL BE LIABLE WITH THEIR
PARTNERS CONSENTED TO SUCH MISREPRESENTATION SEPARATE PROPERTIES.
THE ACTUAL PARTNERS WHO CONSENTED TO THE
LIABILITY CREATED WHEN A PERSON REPRESENTS HIMSELF
MISREPRESENTATION AND THE PERSON WHO MADE THE
AS A PARTNER IN AN EXISTING PARTNERSHIP AND NOT ALL
MISREPRESENTATION SHALL BE LIABLE JOINTLY OR PRO-
THE PARTNERS CONSENTED TO SUCH MISREPRESENTATION
RATA WITH THEIR SEPARATE PROPERTIES.
NO PARTNERSHIP LIABILITY ARISES BUT THE PERSON WHO
LIABILITY CREATED WHEN A PERSON REPRESENTS HIMSELF
MADE THE MISREPRESENTATION AND ALL PERSONS WHO
AS A PARTNER IN A NON-EXISTING PARTNERSHIP
CONSENTED TO IT ARE LIABLE JOINTLY OR PRO-RATA,
1. GENERAL PARTNER
KINDS OF PARTNERS AS TO LIABILITY (3 ITEMS) 2. LIMITED PARTNER
3. GENERAL-LIMITED PARTNER
IS A PARTNER WHO IS LIABLE FOR PARTNERSHIP DEBTS TO
THE EXTENT OF HIS SEPARATE PROPERTY AFTER ALL THE GENERAL PARTNER
ASSETS OF THE PARTNERSHIP HAVE BEEN EXHAUSTED.
IS A PARTNER WHO IS LIABLE FOR PARTNERSHIP DEBTS TO
LIMITED PARTNER
THE EXTENT OF HIS CAPITAL CONTRIBUTION ONLY.
IS A PARTNER WHO IS LIABLE PRO-RATA TO PARTNERSHIP
CREDITORS TO THE EXTENT OF HIS SEPARATE ASSETS
AFTER THE PARTNERSHIP ASSETS HAVE BEEN EXHAUSTED, GENERAL-LIMITED PARTNER
BUT HE CAN DEMAND REIMBURSEMENT OF THE AMOUNT HE
PAID FROM HIS CO-PARTNERS.
1. CAPITALIST PARTNER
KINDS OF PARTNERS AS TO CONTRIBUTION (3 ITEMS) 2. INDUSTRIAL PARTNER
3. CAPITALIST-INDUSTRIAL PARTNER
IS A PARTNER WHO CONTRIBUTES MONEY OR PROPERTY TO
CAPITALIST PARTNER
THE COMMON FUND.
IS A PARTNER WHO CONTRIBUTES HIS SERVICES OR
INDUSTRY (PHYSICAL OR INTELLECTUAL) TO THE INDUSTRIAL PARTNER
PARTNERSHIP.
IS A PARTNER WHO CONTRIBUTES NOT ONLY MONEY OR
CAPITALIST-INDUSTRIAL PARTNER
PROPERTY BUT ALSO HIS SERVICES TO THE PARTNERSHIP.
IS A PARTNER WHO MANAGES THE BUSINESS OR THE
MANAGING PARTNER
AFFAIRS OF THE PARTNERSHIP.
IS A PARTNER WHO TAKES CHARGE OF THE WINDING UP OF
LIQUIDATING PARTNER
THE AFFAIRS OF THE PARTNERSHIP AFTER IT IS DISSOLVED.
IS A PARTNER WHO IS NOT ACTUALLY A PARTNER BUT WHO
MAY BECOME LIABLE AS SUCH TO THIRD PERSONS (SUCH NOMINAL PARTNER
AS A PARTNER BY ESTOPPEL).
IS A PARTNER WHO IS ACTIVE AND KNOWN TO THE PUBLIC
AS A PARTNER, SUCH AS BY ALLOWING HIS NAME TO BE OSTENSIBLE PARTNER
INCLUDED IN THE PARTNERSHIP NAME.
IS A PARTNER WHOSE CONNECTION WITH THE
SECRET PARTNER
PARTNERSHIP IS KEPT FROM THE PUBLIC.
IS A PARTNER WHO HAS NO VOICE IN THE MANAGEMENT OF
THE BUSINESS (THOUGH HE SHARES IN THE PROFITS AND SILENT PARTNER
LOSSES).
 IS A PARTNER WHO DOES NOT PARTICIPATE IN THE
MANAGEMENT OF THE BUSINESS AND NOT KNOWN TO THE DORMANT PARTNER
PUBLIC AS A PARTNER.
RULE ON DIVISION OF PROFITS AND LOSSES IF ALL ARE THE PROFITS AND LOSSES SHALL BE DIVIDED ACCORDING
CAPITALIST PARTNERS (GR) TO THEIR AGREEMENT.
RULE ON DIVISION OF PROFITS AND LOSSES IF ALL ARE THE SHARE OF EACH PARTNER IN THE LOSSES SHALL BE IN
CAPITALIST PARTNERS AND ONLY THE SHARING OF THE THE SAME PROPORTION AS THE SHARE OF EACH IN THE
PARTNERS IN THE PROFITS HAS BEEN AGREED UPON PROFITS.
RULE ON DIVISION OF PROFITS AND LOSSES IF ALL ARE THE SHARE OF EACH PARTNER IN THE PROFITS AND
CAPITALIST PARTNERS AND THERE IS NO AGREEMENT ON LOSSES SHALL BE IN PROPORTION TO HIS CAPITAL
HOW PROFITS AND LOSSES SHALL BE DIVIDED CONTRIBUTION.
RULE ON DIVISION OF PROFITS IF ASIDE FROM THE
THE PROFITS SHALL BE DIVIDED ACCORDING TO THEIR
CAPITALIST PARTNERS, THERE IS ALSO AN INDUSTRIAL
AGREEMENT.
PARTNER (OR THERE ARE INDUSTRIAL PARTNERS)
THE INDUSTRIAL PARTNER SHALL FIRST RECEIVE A JUST
RULE ON DIVISION OF PROFITS IF ASIDE FROM THE
AND EQUITABLE SHARE OF THE PROFITS (DETERMINED
CAPITALIST PARTNERS, THERE IS ALSO AN INDUSTRIAL
BEFORE THE PERFECTION OF PARTNERSHIP CONTRACT),
PARTNER (OR THERE ARE INDUSTRIAL PARTNERS) AND
AND THEREAFTER, EACH CAPITALIST PARTNER SHALL
THERE IS NO AGREEMENT ON HOW PROFITS SHALL BE
SHARE IN THE PROFITS IN PROPORTION TO HIS CAPITAL
DIVIDED
CONTRIBUTION.
RULE ON DIVISION OF LOSSES IF ASIDE FROM THE THE INDUSTRIAL PARTNER SHALL NOT SHARE IN THE
CAPITALIST PARTNERS, THERE IS ALSO AN INDUSTRIAL LOSSES. THE CAPITALIST PARTNERS SHALL SHARE IN THE
PARTNER (OR THERE ARE INDUSTRIAL PARTNERS) LOSSES ACCORDING TO THEIR AGREEMENT.
RULE ON DIVISION OF LOSSES IF ASIDE FROM THE
THE INDUSTRIAL PARTNER SHALL NOT SHARE IN THE
CAPITALIST PARTNERS, THERE IS ALSO AN INDUSTRIAL
LOSSES. AND EACH CAPITALIST PARTNER SHALL SHARE IN
PARTNER (OR THERE ARE INDUSTRIAL PARTNERS) AND
THE LOSSES IN THE SAME PROPORTION AS THE SHARE OF
THERE IS NO AGREEMENT ON HOW THE LOSSES SHALL BE
EACH IN THE PROFITS.
DIVIDED
RULE ON DIVISION OF LOSSES IF ASIDE FROM THE
CAPITALIST PARTNERS, THERE IS ALSO AN INDUSTRIAL THE INDUSTRIAL PARTNER SHALL NOT SHARE IN THE
PARTNER (OR THERE ARE INDUSTRIAL PARTNERS) AND LOSSES. EACH CAPITALIST PARTNER SHALL SHARE IN THE
THERE IS NO AGREEMENT ON HOW THE PROFITS AND LOSSES IN PROPORTION TO HIS CONTRIBUTION.
LOSSES SHALL BE DIVIDED
RULE ON DIVISION OF PROFITS IF ASIDE FROM CAPITALIST
PARTNERS, THERE IS ALSO A CAPITALIST-INDUSTRIAL THE PROFITS SHALL BE DIVIDED ACCORDING TO THEIR
PARTNER (OR THERE ARE CAPITALIST-INDUSTRIAL AGREEMENT.
PARTNERS)
THE CAPITALIST-INDUSTRIAL PARTNER SHALL FIRST
RULE ON DIVISION OF PROFITS IF ASIDE FROM CAPITALIST RECEIVE A JUST AND EQUITABLE SHARE OF THE PROFITS IN
PARTNERS, THERE IS ALSO A CAPITALIST-INDUSTRIAL HIS CAPACITY AS INDUSTRIAL PARTNER. THEREAFTER,
PARTNER (OR THERE ARE CAPITALIST-INDUSTRIAL EACH CAPITALIST PARTNER, INCLUDING THE CAPITALIST-
PARTNERS) AND THERE IS NO AGREEMENT ON HOW THE INDUSTRIAL PARTNER IN HIS CAPACITY AS CAPITALIST
PROFITS SHALL BE DIVIDED PARTNER, SHALL SHARE IN THE PROFITS IN PROPORTION
TO HIS CAPITAL CONTRIBUTION.
THE LOSSES SHALL BE DIVIDED AMONG THE PARTNERS,
RULE ON DIVISION OF LOSSES IF ASIDE FROM CAPITALIST INCLUDING THE CAPITALIST-INDUSTRIAL PARTNER IN HIS
PARTNERS, THERE IS ALSO A CAPITALIST-INDUSTRIAL CAPACITY AS CAPITALIST PARTNER, ACCORDING TO THEIR
PARTNER (OR THERE ARE CAPITALIST-INDUSTRIAL AGREEMENT. THE CAPITALIST-INDUSTRIAL PARTNER SHALL
PARTNERS) NOT SHARE IN THE LOSSES IN HIS CAPACITY AS INDUSTRIAL
PARTNER.
THE LOSSES SHALL BE DIVIDED AMONG THE PARTNERS,
RULE ON DIVISION OF LOSSES IF ASIDE FROM CAPITALIST
INCLUDING THE CAPITALIST-INDUSTRIAL PARTNER IN HIS
PARTNERS, THERE IS ALSO A CAPITALIST-INDUSTRIAL
CAPACITY AS CAPITALIST PARTNER, ACCORDING TO THE
PARTNER (OR THERE ARE CAPITALIST-INDUSTRIAL
RATIO OF THEIR CAPITAL CONTRIBUTION. THE CAPITALIST-
PARTNERS) AND THERE IS NO AGREEMENT ON HOW THE
INDUSTRIAL PARTNER SHALL NOT SHARE IN THE LOSSES IN
PROFITS AND LOSSES SHALL BE DIVIDED
HIS CAPACITY AS INDUSTRIAL PARTNER.
EFFECT IF THE DESIGNATION OF THE PARTNERS' SHARE IN THE DESIGNATION SHALL BE BINDING UPON THE PARTNERS
THE PROFITS AND LOSSES IS ENTRUSTED BY THE AND MAY BE IMPUGNED ONLY WHEN IT IS MANIFESTLY
PARTNERS TO A THIRD PERSON INEQUITABLE
PARTNERS WHO MAY NOT IMPUGN THE DESIGNATION BY A
1. A PARTNER WHO HAS BEGAN TO EXECUTE IT; OR
THIRD PERSON OF THE PARTNERS' SHARE IN THE PROFITS
2. ANY PARTNER IF THREE MONTHS HAD ALREADY LAPSED
AND LOSSES EVEN IF SUCH DESIGNATION IS MANIFESTLY
FROM THE TIME HE OBTAINED KNOWLEDGE THEREOF.
INEQUITABLE (2 ITEMS)
 THE DESIGNATION IS VOID BECAUSE IT CANNOT BE
EFFECT IF THE DESIGNATION OF THE PARTNERS' SHARE IN
ENTRUSTED TO ONE OF THE PARTNERS. ACCORDINGLY,
THE PROFITS AND LOSSES IS ENTRUSTED BY THE
THE PROFITS AND LOSSES SHALL BE DIVIDED AMONG THE
PARTNERS TO ONE OF THEM
PARTNERS AS IF THERE WAS NO STIPULATION THEREON.
SCOPE OF AUTHORITY OF A PARTNER WHO HAS BEEN THE MANAGING PARTNER MAY EXECUTE ALL ACTS OF
APPOINTED AS MANAGER IN THE ARTICLES OF ADMINISTRATION DESPITE THE OPPOSITION OF HIS
PARTNERSHIP PARTNERS UNLESS HE ACTS IN BAD FAITH.
VOTING REQUIREMENT FOR THE REVOCATION OF
APPOINTMENT OF A MANAGING PARTNER WHO HAS BEEN HIS APPOINTMENT CAN BE REVOKED BY THE VOTE OF THE
APPOINTED IN THE ARTICLES OF PARTNERSHIP IS THERE IS PARTNERS OWNING THE CONTROLLING INTEREST.
JUST OR LAWFUL CAUSE
VOTING REQUIREMENT FOR THE REVOCATION OF HIS APPOINTMENT CAN BE REVOKED ONLY WITH THE
APPOINTMENT OF A MANAGING PARTNER WHO HAS BEEN CONSENT OF ALL THE PARTNERS INCLUDING THE
APPOINTED IN THE ARTICLES OF PARTNERSHIP IS THERE IS MANAGING PARTNER BECAUSE SUCH REVOCATION WOULD
NO JUST OR LAWFUL CAUSE BE A NOVATION OF THE TERMS THEREOF.
THE MANAGING PARTNER MAY EXECUTE ALL ACTS OF
SCOPE OF AUTHORITY OF A PARTNER WHO HAS BEEN ADMINISTRATION BUT IN CASE OF OPPOSITION BY THE
APPOINTED AS MANAGER AFTER THE PARTNERSHIP HAS OTHER PARTNERS, THE PARTNERS OWNING THE
BEEN CONSTITUTED CONTROLLING INTEREST MAY RESORT TO VOTING FOR HIS
REMOVAL AS MANAGER.
THE MANAGING PARTNER MAY BE REMOVED WITH OR
VOTING REQUIREMENT FOR THE REVOCATION OF WITHOUT JUST OR LAWFUL CAUSE BY THE VOTE OF THE
APPOINTMENT OF A MANAGING PARTNER WHO HAS BEEN PARTNERS OWNING THE CONTROLLING INTEREST. THIS IS
APPOINTED AFTER THE PARTNERSHIP HAS BEEN SO BECAUSE SUCH PARTNER IS ONLY AN AGENT WHOSE
CONSTITUTED AUTHORITY MAY BE REVOKED AT ANY TIME BY HIS
PRINCIPAL WHICH IS THE PARTNERSHIP.
SCOPE OF AUTHORITY OF EACH MANAGING PARTNER WHEN
TWO OR MORE PARTNERS HAVE BEEN APPOINTED AS EACH MANAGING PARTNER SHALL PERFORM ONLY THE
MANAGERS AND THERE IS A SPECIFICATION OF THEIR DUTIES SPECIFIED IN HIS APPOINTMENT.
RESPECTIVE DUTIES
SCOPE OF AUTHORITY OF EACH MANAGING PARTNER WHEN
TWO OR MORE PARTNERS HAVE BEEN APPOINTED AS
EACH ONE MAY SEPARATELY EXECUTE ALL ACTS OF
MANAGERS AND THERE IS NO SPECIFICATION OF THEIR
ADMINISTRATION SUBJECT TO RULES IN CASE OF
RESPECTIVE DUTIES OR THERE IS NO STIPULATION THAT
OPPOSITION OF THE OTHER MANAGERS.
ONE SHALL NOT ACT WITHOUT THE CONSENT OF THE
OTHERS
RULES IN CASE OF OPPOSITION OF OTHER MANAGERS
1. THE DECISION OF THE MAJORITY OF THE MANAGING
WHEN TWO OR MORE PARTNERS HAVE BEEN APPOINTED AS
PARTNERS SHALL PREVAIL (PER HEAD).
MANAGERS AND THERE IS NO SPECIFICATION OF THEIR
2. IN CASE OF A TIE, THE DECISION OF THE MANAGING
RESPECTIVE DUTIES OR THERE IS NO STIPULATION THAT
PARTNER/S OWNING THE CONTROLLING INTEREST SHALL
ONE SHALL NOT ACT WITHOUT THE CONSENT OF THE
PREVAIL.
OTHERS (2 ITEMS)
VOTING REQUIREMENT FOR THE EXECUTION OF A
THE CONCURRENCE OF ALL OF THEM (MANAGING
MANAGING PARTNER'S ACT WHEN THERE IS A STIPULATION
PARTNERS) SHALL BE NECESSARY FOR THE VALIDITY OF
THAT NONE OF THE MANAGING PARTNERS SHALL ACT
THE ACTS.
WITHOUT THE CONSENT OF THE OTHERS
RULE IN CASE OF ABSENCE OR DISABILITY OF ONE OF THE THE ABSENCE OR DISABLITIY OF ONE MANAGING PARTNER
MANAGING PARTNERS WHEN THERE IS A STIPULATION THAT CANNOT BE ALLEGED, I.E., THE OTHER MANAGER PARTNERS
NONE OF THE MANAGING PARTNERS SHALL ACT WITHOUT ARE NOT AUTHORIZED TO ACT FOR THE PARTNERSHIP
THE CONSENT OF THE OTHERS AND A VOTATION IS NEEDED UNLESS THERE IS IMMINENT DANGER OF GRAVE OR
AT THE MOMENT IRREPARABLE INJURY TO THE PARTNERSHIP.
ALL THE PARTNERS SHALL BE CONSIDERED AGENTS OF THE
EFFECT WHEN THE MANNER OF MANAGEMENT OF THE PARTNERSHIP, I.E., ALL OF THEM ARE MANAGERS.
PARTNERSHIP HAS NOT BEEN AGREED UPON WHATEVER ANY ONE OF THEM MAY DO ALONE SHALL BIND
THE PARTNERSHIP.
THE MAKING OF ANY IMPORTANT ALTERATION IN THE
IMMOVABLE PROPERTY OF THE PARTNERSHIP, EVEN IF IT
WHEN ALL PARTNERS ARE CONSIDERED MANAGERS, ACT MAY BE USEFUL TO THE PARTNERSHIP. BUT IF THE REFUSAL
THAT NONE OF THEM MAY DO WITHOUT THE CONSENT OF TO GIVE CONSENT BY THE OTHER PARTNERS IS
THE OTHERS MANIFESTLY PREJUDICIAL TO THE INTEREST OF THE
PARTNERSHIP, THE COURT'S INTERVENTION MAY BE
SOUGHT.
1. THE DECISION OF THE MAJORITY SHALL PREVAIL (PER
RULE IN CASE OF OPPOSITION OF THE OTHER PARTNERS
HEAD).
WHEN ALL PARTNERS ARE CONSIDERED MANAGERS (2
2. IN CASE OF A TIE, THE DECISION OF THE PARTNERS
ITEMS)
OWNING THE CONTROLLING INTEREST SHALL PREVAIL.
 AN INDUSTRIAL PARTNER CANNOT ENGAGE IN BUSINESS
FOR HIMSELF UNLESS THE PARTNERSHIP EXPRESSLY
RIGHT OF AN INDUSTRIAL PARTNER TO ENGAGE IN A
PERMITS HIM TO DO SO. THIS PROHIBITION APPLIES EVEN IF
SEPARATE BUSINESS
THE BUSINESS IS OF A KIND DIFFERENT FROM THE
PARTNERSHIP BUSINESS.
THE CAPITALIST PARTNERS MAY EITHER:
1. EXCLUDE HIM FROM THE PARTNERSHIP, WITH A RIGHT TO
EFFECT IF AN INDUSTRIAL PARTNER ENGAGES IN BUSINESS
DAMAGES; OR
FOR HIMSELF WITHOUT THE EXPRESS PERMISSION OF THE
2. AVAIL THEMSELVES OF THE BENEFITS OBTAINED FROM
PARTNERSHIP (2 ITEMS)
THE BUSINESS THE INDUSTRIAL PARTNER ENGAGED IN,
WITH A RIGHT TO DAMAGES.
GR: A CAPITALIST PARTNER MAY ENGAGE IN BUSINESS FOR
HIS OWN ACCOUNT IF THE BUSINESS HE WILL ENGAGE IN IS
RIGHT OF A CAPITALIST PARTNER TO ENGAGE IN A OF A KIND DIFFERENT FROM THE PARTNERSHIP BUSINESS.
SEPARATE BUSINESS (GR AND XPN) XPN: HE MAY ENGAGE IN A BUSINESS WITH SIMILAR NATURE
OF THAT OF THE PARTNERSHIP IF THERE IS A STIPULATION
ALLOWING HIM TO ENGAGE IN THAT BUSINESS.
EFFECT IF A CAPITALIST PARTNER ENGAGES IN THE SA,E 1. THE CAPITALIST PARTNER SHALL BRING TO THE COMMON
KIND OF BUSINESS AS THAT OF THE PARTNERSHIP WITHOUT FUND ANY PROFITS ACCRUING TO HIM FROM HIS
A STIPULATION ALLOWING HIM TO ENGAGE IN THAT TRANSACTION; AND
BUSINESS (2 ITEMS) 2. HE SHALL PERSONALLY BEAR ALL THE LOSSES.
THE REMAINING LIABILITY OF THE PARTNERSHIP AFTER ITS
ASSETS HAVE BEEN EXHAUSTED SHALL BE __________ EQUALLY (OR PRO RATA)
DIVIDED AMONG THE PARTNERS.
STATUS OF STIPULATION EXEMPTING A PARTNER FROM PRO
1. VOID AS TO THIRD PERSONS.
RATA AND SUBSIDIARY LIABILITY AFTER EXHAUSTION OF
2. VALID AMONG THE PARTNERS.
PARTNERSHIP ASSETS (2 ITEMS)
1. IT MAY OR MAY NOT INCLUDE THE NAME OF ONE OR
MORE OF THE PARTNERS.
RULES ON THE OPERATION OF A PARTNERSHIP UNDER A
2, THOSE WHO, NOT BEING MEMBERS OF THE PARTNERSHIP,
FIRM NAME (2 ITEMS)
INCLUDE THEIR NAMES IN THE FIRM NAME, SHALL BE
SUBJECT TO THE LIABILITY OF A PARTNER.
GR: ALL PARTNERS SHALL CONTRIBUTE EQUALLY TO THE
RULES ON THE OBLIGATION OF THE PARTNERS TO
CAPITAL OF THE PARTNERSHIP.
CONTRIBUTE CAPITAL (GR AND XPN)
XPN: UNLESS THERE IS A STIPULATION TO THE CONTRARY.
1. TO DELIVER TO THE PARTNERSHIP AT THE TIME IT WAS
CONSTITUTED OR ON THE DATE STIPULATED THE
PROPERTY A PARTNER HAS PROMISED TO CONTRIBUTE;
2. TO TAKE CARE OF THE PROPERTY BEFORE ITS DELIVERY
TO THE PARTNERSHIP WITH THE DILIGENCE OF A GOOD
FATHER OF A FAMILY AS A RULE;
OBLIGATIONS OF PARTNERS WITH RESPECT TO
3. TO BE LIABLE FOR DAMAGES IN CASE OF DEFAULT;
CONTRIBUTION OF PROPERTY (5 ITEMS)
4. TO ANSWER FOR EVICTION IN CASE THE PARTNERSHIP IS
DEPRIVED OF THE SPECIFIC OR DETERMINATE THING HE
HAS CONTRIBUTED TO THE PARTNERSHIP; AND
5. TO BE LIABLE FOR THE FRUITS OF THE THING FROM THE
TIME THEY SHOULD HAVE BEEN DELIVERED WITHOUT THE
NEED OF ANY DEMAND.
1. TO DELIVER TO THE PARTNERSHIP AT THE TIME IT WAS
CONSTITUTED OR ON THE DATE STIPULATED THE MONEY A
PARTNER HAS PROMISED TO CONTRIBUTE;
OBLIGATIONS OF PARTNERS WITH RESPECT TO 2. TO PAY INTEREST ON THE AMOUNT HE HAD PROMISED TO
CONTRIBUTION OF MONEY (3 ITEMS) CONTRIBUTE FROM THE TIME HE SHOULD HAVE COMPLIED
WITH HIS OBLIGATION; AND
3. TO PAY DAMAGES SUFFERED BY THE PARTNERSHIP BY
REASON OF DEFAULT.
1. TO REIMBURSE TO THE PARTNERSHIP THE AMOUNT HE
HAS TAKEN FROM THE PARTNERSHIP COFFERS;
OBLIGATIONS OF A PARTNER WITH RESPECT TO ANY 2. TO PAY INTEREST ON THE AMOUNT HE HAD CONVERTED
AMOUNT HE MAY HAVE APPROPRIATED (3 ITEMS) FOR HIS OWN USE FROM THE TIME OF CONVERSION; AND
3. TO PAY THE DAMAGES SUFFERED BYTHE PARTNERSHIP
BY REASON OF THE CONVERSION.
GR: ALL PARTNERS
PARTNERS OBLIGED TO CONTRIBUTE ADDITIONAL SHARE TO XPN: INDUSTRIAL PARTNERS AND IF THERE IS AN
THE CAPITAL IN CASE OF AN IMMINENT LOSS OF THE AGREEMENT THAT SPECIFIC PARTNERS OTHER THAN
BUSINESS OF THE PARTNERSHIP INDUSTRIAL PARTNERS ARE NOT REQUIRED TO
CONTRIBUTE.
 REMEDY IF A PARTNER REQUIRED TO CONTRIBUTE
SUCH PARTNER SHALL SELL HIS INTEREST TO THE OTHER
ADDITIONAL SHARE TO THE CAPITAL REFUSES COMPLY
PARTNERS.
WITH THE SAID OBLIGATION
REQUISITES TO OBLIGE A PARTNER TO BRING TO THE 1. THE OTHER PARTNERS HAVE NOT COLLECTED THEIR
PARTNERSHIP CAPITAL HIS SHARE OF A PARTNERSHIP SHARES; AND
CREDIT WHICH HE HAS RECEIVED IN WHOLE OR IN PART 2. THE DEBTOR BECOMES INSOLVENT AFTER THE PARTNER
EVEN IF HE MAY HAVE GIVEN HIS RECEIPT ONLY (2 ITEMS) HAS RECEIVED THE PAYMENT.
1. HE CANNOT COMPENSATE THEM WITH THE PROFITS AND
BENEFITS WHICH HE MAY HAVE EARNED FOR THE
RULES ON A PARTNER'S OBLIGATION TO PAY TO THE PARTNERSHIP BY HIS INDUSTRY.
PARTNERSHIP FOR DAMAGES SUFFERED BY IT THROUGH 2. HOWEVER, THE COURTS MAY EQUITABLY LESSEN THIS
HIS FAULT (2 ITEMS) RESPONSIBILITY IF THROUGH THE PARTNER'S
EXTRAORDINARY EFFORTS IN OTHER ACTIVITIES OF THE
PARTNERSHIP, UNUSUAL PROFITS HAVE BEEN REALIZED.
1. THE PROPERTY MUST BR SPECIFIC AND DETERMINATE;
REQUISITES FOR A PARTNER TO BE OBLIGED TO BEAR THE 2. IT MUST NOT BE FUNGIBLE; AND
RISK FOR PROPERTY CONTRIBUTED (3 ITEMS) 3. IT MUST HAVE BEEN CONTRIBUTED SO THAT ONLY ITS
USE AND FRUITS MAY BE FOR THE COMMON BENEFIT.
1. FUNGIBLE THINGS OR THOSE THAT CANNOT BE KEPT
WITHOUT DETERIORATING;
THINGS CONTRIBUTED BY PARTNERS FOR WHICH THE
2. THINGS CONTRIBUTED TO BE SOLD; AND
PARTNERSHIP BEARS THE RISK (3 ITEMS)
3. THINGS BROUGHT AND APPRAISED IN THE INVENTORY
UNLESS THERE IS A STIPULATION TO THE CONTRARY.
1. ANY PARTNER; OR
PERSONS TO WHOM A PARTNER IS OBLIGED TO RENDER ON 2. LEGAL REPRESENTATIVE OF ANY DECEASED PARTNER;
DEMAND TRUE AND FULL INFORMATION OF ALL THINGS OR
AFFECTING THE PARTNERSHIP (3 ITEMS) 3. LEGAL REPRESENTATIVE OF ANY PARTNER UNDER LEGAL
DISABILITY.
A PARTNER HASS THE OBLIGATION TO ACCOUNT TO THE
PARTNERSHIP FOR ANY BENEFIT, AND HOLD AS TRUSTEE
FOR IT ANY PROFITS, DERIVED BY HIM WITHOUT THE
CONSENT OF THE PARTNERS FROM ANY TRANSACTION
CONNECTED WITH THE FORMATION, CONDUCT, OR
LIQUIDATION OF THE PARTNERSHIP OR FROM USE BY HIM
OBLIGATION OF A PARTNER TO ACCOUNT AND ACT AS TRUSTEE (2 ITEMS) OF ITS PROPERTY.
LIABILITY OF A NEWLY-ADMITTED PARTNER FOR HE IS LIABLE ONLY TO THE EXTENT OF HIS CONTRIBUTION
OBLIGATIONS OF THE PARTNERSHIP EXISTING AT THE TIME EXCEPT IF THERE IS AN AGREEMENT THAT HIS LIABILITY
OF HIS ADMISSION SHALL EXTEND TO HIS SEPARATE PROPERTY.
LIABILITY OF A NEWLY-ADMITTED PARTNER FOR HE SHALL BE LIABLE LIKE OTHER PARTNERS PRO RATA WITH
OBLIGATIONS OF THE PARTNERSHIP INCURRED AFTER HIS THEIR SEPARATE PROPERTY AFTER THE PARTNERSHIP
ADMISSION ASSETS HAVE BEEN EXHAUSTED.
1. TO ASSOCIATE ANOTHER PERSON WITH HIM IN HIS
SHARE;
2. TO HAVE ACCESS TO AND INSPECT AND COPY THE
PARTNERSHIP BOOKS AT REASONABLE HOURS (OFFICE
RIGHTS OF PARTNERS (4 ITEMS)
HOURS);
3. TO HAVE A FORMAL ACCOUNT OF PARTNERSHIP AFFAIRS;
AND
4. CERTAIN PROPERTY RIGHTS.
1. IF HE IS WRONGFULLY EXCLUDED FROM THE
PARTNERSHIP BUSINESS OR POSSESSION OF ITS
PROPERTY BY HIS CO-PARTNERS;
2. IF THE RIGHT EXISTS UNDER THE TERMS OF ANY
AGREEMENT;
INSTANCES WHEN A PARTNER MAY EXERCISE HIS RIGHT TO
3. WITH RESPECT TO THE BENEFITS OR PROFITS DERIVED
HAVE A FORMAL ACCOUNT OF PARTNERSHIP AFFAIRS (4
BY A PARTNER WITHOUT THE CONSENT OF THE PARTNERS
ITEMS)
FROM ANY TRANSACTION CONNECTED WITH THE
FORMATION, CONDUCT OR LIQUIDATION OF THE
PARTNERSHIP OR FROM USE BY HIM OF ITS PROPERTY; OR
4. WHENEVER OTHER CIRCUMSTANCES RENDER IT JUST
AND REASONABLE.
1. RIGHTS IN SPECIFIC PARTNERSHIP PROPERTY
2. RIGHTS OVER A PARTNER'S INTEREST IN THE
PROPERTY RIGHTS OF PARTNERS (3 ITEMS)
PARTNERSHIP
3. RIGHT TO PARTICIPATE IN MANAGEMENT
COMPONENTS OF A PARTNER'S INTEREST IN THE
A PARTNER'S SHARE OF THE PROFITS AND SURPLUS
PARTNERSHIP
 1. THE CONVEYANCE DOES NOT CAUSE THE DISSOLUTION
EFFECTS OF CONVEYANCE OF A PARTNER'S WHOLE
OF THE PARTNERSHIP; AND
INTEREST IN THE PARTNERSHIP (2 ITEMS)
2. THE ASSIGNEE DOES NOT BECOME A PARTNER.
IS A PERSON APPOINTED TO ACT ON BEHALF OF A PARTNER. ASSIGNEE
1. TO INTERFERE IN THE MANAGEMENT OF THE BUSINESS;
2. TO REQUIRE ANY INFORMATION OF PARTNERSHIP
ACTS AN ASSIGNEE HAS NO RIGHT TO EXERCISE (3 ITEMS)
TRANSACTIONS; AND
3. TO INSPECT PARTNERSHIP BOOKS.
1. TO RECEIVE THE PROFITS TO WHICH THE ASSIGNING
PARTNER WOULD OTHERWISE BE ENTITLED;
2. TO AVAIL HIMSELF OF THE USUAL REMEDIES IN CASE OF
RIGHTS OF AN ASSIGNEE (3 ITEMS) FRAUD IN MANAGEMENT; AND
3. IN CASE THE PARTNERSHIP IS DISSOLVED, TO REQUIRE
AN ACCOUNT FROM THE DATE ONLY OF THE LAST ACCOUNT
AGREED TO BY ALL THE PARTNERS.
A PARTNER'S INTEREST IN THE PARTNERSHIP MAY BE
RULE ON ATTACHMENT OF A PARTNER'S INTEREST IN THE
ATTACHED FOR HIS SEPARATE DEBTS, SUBJECT TO THE
PARTNERSHIP FOR HIS SEPARATE DEBTS
PREFERENCE FOR PARTNERSHIP CREDITORS.
RULE IF A PARTNER, AUTHORIZED TO RECEIVE PAYMENT,
RECEIVED A PAYMENT FROM A PERSON WHO OWES
PAYMENT SHALL BE APPLIED TO THE PARTNERSHIP CREDIT.
SEPARATE DEMANDABLE DEBTS TO THE PARTNERSHIP AND
TO HIM, IF HE ISSUES RECEIPT FOR THE PARTNERSHIP
RULE IF A PARTNER, AUTHORIZED TO RECEIVE PAYMENT,
RECEIVED A PAYMENT FROM A PERSON WHO OWES PAYMENT SHALL BE APPLIED TO THE TWO CREDITS
SEPARATE DEMANDABLE DEBTS TO THE PARTNERSHIP AND PROPORTIONATELY.
TO HIM, IF HE ISSUES HIS OWN RECEIPT
1. THE DEBT IS OWED TO A PARTNER NOT AUTHORIZED TO
RECEIVE PAYMENT;
INSTANCES WHEN THERE SHALL BE NO PROPORTIONATE
2. THE DEBT TO THE PARTNERSHIP IS NOT YET DUE; OR
APPLICATION UPON THE RECEIPT OF PAYMENT FROM A
3. THE DEBT OWED TO THE PARTNER AUTHORIZED TO
PERSON WHO OWES SEPARATE DEBTS TO THE
RECEIVE PAYMENT IS MORE ONEROUS TO THE DEBTOR AND
PARTNERSHIP AND TO A PARTNER (3 ITEMS)
THE LATTER EXERCISES HIS RIGHT TO APPLY THE PAYMENT
TO SUCH DEBT.
1. TO PAY THE PARTNER ANY AMOUNTS HE MAY HAVE
DISBURSED FOR THE PARTNERSHIP WITH INTEREST FROM
THE TIME THE EXPENSES WERE MADE;
OBLIGATIONS OF THE PARTNERSHIP TO THE PARTNERS (3 2. TO PAY FOR THE OBLIGATIONS WHICH A PARTNER MAY
ITEMS) HAVE CONTRACTED IN GOOD FAITH IN THE INTEREST OF
THE PARTNERSHIP BUSINESS; AND
3. TO ANSWER FOR RISKS AND CONSEQUENCE OF ITS
MANAGEMENT.
1. FOR LOSS OR INJURY CAUSED TO A THIRD PERSON OR
ANY PENALTY INCURRED BY REASON OF THE WRONGFUL
ACT OR OMISSION OF ANY PARTNER ACTING IN THE
ORDINARY COURSE OF BUSINESS OF THE PARTNERSHIP OR
WITH THE AUTHORITY OF HIS CO-PARTNERS;
2. WHERE ONE PARTNER ACTING WITHIN THE SCOPE OF HIS
CASES IN WHICH THE PARTNERSHIP SHALL BE SOLIDARILY
APPARENT AUTHORITY RECEIVES MONEY OR PROPERTY OF
LIABLE WITH ALL THE PARTNERS (3 ITEMS)
A THIRD PERSON AND MISAPPLIES IT; AND
3. WHERE THE PARTNERSHIP IN THE ORDINARY COURSE OF
THE BUSINESS RECEIVES MONEY OR PROPERTY OF A THIRD
PERSON AND SUCH MONEY OR PROPERTY IS MISAPPLIED
BY ANY PARTNER WHILE IT IS IN THE CUSTODY OF THE
PARTNERSHIP.
PARTNERSHIP IS BOUND OR NOT BOUND FOR THE ACT OF
PARTNER: IF THE PARTNER IS AUTHORIZED TO ACT FOR THE BOUND
PARTNERSHIP
PARTNERSHIP IS BOUND OR NOT BOUND FOR THE ACT OF
PARTNER: IF THE PARTNER IS NOT AUTHORIZED TO ACT FOR
THE PARTNERSHIP BUT THE ACT IS FOR APPARENTLY
BOUND
CARRING ON IN THE USUAL WAY THE BUSINESS OF THE
PARTNERSHIP AND THE THIRD PERSON HAS NO
KNOWLEDGE OF THE PARTNER'S LACK OF AUTHORITY
PARTNERSHIP IS BOUND OR NOT BOUND FOR THE ACT OF
PARTNER: WHEN, ALTHOUGH THE ACT IS FOR APPARENTLY
CARRYING ON IN THE USUAL WAY THE BUSINESS OF THE
NOT BOUND
PARTNERSHIP, THE PARTNER IS NOT AUTHORIZED TO ACT
FOR THE PARTNERSHIP AND THE THIRD PERSON HAS
KNOWLEDGE OF THE PARTNER'S LACK OF AUTHORITY
PARTNERSHIP IS BOUND OR NOT BOUND FOR THE ACT OF
PARTNER: WHEN THE PARTNER IS NOT AUTHORIZED TO ACT
FOR THE PARTNERSHIP AND THE ACT IS NOT FOR NOT BOUND
APPARENTLY CARRYING ON IN THE USUAL WAY THE
BUSINESS OF THE PARTNERSHIP
ARE ACTS THAT MAY NOT BE PERFORMED BY A PARTNER
UNLESS HE IS AUTHORIZED BY ALL THE OTHER PARTNERS, ACTS NOT CONSIDERED FOR APPARENTLY CARRYING ON IN
OR THE OTHER PARTNERS HAVE ABANDONED THE THE USUAL WAY OF THE BUSINESS OF THE PARTNERSHIP
BUSINESS.
1. ASSIGNMENT OF PARTNERSHIP PROPERTY IN TRUST FOR
CREDITORS OR ON THE ASSIGNEE'S PROMISE TO PAY THE
DEBTS OF THE PARTNERSHIP;
2. DISPOSITION OF THE GOODWILL OF THE BUSINESS;
3. ACTS WHICH WOULD MAKE IT IMPOSSIBLE TO CARRY ON
EXAMPLES OF ACTS NOT CONSIDERED FOR APPARENTLY
THE ORDINARY BUSINESS OF THE PARTNERSHIP;
CARRYING ON IN THE USUAL WAY OF THE BUSINESS OF THE
4. COFFESISION OF JUDGMENT;
PARTNERSHIP (7 ITEMS)
5. ENTERING INTO A COMPROMISE CONCERNING A
PARTNERSHIP CLAIM OR LIABILITY'
6. SUBMISSION OF A PARTNERSHIP CLAIM OR LIABILITY TO
ARBITRATION; AND
7. RENUNCIATION OF A CLAIM OF THE PARTNERSHIP.
EFFECT WHEN TITLE TO THE REAL PROPERTY CONVEYED
BY A PARTNER IS IN THE NAME OF THE PARTNERSHIP AND
THE CONVEYANCE PASSES TITLE TO THE TRANSFEREE.
THE CONVEYANCE IS EXECUTED BY THE SAID PARTNER IN
THE NAME OF THE PARTNERSHIP WITHOUT AUTHORITY
INSTANCES WHEN THE PARTNERSHIP MAY RECOVER THE
1. IF THE ACT IS NOT FOR APPARENTLY CARRYING ON IN
REAL PROPERTY CONVEYED BY A PARTNER, IF THE REAL
THE USUAL WAY OF THE BUSINESS OF THE PARTNERSHIP;
PROPERTY WAS UNDER THE NAME OF THE PARTNERSHIP
OR
BEFORE CONVEYANCE AND THE CONVEYANCE WAS
2. THE THIRD PERSON HAS KNOWLEDGE OF THE PARTNER'S
EXECUTED BY THE SAID PARTNER IN THE NAME OF THE
LACK OF AUTHORITY.
PARTNERSHIP WITHOUT AUTHORITY (2 ITEMS)
INSTANCE WHEN THE PARTNERSHIP MAY NOT RECOVER
THE REAL PROPERTY CONVEYED BY A PARTNER, IF THE WHEN THE REAL PROPERTY HAS BEEN CONVEYED BY THE
REAL PROPERTY WAS UNDER THE NAME OF THE GRANTEE TO A HOLDER FOR VALUE WITHOUT KNOWLEDGE
PARTNERSHIP BEFORE CONVEYANCE AND THE THAT THE PARTNER, IN MAKING THE CONVEYANCE, HAD
CONVEYANCE WAS EXECUTED BY THE SAID PARTNER IN EXCEEDED HIS AUTHORITY.
THE NAME OF THE PARTNERSHIP WITHOUT AUTHORITY
EFFECT WHEN TITLE TO THE REAL PROPERTY CONVEYED
BY A PARTNER IS IN THE NAME OF ONE OR MORE BUT NOT
ALL OF THE PARTNERS BUT THE RECORD DOES NOT
DISCLOSE THE RIGHT OF THE PARTNERSHIP AND THE THE CONVEYANCE PASSES TITLE TO THE TRANSFEREE.
CONVEYANCE IS EXECUTED WITHOUT AUTHORITY IN THE
NAME OF THE PARTNER OR PARTNERS IN WHOSE NAME THE
TITLE STANDS
INSTANCES WHEN THE PARTNERSHIP MAY RECOVER THE
REAL PROPERTY CONVEYED BY A PARTNER, IF THE REAL
1. IF THE ACT IS NOT FOR APPARENTLY CARRYING ON IN
PROPERTY WAS UNDER THE NAME OF ONE OR MORE BUT
THE USUAL WAY OF THE BUSINESS OF THE PARTNERSHIP;
NOT ALL OF THE PARTNERS BUT THE RECORD DOES NOT
OR
DISCLOSE THE RIGHT OF THE PARTNERSHIP AND THE
2. THE THIRD PERSON HAS KNOWLEDGE OF THE PARTNER'S
CONVEYANCE IS EXECUTED WITHOUT AUTHORITY IN THE
LACK OF AUTHORITY.
NAME OF THE PARTNER OR PARTNERS IN WHOSE NAME THE
TITLE STANDS (2 ITEMS)
INSTANCE WHEN THE PARTNERSHIP MAY NOT RECOVER
THE REAL PROPERTY CONVEYED BY A PARTNER, IF THE
REAL PROPERTY WAS UNDER THE NAME OF ONE OR MORE WHEN THE REAL PROPERTY HAS BEEN CONVEYED BY THE
BUT NOT ALL OF THE PARTNERS BUT THE RECORD DOES GRANTEE TO A HOLDER FOR VALUE WITHOUT KNOWLEDGE
NOT DISCLOSE THE RIGHT OF THE PARTNERSHIP AND THE THAT THE PARTNER, IN MAKING THE CONVEYANCE, HAD
CONVEYANCE IS EXECUTED WITHOUT AUTHORITY IN THE EXCEEDED HIS AUTHORITY.
NAME OF THE PARTNER OR PARTNERS IN WHOSE NAME THE
TITLE STANDS
 EFFECT WHEN THE TITLE TO REAL PROPERTY CONVEYED
THE TRANSFEREE DOES NOT BECOME THE OWNER OF THE
BY A PARTNER IS IN THE NAME OF THE PARTNERSHIP AND
REAL PROPERTY. HOWEVER, EQUITABLE INTEREST PASSES
THE CONVEYANCE IS EXECUTED BY THE SAID PARTNER IN
TO HIM IN CERTAIN CASES.
HIS OWN NAME WITHOUT AUTHORITY
MEANS ALL THE BENEFICIAL INTERESTS IN THE PROPERTY
LIKE THE USE THEREOF AND ITS FRUITS, BUT NOT THE EQUITABLE INTEREST
TITLE.
INSTANCES WHEN EQUITABLE INTEREST DOES NOT PASS TO
THE TRANSFEREE WHEN THE TITLE TO REAL PROPERTY 1. IF THE ACT IS NOT FOR APPARENTLY CARRYING ON IN
CONVEYED BY A PARTNER IS IN THE NAME OF THE THE USUAL WAY THE BUSINESS OF THE PARTNERSHIP; OR
PARTNERSHIP AND THE CONVEYANCE IS EXECUTED BY THE 2. THE THIRD PERSON HAS KNOWLEDGE OF THE PARTNER'S
SAID PARTNER IN HIS OWN NAME WITHOUT AUTHORITY (2 LACK OF AUTHORITY.
ITEMS)
EFFECT WHEN THE TITLE TO REAL PROPERTY CONVEYED
BY A PARTNER IS IN THE NAME OF ONE OR MORE OR ALL
THE TRANSFEREE DOES NOT BECOME THE OWNER OF THE
THE PARTNERS, OR IN A THIRD PERSON IN TRUST FOR THE
REAL PROPERTY. HOWEVER, EQUITABLE INTEREST PASSES
PARTNERSHIP AND THE CONVEYANCE IS EXECUTED BY A
TO HIM IN CERTAIN CASES.
PARTNER IN THE NAME OF THE PARTNERSHIP OR IN HIS
NAME WITHOUT AUTHORITY
INSTANCES WHEN EQUITABLE INTEREST DOES NOT PASS TO
THE TRANSFEREE WHEN THE TITLE TO REAL PROPERTY
1. IF THE ACT IS NOT FOR APPARENTLY CARRYING ON IN
CONVEYED BY A PARTNER IS IN THE NAME OF ONE OR
THE USUAL WAY THE BUSINESS OF THE PARTNERSHIP; OR
MORE OR ALL THE PARTNERS, OR IN A THIRD PERSON IN
2. THE THIRD PERSON HAS KNOWLEDGE OF THE PARTNER'S
TRUST FOR THE PARTNERSHIP AND THE CONVEYANCE IS
LACK OF AUTHORITY.
EXECUTED BY A PARTNER IN THE NAME OF THE
PARTNERSHIP OR IN HIS NAME WITHOUT AUTHORITY
EFFECT WHEN THE TITLE TO REAL PROPERTY CONVEYED
BY A PARTNER IS IN THE NAME OF ALL THE PARTNERS AND THE CONVEYANCE PASSES ALL THEIR RIGHTS IN THE
THE CONVEYANCE IS EXECUTED BY ALL THE PARTNERS IN PROPERTY.
THEIR NAMES
1. THE ADMISSION OR REPRESENTATION MUST CONCERN
PARTNERSHIP AFFAIRS;
2. IT MUST BE MADE WITHIN THE SCOPE OF THE AUTHORITY
OF THE PARTNER MAKING THE ADMISSION OR
REQUISITES FOR THE ADMISSION OR REPRESENTATION OF
REPRESENTATION;
A PARTNER TO BE USED AS EVIDENCE AGAINST THE
3. IT MUST BE MADE DURING THE EXISTENCE OF THE
PARTNERSHIP (4 ITEMS)
PARTNERSHIP;
4. THE EXISTENCE OF THE PARTNERSHIP MUST BE SHOWN
BY EVIDENCE OTHER THAN BY SUCH ADMISSION OR
REPRESENTATION.
EFFECT OF NOTICE TO ANY PARTNER RELATING TO SUCH NOTICE IS CONSIDERED AS NOTICE TO THE
PARTNERSHIP AFFAIRS PARTNERSHIP.
IF THE KNOWLEDGE WAS ACQUIRED:
INSTANCES WHEN THE KNOWLEDGE OF A PARTNER ACTING 1. WHILE HE IS ALREADY A PARTNER; OR
ON THE PARTICULAR MATTER IS ALSO CONSIDERED AS 2. BEFORE HIS ADMISSION TO THE PARTNERSHIP PROVIDED
KNOWLEDGE OF THE PARTNERSHIP (2 ITEMS) THE SAME WAS STILL PRESENT TO HIS MIND, I.E., HE STILL
REMEMBERED IT.
1. HE ACQUIRED THE SAME WHILE ALREADY A PARTNER;
REQUISITES FOR THE KNOWLEDGE OF ANY PARTNER NOT AND
ACTING ON THE PARTICULAR MATTER TO BE CONSIDERED 2. HE COULD AND SHOULD HAVE REASONABLY
AS ALSO THE KNOWLEDGE OF THE PARTNERSHIP (2 ITEMS) COMMUNICATED THE SAME TO THE PARTNER ACTING ON
THE PARTICULAR MATTER.
1. IN CASE OF FRAUD ON THE PARTNERSHIP COMMITTED BY
INSTANCES WHEN NOTICE TO OR KNOWLEDGE OF A
THE PARTNER HAVING NOTICE OR KNOWLEDGE; OR
PARTNER IS NOT CONSIDERED AS NOTICE OR KNOWLEDGE
2. IN CASE OF FRAUD IN THE PARTNERSHIP CONSENTED TO
OF THE PARTNERSHIP (2 ITEMS)
BY SUCH PARTNER HAVING NOTICE OR KNOWLEDGE.
1. THE PARTNERSHIP CREDITORS SHALL BE PAID FIRST OUT
OF PARTNERSHIP ASSETS.
ORDER OF PREFERENCE IN THE PAYMENT OF LIABILITIES OF
2. THEREAFTER, A PARTNER'S SEPARATE CREDITOR SHALL
THE PARTNERSHIP AND THOSE OF THE PRIVATE DEBTS OF A
BE PAID OUT OF THE SHARE OF THE PARTNER OWING HIM IF
PARTNER (2 ITEMS)
THERE IS AN EXCESS (I.E., PARTNERSHIP ASSETS ARE MORE
THAN THE PARTNERSHIP LIABILITIES).
EFFECT IF THE SHARE OF THE DEBTOR PARTNER IN THE HIS PRIVATE CREDITOR CAN GO AFTER THE PARTNER'S
REMAINING ASSETS OF THE PARTNERSHIP IS NOT ENOUGH SEPARATE ASSETS OVER WHICH HE (PRIVATE CREDITOR)
TO SETTLE HIS PRIVATE DEBTS HAS PREFERENCE.
 IS THE CHANGE IN THE RELATION OF THE PARTNERS
CAUSED BY ANY PARTNER CEASING TO BE ASSOCIATED IN DISSOLUTION
THE CARRYING ON OF THE BUSINESS.
IS THE PROCESS OF SETTLING THE BUSINESS OR AFFAIRS
WINDING UP
OF THE PARTNERSHIP AFTER DISSOLUTION.
REFERS TO THE POINT WHEN ALL THE BUSINESS OR
AFFAIRS OF THE PARTNERSHIP ARE COMPLETELY WOUND TERMINATION
UP.
1. BY THE TERMINATION OF THE DEFINITE TERM OR
PARTICULAR UNDERTAKING SPECIFIED IN THE AGREEMENT;
CAUSES OF DISSOLUTION OF A PARTNERSHIP WITHOUT 2. BY EXPRESS WILL; AND
VIOLATION OF THE AGREEMENT OF THE PARTNERS (3 3. BY THE EXPULSION OF ANY PARTNER FROM THE
ITEMS) BUSINESSS BONA FIDE IN ACCORDANCE WITH SUCH A
POWER CONFERRED BY THE AGREEMENT BETWEEN THE
PARTNERS.
1. BY ANY PARTNER ACTING IN GOOD FAITH, WHEN NO
DEFINITE TERM OR PARTICULAR UNDERTAKING IS
SPECIFIED; OR
WAYS OF DISSOLUTION OF A PARTNERSHIP BY EXPRESS 2. BY ALL OF THE PARTNERS WHO HAVE NOT ASSIGNED
WILL (2 ITEMS) THEIR INTERESTS OR SUFFERED THEM TO BE CHARGED
FOR THEIR SEPARATE DEBTS, EITHER BEFORE OR AFTER
THE TERMINATION OF ANY SPECIFIED TERM OR
UNDERTAKING.
EFFECT IF THE PARTNERSHIP IS DISSOLVED IN
CONTRAVENTION OF THE AGREEMENT BETWEEN THE THE WITHDRAWING PARTNER CAN BE HELD LIABLE FOR
PARTNERS BY THE EXPRESS WILL OF ANY PARTNER AT DAMAGES.
ANYTIME
1. LOSS BEFORE OR AFTER DELIVERY OF PROPERTY WHERE
THE PARTNER CONTRIBUTED ONLY ITS USE OR ENJOYMENT,
WAYS OF DISSOLUTION OF A PARTNERSHIP THROUGH LOSS HE HAVING RESERVED THE OWNERSHIP THEREOF; OR
OF PROPERTY (2 ITEMS) 2. LOSS BEFORE DELIVERY OF SPECIFIC THING, WHICH A
PARTNER HAD PROMISED TO CONTRIBUTE TO THE
PARTNERSHIP.
PERSON WHO BEARS THE LOSS, BEFORE OR AFTER
THE PARTNER WHO OWNS THE PROPERTY BEARS THE
DELIVERY, OF PROPERTY WHERE THE PARTNER
LOSS.
CONTRIBUTED ONLY ITS USE OR ENJOYMENT
EFFECT IF A SPECIFIC THING PROMISED TO BE THE PARTNERSHIP IS NOT DISSOLVED AND THE
CONTRIBUTED BY A PARTNER TO THE PARTNERSHIP IS LOST PARTNERSHIP, BEING ALREADY THE OWNER, BEARS THE
AFTER ITS DELIVERY LOSS.
1. WHEN ANY EVENT MAKES IT UNLAWFUL FOR THE
BUSINESS OF THE PARTNERSHIP TO BE CARRIED ON OR
FOR THE MEMBERS TO CARRY IT ON IN PARTNERSHIP;
2. BY THE DEATH OF ANY PARTNER;
3. BY THE INSOLVENCY OF ANY PARTNER OR OF THE
OTHER CAUSES OF DISSOLUTION OF A PARTNERSHIP (5 PARTNERSHIP;
ITEMS) 4. BY THE CIVIL INTERDICTION OF ANY PARTNER; AND
5. BY DECREE OF COURT (SUCH AS WHEN A PARTNER HAS
BEEN DECLARED INSANE IN ANY JUDICIAL PROCEEDING OR
IS SHOWN TO BE UNSOUND OF MIND; OR WHEN THE
BUSINESS OF THE PARTNERSHIP CAN ONLY BE CARRIED ON
AT A LOSS).
GR: DISSOLUTION TERMINATES ALL AUTHORITY OF A
PARTNER TO ACT FOR THE PARTNERSHIP.
RULES ON EFFECT OF DISSOLUTION ON THE AUTHORITY OF XPNS:
ANY PARTNER TO ACT FOR THE PARTNERSHIP (GR AND 1. ACTS TO WIND UP PARTNERSHIP AFFAIRS; AND
XPNS) 2. ACTS TO COMPLETE TRANSACTIONS BEGUN BEFORE
DISSOLUTION (WHOLLY OR PARTLY EXECUTORY
CONTRACTS).
REQUIREMENT FOR KNOWLEDGE OR NOTICE TO BIND THE
PARTNER ALONE (NOT THE PARTNERSHIP) IF HE ENTERS NOTICE OR KNOWLEDGE OF THE ACTING PARTNER ABOUT
INTO NEW TRANSACTIONS WHEN THE PARTNERSHIP HAS THE CAUSE OF DISSOLUTION IS IMMATERIAL.IN
BEEN DISSOLVED NOT BY THE ACT, INSOLVENCY OR DEATH TERMINATING A PARTNER'S AUTHORITY TO ENTER INTO
OF A PARTNER (SUCH AS BY THE EXPIRATION OF THE TERM NEW TRANSACTIONS.
OF THE PARTNERSHIP)
 REQUIREMENT FOR KNOWLEDGE OR NOTICE TO BIND THE
THE ACTING PARTNER MUST HAVE HAD KNOWLEDGE OF
PARTNER ALONE (NOT THE PARTNERSHIP) IF HE ENTERS
THE DISSOLUTION TO TERMINATE HIS AUTHORITY TO ENTER
INTO NEW TRANSACTIONS WHEN THE PARTNERSHIP HAS
INTO NEW TRANSACTIONS.
BEEN DISSOLVED BY THE ACT OF A PARTNER
REQUIREMENT FOR KNOWLEDGE OR NOTICE TO BIND THE
PARTNER ALONE (NOT THE PARTNERSHIP) IF HE ENTERS THE ACTING PARTNER MUST HAVE HAD KNOWLEDGE OF
INTO NEW TRANSACTIONS WHEN THE PARTNERSHIP HAS THE DISSOLUTION TO TERMINATE HIS AUTHORITY TO ENTER
BEEN DISSOLVED BY THE INSOLVENCY OR DEATH OF A INTO NEW TRANSACTIONS.
PARTNER
1, WHEN THE ACT IS NECESSARY FOR WINDING UP OF
PARTNERSHIP AFFAIRS;
2. WHEN THE ACT IS NECESSARY TO COMPLETE
ACTS OF A PARTNER AFTER DISSOLUTION THAT BIND THE
TRANSACTIONS BEGUN BEFORE DISSOLUTION; AND
PARTNERSHIP (3 ITEMS)
3. IN CASE OF A NEW TRANSACTION OR BUSINESS ENTERED
INTO BY A PARTNER WITHOUT AUTHORITY IF CERTAIN
CRITERIA ARE MET.
1. IF THE OTHER PARTY TO THE TRANSACTION HAD
EXTENDED CREDIT TO THE PARTNERSHIP BEFORE
DISSOLUTION (PREVIOUS CREDITOR) AND HE HAD NO
KNOWLEDGE OR NOTICE OF THE DISSOLUTION; AND
INSTANCES WHEN NEW TRANSACTIONS OR BUSINESS BIND 2. IF THE OTHER PARTY TO THE TRANSACTION IS A NEW
THE PARTNERSHIP (2 ITEMS) CREDITOR HAVING NO KNOWLEDGE OF THE PARTNER'S
LACK OF AUTHORITY AND THE FACT OF DISSOLUTION HAD
NOT BEEN ADVERTISED IN A NEWSPAPER OF GENERAL
CIRCULATION IN THE PLACE AT WHICH THE BUSINESS IS
REGULARLY CARRIED ON.
ACTS OF A PARTNER AFTER DISSOLUTION THAT DO NOT
BIND THE PARTNERSHIP (4 ITEMS)
RULES ON THE LIABILITY OF THE PARTNERS AND THE
PARTNERSHIP FOR ACTS OF A PARTNER AFTER
DISSOLUTION IF THE PARTNER'S AUTHORITY IS TERMINATED
AMONG THE PARTNERS (OR SUCH PARTNER HAS NO
AUTHORITY TO ACT) BUT THE PARTNERSHIP IS BOUND BY
THE TRANSACTION (3 ITEMS)
RULES ON THE LIABILITY OF THE PARTNERS AND THE
PARTNERSHIP FOR ACTS OF A PARTNER AFTER
DISSOLUTION IF THE PARTNER'S AUTHORITY IS NOT
TERMINATED AMONG THE PARTNERS AND THE
PARTNERSHIP IS BOUND BY THE TRANSACTION (3 ITEMS)
RULES ON THE LIABILITY OF THE PARTNERS AND THE
PARTNERSHIP FOR ACTS OF A PARTNER AFTER
DISSOLUTION IF THE PARTNER'S AUTHORITY IS TERMINATED
AMONG THE PARTNERS AND THE PARTNERSHIP IS NOT
BOUND BY THE TRANSACTION (2 ITEMS)
RULES ON THE LIABILITY OF THE PARTNERS AND THE
PARTNERSHIP FOR ACTS OF A PARTNER AFTER
DISSOLUTION IF THE PARTNER'S AUTHORITY IS NOT
TERMINATED AMONG THE PARTNERS AND THE
PARTNERSHIP IS NOT BOUNT BY THE TRANSACTION
1. BY THE PARTNER OR PARTNERS DESIGNATED BY THE
AGREEMENT (LIQUIDATING PARTNERS);
OR IF NONE WAS DESINATED:
PERSONS WHO MAY EXTRA-JUDICIALLY WIND UP 2. BY THE PARTNER OR PARTNERS WHO HAVE NOT
PARTNERSHIP AFFAIRS (3 ITEMS) WRONGFULLY DISSOLVED THE PARTNERSHIP; OR
3. IF ALL PARTNERS ARE DEAD, THE LEGAL
REPRESENTATIVE OF THE LAST SURVIVING PARTNER WHO
WAS NOT INSOLVENT.
IS THE WINDING UP OF PARTNERSHIP AFFAIRS UNDER THE
DIRECTION AND CONTROL OF THE COURT, UPON PROPER
WINDING UP OF PARTNERSHIP AFFAIRS JUDICIALLY
CAUSE SHOWN BY ANY PARTNER, HIS LEGAL
REPRESENTATIVE OR ASSIGNEE.
RIGHTS OF PARTNERS AFTER THE DISSOLUTION OF THE
PARTNERSHIP WITHOUT CONTRAVENTION OF THE
PARTNERSHIP AGREEMENT (2 ITEMS)
 AFTER THE DISSOLUTION OF THE PARTNERSHIP IN
CONTRAVENTION OF THE PARTNERSHIP AGREEMENT,
RIGHTS OF PARTNER WHO HAS NOT CAUSED THE
DISSOLUTION WRONGFULLY (4 ITEMS)
AFTER THE DISSOLUTION OF THE PARTNERSHIP IN
CONTRAVENTION OF THE PARTNERSHIP AGREEMENT,
RIGHTS OF PARTNER WHO HAS CAUSED THE DISSOLUTION
WRONGFULLY IF THE BUSINESS IS NOT CONTINUED (2
ITEMS)
AFTER THE DISSOLUTION OF THE PARTNERSHIP IN
CONTRAVENTION OF THE PARTNERSHIP AGREEMENT,
RIGHTS OF PARTNER WHO HAS CAUSED THE DISSOLUTION
WRONGFULLY IF THE BUSINESS IS CONTINUED (2 ITEMS)
GROUNDS FOR RESCISSION OF PARTNERSHIP CONTRACT (2
ITEMS)
RIGHTS OF PARTNERS WHO WERE INDUCED BY FRAUD OR
MISREPRESENTATION TO ENTER INTO THE PARTNERSHIP (3
ITEMS)
ORDER OF PAYMENT OF PARTNERSHIP LIABILITIES DURING
LIQUIDATION (4 ITEMS)
PRIORITY IN THE PAYMENT OF LIABILITIES USING
PARTNERSHIP CREDITORS
PARTNERSHIP PROPERTY
PRIORITY IN THE PAYMENT OF LIABILITIES USING INDIVIDUAL
SEPARATE CREDITORS
PARTNER'S PROPERTY
PRIORITY OF CLAIMS AGAINST SEPARATE PROPERTY OF A 1. THOSE OWING TO SEPARATE CREDITORS;
DEBTOR WHO IS INSOLVENT OR WHOSE ESTATE IS 2. THOSE OWING TO PARTNERSHIP CREDITORS; AND
INSOLVENT (3 ITEMS) 3. THOSE OWING TO PARTNERS BY WAY OF CONTRIBUTION.
HIS LIABILITY FOR THE OBLIGATIONS OF THE DISSOLVED
EXTENT OF LIABILITY OF A NEW PARTNER ADMITTED INTO A
PARTNERSHIP SHALL BE SATISFIED OUT OF PARTNERSHIP
DISSOLVED PARTNERSHIP TO CONTINUE THE BUSINESS
PROPERTY ONLY, UNLESS THERE IS A CONTRARY
WITH OTHER REMAINING PARTNERS
STIPULATION.
1. THEY MUST SUBSCRIBE AND SWEAR TO A CERTIFICATE
REQUIREMENTS FOR THE FORMATION OF A LIMITED STATING ITEMS SPECIFIC TO A LIMITED PARTNERSHIP; AND
PARTNERSHIP (2 ITEMS) 2. THEY MUST FILE FOR RECORD THE CERTIFICATE WITH
THE SECURITIES AND EXCHANGE COMMISSION.
1. THIS RIGHT MUST BE STATED IN THE ORIGINAL
REQUIREMENTS FOR THE ADMISSION OF ADDITIONAL CERTIFICATE OF LIMITED PARTNERSHIP; AND
LIMITED PARTNERS AFTER FORMATION (2 ITEMS) 2. AN AMENDMENT TO THE ORIGINAL CERTIFICATE
(REGARDING THE ADMISSION) SHALL BE FILED.
A GENERAL PARTNER HAS ALL THE RIGHTS AND POWERS OF
RIGHTS OF A GENERAL PARTNER IN A LIMITED
A GENERAL PARTNER IN A PARTNERSHIP WITHOUT LIMITED
PARTNERSHIP
PARTNERS.
A GENERAL PARTNER SHALL BE SUBJECT TO ALL
LIABILITIES OF A GENERAL PARTNER IN A LIMITED
RESTRICTIONS AND LIABILITIES OF A PARTNER IN A
PARTNERSHIP
PARTNERSHIP WITHOUT LIMITED PARTNERS.
1. DO ANY ACT IN CONTRAVENTION OF THE CERTIFICATE;
2. DO ANY ACT WHICH WOULD MAKE IT IMPOSSIBLE TO
CARRY ON THE BUSINESS OF THE PARTNERSHIP;
3. CONFESS A JUDGMENT AGAINST THE PARTNERSHIP;
4. POSSESS PARTNERSHIP PROPERTY, OR ASSIGN THEIR
RIGHTS IN SPECIFIC PROPERTY, FOR OTHER THAN A
ACTS A GENERAL PARTNER IS NOT AUTHORIZED TO
PARTNERSHIP PURPOSE;
PERFORM WITHOUT THE WRITTEN CONSENT OR
5. ADMIT A PERSON AS A GENERAL PARTNER;
RATIFICATION BY ALL THE LIMITED PARTNERS (7 ITEMS)
6. ADMIT A PERSON AS A LIMITED PARTNER, UNLESS THE
RIGHT TO DO SO IS GIVEN IN THE CERTIFICATE; AND
7. CONTINUE THE BUSINESS WITH PARTNERSHIP PROPERTY
ON THE DEATH, RETIREMENT, CIVIL INTERDICTION OR
INSOLVENCY OF A GENERAL PARTNER UNLESS THE RIGHT
TO DO SO IS GIVEN IN THE CERTIFICATE.
GR: A LIMITED PARTNER SHALL NOT ALLOW THE INCLUSION
OF HIS SURNAME IN THE PARTNERSHIP NAME.
XPNS:
RULES ON THE INCLUSION OF A LIMITED PARTNER'S
1. IF IT IS ALSO THE SURNAME OF A GENERAL PARTNER; AND
SURNAME IN THE PARTNERSHIP NAME (GR AND XPNS)
2. THE BUSINESS HAD BEEN CARRIED ON UNDER A NAME IN
WHICH HIS SURNAME APPEARED PRIOR TO HIS ADMISSION
AS A LIMITED PARTNER.
 HE IS LIABLE AS A GENERAL PARTNER TO PARTNERSHIP
EFFECT IF A LIMITED PARTNER ALLOWS THE INCLUSION OF CREDITORS WHO EXTEND CREDIT TO THE PARTNERSHIP
HIS SURNAME IN THE PARTNERSHIP NAME WITHOUT ACTUAL KNOWLEDGE THAT HE IS NOT A GENERAL
PARTNER.
EFFECT IF A LIMITED PARTNER TAKES PART IN THE
HE SHALL BE LIABLE AS A GENERAL PARTNER.
CONTROL OF THE BUSINESS
1. ALL LIABILITIES OF THE PARTNERSHIP HAVE BEEN PAID
(EXCEPT LIABILITIES TO GENERAL PARTNERS AND TO
LIMITED PARTNERS ON ACCOUNT OF THEIR
CONTRIBUTIONS);
REQUISITES FOR THE RETURN OF A LIMITED PARTNER'S
2. THE CONSENT OF ALL THE PARTNERS (GENERAL AND
CONTRIBUTION (3I TEMS)
LIMITED) HAS BEEN OBTAINED, UNLESS THE RETURN OF THE
CONTRIBUTION MAY BE RIGHTFULLY DEMANDED; AND
3. THE CERTIFCATE IS CANCELLED OR SO AMENDED TO SET
FORTH THE WITHDRAWAL OR REDUCTION.
1. ON THE DISSOLUTION OF THE PARTNERSHIP; OR
2. WHEN THE DATE SPECIFIED IN THE CERTIFICATE FOR ITS
RETURN HAS ARRIVED; OR
INSTANCES WHEN A LIMITED PARTNER MAY RIGHTFULLY 3. AFTER HE HAS GIVEN SIX MONTHS NOTICE IN WRITING TO
DEMAND THE RETURN OF HIS CONTRIBUTION (3 ITEMS) ALL MEMBERS, IF NO TIME IS SPECIFIED IN THE
CERTIFICATE, EITHER FOR THE RETURN OF HIS
CONTRIBUTION OR THE DISSOLUTION OF THE
PARTNERSHIP.
GR: A LIMITED PARTNER HAS ONLY THE RIGHT TO DEMAND
AND RECEIVE CASH.
RULES ON THE FORM (CASH OR FORM OTHER THAN CASH)
XPN: WHEN THE CERTIFICATE CONTAINS A STATEMENT OR
OF CONTRIBUTION OF LIMITED PARTNER TO BE RETURNED
THERE IS AN AGREEMENT AMONG THE PARTNERS
(GR & XPN)
(GENERAL AND LIMITED) THAT THE CONTRIBUTION MAY BE
RETURNED IN A FORM OTHER THAN CASH.
1. WHEN HE RIGHTFULLY BUT UNSUCCESSFULLY DEMANDS
THE RETURN OF HIS CONTRIBUTION; OR
2. WHEN, ALTHOUGH HE IS ENTITLED TO THE RETURN OF HIS
INSTANCES WHEN A LIMITED PARTNER MAY HAVE THE
CONTRIBUTION, THE SAME IS NOT PAID TO HIM BECAUSE
PARTNERSHIP DISSOLVED AND WOUND UP (2 ITEMS)
THE OTHER LIABILITIES OF THE PARTNERSHIP HAVE NOT
BEEN PAID OR THE PROPERTY OF THE PARTNERSHIP IS
INSUFFICIENT FOR THEIR PAYMENT.
RULE ON THE ASSIGNMENT OF A LIMITED PARTNER'S
A LIMITED PARTNER'S INTEREST IS ASSIGNABLE.
INTEREST
IS A PERSON ADMITTED TO ALL THE RIGHTS OF A LIMITED
PARTNER WHO HAS DIED OR HAS ASSIGNED HIS INTEREST SUBSTITUTED LIMITED PARTNER
IN THE PARTNERSHIP.
1. ALL THE MEMBERS OF THE PARTNERSHIP MUST CONSENT
TO THE ASSIGNEE BECOMING A SUBSTITUTED LIMITED
PARTNER, UNLESS THE ASSIGNOR IS EMPOWERED BY THE
REQUISITES IN ORDER THAT AN ASSIGNEE MAY BECOME A
CERTIFICATE TO GIVE THE ASSIGNEE SUCH RIGHT;
SUBSTITUTED LIMITED PARTNER (3 ITEMS)
2. THE CERTIFICATE MUST BE AMENDED TO REFLECT THE
SUBSTITUTION; AND
3. THE CERTIFICATE MUST BE REGISTERED WITH THE SEC.
THE ASSIGNEE IS ONLY ENTITLED TO RECEIVE THE SHARE
EFFECT OF ASSIGNMENT OF A LIMITED PARTNER'S
OF THE PROFITS, OTHER COMPENSATION BY WAY OF
INTEREST IF THE ASSIGNEE DOES NOT BECOME A
INCOME AND RETURN OF THE CONTRIBUTION TO WHICH THE
SUBSTITUTED PARTNER
ASSIGNOR PARTNER WOULD OTHERWISE BE ENTITLED.
ACTS A LIMITED PARTNER'S ASSIGNEE OF INTEREST (WHO 1. REQUIRE ANY INFORMATION OR ACCOUNT OF
DOES NOT BECOME A SUBSTITUTED PARTNER) HAS NO PARTNERSHIP TRANSACTIONS; AND
RIGHT TO PERFORM (2 ITEMS) 2. INSPECT PARTNERSHIP BOOKS.
HE HAS ALL THE RIGHTS AND POWERS, AND IS SUBJECT TO
ALL RESTRICTIONS AND LIABILITIES OF THE ASSIGNOR,
RIGHTS AND LIABILITIES OF A SUBSTITUTED LIMITED
EXCEPT THOSE LIABILITIES OF WHICH HE IS IGNORANT AT
PARTNER
THE TIME HE BECAME A LIMITED PARTNER AND WHICH
COULD NOT BE ASCERTAINED FROM THE CERTIFICATE.
EFFECT OF RETIREMENT, DEATH, CIVIL INTERDICTION,
THE PARTNERSHIP IS DISSOLVED.
INSANITY OR INSOLVENCY OF A GENERAL PARTNER
 THE PARTNERSHIP IS NOT DISSOLVED EXCEPT IF THERE IS
NO MORE LIMITED PARTNER BECAUSE IN SUCH A CASE, THE
EFFECT OF RETIREMENT, DEATH, CIVIL INTERDICTION,
REQUIREMENT THAT THERE MUST BE AT LEAST ONE
INSANITY OR INSOLVENCY OF A LIMITED PARTNER
LIMITED PARTNER IN A LIMITED PARTNERSHIP IS NOT
COMPLIED WITH.
INSTANCES WHEN THE BUSINESS MAY BE CONTINUED BY
1. WHEN THE RIGHT TO CONTINUE IS STATED IN THE
THE REMAINING GENERAL PARTNERS AFTER THE
CERTIFICATE; OR
RETIREMENT, DEATH, CIVIL INTERDICTION , INSANITY OR
2. WHEN ALL THE MEMBERS CONSENT.
INSOLVENCY OF A LIMITED PARTNER (2 ITEMS)
1. THOSE TO CREDITORS, INCLUDING LIMITED PARTNERS, IN
THE ORDER OF PRIORITY AS PROVIDED BY LAW, EXCEPT
THOSE TO LIMITED PARTNERS ON ACCOUNT OF THEIR
CONTRIBUTIONS;
2. THOSE TO LIMITED PARTNERS BY WAY OF THEIR SHARE
OF THE PROFITS AND OTHER COMPENSATION BY WAY OF
ORDER OF PAYMENT OF A LIMITED PARTNERSHIP'S INCOME ON THEIR CONTRIBUTIONS.
LIABILITIES (6 ITEMS) 3. THOSE TO LIMITED PARTNERS IN RESPECT TO THE
CAPITAL OF THEIR CONTRIBUTIONS;
4. THOSE TO GENERAL PARTNERS OTHER THAN FOR
CAPITAL AND PROFITS;
5. THOSE TO GENERAL PARTNERS IN RESPECT TO PROFITS;
AND
6. THOSE TO GENERAL PARTNERS IN RESPECT TO CAPITAL.
IN PROPORTION TO THE RESPECTIVE AMOUNTS OF THEIR
RULE ON SHARING OF LIMITED PARTNERS IN PARTNERSHIP
CLAIMS UNLESS OTHERWISE STATED IN THE CERTIFICATE
ASSETS
OR SUBSEQUENT AGREEMENT.
CAUSES OF CANCELLATION OF THE CERTIFICATE OF 1. WHEN THE PARTNERSHIP IS DISSOLVED; OR
LIMITED PARTNERSHIP (2 ITEMS) 2. WHEN ALL LIMITED PARTNERS CEASE TO BE SUCH.
 RFBT - CORPORATIONS (504001 - 504???)
IS AN ARTIFICIAL BEING CREATED BY OPERATION OF LAW,
HAVING THE RIGHT OF SUCCESSION AND THE POWERS,
CORPORATION
ATTRIBUTES AND PROPERTIES EXPRESSLY AUTHORIZED BY
LAW OR INCIDENT TO ITS EXISTENCE,
1. IT IS AN ARTIFICIAL BEING;
2. IT IS CREATED BY OPERATION OF LAW;
3. IT HAS THE RIGHT OF SUCCESSION; AND
ATTRIBUTES OF A CORPORATION (4 ITEMS(
4. IT HAS THE POWERS, ATTRIBUTES AND PROPERTIES
EXPRESSLY AUTHORIZED BY LAW OR INCIDENT TO ITS
EXISTENCE.
1. NATURAL PERSONS
KINDS OF PERSONS UNDER THE LAW (2 ITEMS)
2. ARTIFICIAL PERSONS
IS AN ATTRIBUTE OF A CORPORATION WHICH ASSERTS THAT
A CORPORATION HAS A PERSONALITY SEPARATE AND
DISTINCT FROM THE STOCKHOLDERS OR MEMBERS AND IT IS AN ARTIFICIAL BEING.
WHICH COMMENCES UPON THE ISSUANCE OF ITS
CERTIFICATE OF INCORPORATION.
IS A PRINCIPLE WHICH ASSERTS THAT THE SEPARATE
PERSONALITY OF A CORPORATION MAY BE DISREGARDEDIF DOCTRINE OF PEIRCING THE VEIL OF CORPORATE ENTITY
SUCH ENTITY IS USED TO DEFEAT PUBLIC CONVENIENCE, OR CORPORATE FICTION
JUSTIFY A WRONG, PROTECT FRAUD OR DEFEND CRIME,
IS AN ATTRIBUTE OF A CORPORATION WHICH ASSERTS THAT
A CORPORATION DOES NOT COME INTO EXISTENCE BY THE
MERE AGREEMENT OF THE PARTIES. PERSONS DESIRING TO IT IS CREATED BY OPERATION OF LAW.
FORM A PRIVATE CORPORATION MUST COMPLY WITH THE
REQUIREMENTS OF THE LAW GOVERNING ITS CREATION.
IS AN ATTRIBUTE OF A CORPORATION WHICH ASSERTS THAT
A CORPORATION, AS A RULE, CONTINUES TO EXIST FOR THE
PERIOD FOR WHICH IT HAS BEEN FORMED REGARDLESS OF IT HAS THE RIGHT OF SUCCESSION.
THE CHANGES IN THE OWNERSHIP OF ITS STOCKS OR IN ITS
MEMBERSHIP.
IS AN ATTRIBUTE OF A CORPORATION WHICH ASSERTS THAT
A CORPORATION CAN EXERCISE ONLY THE POWERS
IT HAS THE POWERS, ATTRIBUTES AND PROPERTIES
EXPRESSLY CONFERRED UPON IT BY LAW AND ITS
EXPRESSLY AUTHORIZED BY LAW OR INCIDENT TO ITS
ARTICLES OF INCORPORATION, THOSE IMPLIED FROM SUCH
EXISTENCE.
POWERS EXPRESSLY GRANTED, AND THOSE THAT ARE
INCIDENT TO ITS EXISTENCE.
SIMILARITIES BETWEEN A CORPORATION AND A
1. BOTH HAVE A SEPARATE JURIDICAL PERSONALITY
PARTNERSHIP (4 ITEMS)
RFBT - SPECIAL TOPICS (509001 - STILL UNFINISHED)
THE STATE SHALL:
1. ESTABLISH A SOCIALLY CONSCIOUS, FREE MARKET THAT REGULATES ITSELF;
2. ENCOURAGE THE WIDEST PARTICIPATION OF OWNERSHIP IN ENTERPRISES;
3. ENHANCE THE DEMOCRATIZATION OF WEALTH;
4. PROMOTE THE DEVELOPMENT OF THE CAPITAL MARKET;
5. PROTECT INVESTORS;
6.ENSURE FULL AND FAIR DISCLOSURE ABOUT SECURITIES; AND
OBJECTIVES OF7.THE
MINIMIZE
SECURITIES
IF NOTREGULATION
TOTALLY ELIMINATE
CODE (5INSIDER
ITEMS) TRADING AND OTHER FRAUDULENT OR MANIPULATIVE DEVICES AND PRACTICES WHICH CREATE DISTORTIONS IN THE FREE MARKET.
 AUDIT - OVERVIEW OF AUDITNG (601001 - 601111)
PROFESSIONA
601001 - IS AN INDIVIDUAL WHO HOLDS A VALID CERTIFICATE L
ISSUED BY THE BOARD OF ACCOUNTANCY, WHETHER PROFESSIONAL ACCOUNTANT OR CERTIFIED PUBLIC ACCOUNTANT
HE/SHE BE IN PUBLIC PRACTICE, INDUSTRY, COMMERCE, ACCOUNTANT OR CERTIFIED
THE PUBLIC SECTOR OR EDUCATION. PUBLIC
ACCOUNTANT
IS AN INDIVIDUAL WHO HOLDS A VALID CERTIF
1. PRACTICE
OF PUBLIC
ACCOUNTANC
Y
2. PRACTICE
IN COMMERCE
AND
INDUSTRY
(COMMERCE -
DISTRIBUTION
1. PRACTICE OF PUBLIC ACCOUNTANCY OF GOODS
2. PRACTICE IN COMMERCE AND INDUSTRY (COMMERCE - AND
601002 - SCOPE OF PRACTICE OF ACCOUNTANCY IN THE DISTRIBUTION OF GOODS AND SERVICES; INDUSTRY - SERVICES;
PHILIPPINES (4 ITEMS) CONVERSION OF RAW MATERIALS TO FINISHED GOODS) INDUSTRY -
3. PRACTICE IN EDUCATION/ACADEME CONVERSION
4. PRACTICE IN THE GOVERNMENT OF RAW
MATERIALS
TO FINISHED
GOODS)
3. PRACTICE
IN
EDUCATION/A
CADEME
4. PRACTICE
IN THE
GOVERNMENT
SCOPE OF PRACTICE OF ACCOUNTANCY IN TH
601003 - ACCOUNTANTS IN __________ ARE WORKING IN
ACCOUNTING FIRMS OR INDIVIDUALLY TO PROVIDE AUDIT PUBLIC
PUBLIC PRACTICE
AND ATTESTATION, TAX PLANNING AND PREPARATION, AND PRACTICE
ADVISORY SERVICES TO THEIR CLIENTS. ACCOUNTANTS IN __________ ARE WORKING IN
INDUSTRY
601004 - AN ACCOUNTANT PRACTICING IN __________ AND
SERVES ONLY ONE COMPANY. HE PROVIDES A STAFF COMMERCE
INDUSTRY AND COMMERCE (ALSO PRIVATE ACCOUNTING)
FUNCTION WHICH SUPPORTS THE COMPANY BY (ALSO
PERFORMING ACCOUNTING-RELATED TASKS. PRIVATE
ACCOUNTING)
AN ACCOUNTANT PRACTICING IN __________ S
601005 - AN ACCOUNTANT PRACTICING IN ___________ CAN (ACCOUNTING
PURSUE A CAREER AS A FACULTY MEMBER IN A SCHOOL, AN )
(ACCOUNTING) EDUCATION/ACADEME
AUTHOR OF AN ACCOUNTING BOOK, A RESEARCHER, A EDUCATION/A
TRAINER OR A REVIEWER. CADEME
AN ACCOUNTANT PRACTICING IN ___________
601006 - AN ACCOUNTANT PRACTICING IN __________
PROVIDE ACCOUNTING INFORMATION THAT HELP
GOVERNMENT GOVERNMENT
GOVERNMENT AGENCIES PLAN, BUDGET, FORECAST AND
ALLOCATE GOVERNMENT FUNDS. AN ACCOUNTANT PRACTICING IN __________ P
AUDITING AND
601007 - IS THE BODY AUTHORIZED TO ESTABLISH AND ASSURANCE
PROMULGATE GENERALLY ACCEPTED AUDITING AUDITING AND ASSURANCE STANDARDS COUNCIL (AASC) STANDARDS
STANDARDS (GAAS) IN THE PHILIPPINES. COUNCIL
(AASC) TO ESTABLISH AND
IS THE BODY AUTHORIZED
1. PHILIPPINE
STANDARDS
ON AUDITING
(PSAs)
2. PHILIPPINE
STANDARDS
ON REVIEW
1. PHILIPPINE STANDARDS ON AUDITING (PSAs) ENGAGEMENT
2. PHILIPPINE STANDARDS ON REVIEW ENGAGEMENTS S (PSREs)
601008 - STANDARDS OF ENGAGEMENT IN THE PHILIPPINES (PSREs) 3. PHILIPPINE
(4 ITEMS) 3. PHILIPPINE STANDARDS ON ASSURANCE ENGAGEMENTS STANDARDS
(PSAEs) ON
4. PHILIPPINE STANDARDS ON RELATED SERVICES (PSRSs) ASSURANCE
ENGAGEMENT
S (PSAEs)
4. PHILIPPINE
STANDARDS
ON RELATED
SERVICES
(PSRSs)
STANDARDS OF ENGAGEMENT IN THE PHILIPP
PHILIPPINE
601009 - ENGAGEMENT STANDARDS APPLICABLE TO THE STANDARDS
PHILIPPINE STANDARDS ON AUDITING (PSAs)
AUDIT OF HISTORICAL FINANCIAL INFORMATION ON AUDITING
(PSAs) APPLICABLE TO TH
ENGAGEMENT STANDARDS
PHILIPPINE
STANDARDS
601010 - ENGAGEMENT STANDARDS APPLICABLE TO REVIEW
PHILIPPINE STANDARDS ON REVIEW ENGAGEMENTS (PSREs) ON REVIEW
OF HISTORICAL FINANCIAL INFORMATION
ENGAGEMENT
S (PSREs) APPLICABLE TO RE
ENGAGEMENT STANDARDS
 PHILIPPINE
601011 - ENGAGEMENT STANDARDS APPLICABLE TO STANDARDS
ASSURANCE ENGAGEMENTS DEALING WITH SUBJECT PHILIPPINE STANDARDS ON ASSURANCE ENGAGEMENTS ON
MATTERS OTHER THAN HISTORICAL FINANCIAL (PSAEs) ASSURANCE
INFORMATION ENGAGEMENT
S (PSAEs) APPLICABLE TO AS
ENGAGEMENT STANDARDS
PHILIPPINE
601012 - ENGAGEMENT STANDARDS APPLICABLE TO
STANDARDS
COMPILATION ENGAGEMENTS, ENGAGEMENTS TO APPLY
PHILIPPINE STANDARDS ON RELATED SERVICES (PSRSs) ON RELATED
AGREE-UPON PROCEDURES TO INFORMATION, AND OTHER
SERVICES
RELATED SERVICE ENGAGEMENTS SPECIFIED BY THE AASC
(PSRSs) APPLICABLE TO CO
ENGAGEMENT STANDARDS
PHILIPPINE
601013 - ARE ISSUED TO PROVIDE INTERPRETATIVE
AUDITING
GUIDANCE AND PRACTICAL ASSISTANCE TO PROFESSIONAL
PHILIPPINE AUDITING PRACTICE STATEMENTS (PAPS) PRACTICE
ACCOUNTANTS IN IMPLEMENTING PHILIPPINE AUDITING
STATEMENTS
STANDARDS AND PROMOTE GOOD PRACTICE.
(PAPS)INTERPRETATIVE GU
ARE ISSUED TO PROVIDE
601014 - REFER TO A REGULAR PUBLICATION ISSUED BY THE AASC
AASC TO PROVIDE GUIDANCE TO AUDITORS IN THE BULLETINS
AASC BULLETINS AND AASC ALERTS
APPLICATION OF PSAs. THESE ARE NOT PART OF PSAs AND AND AASC
DO NOT CHANGE THE REQUIREMENTS OF RELEVANT PSAs. ALERTS
REFER TO A REGULAR PUBLICATION ISSUED B
601015 - PROVIDES THE BASIC PRINCIPLES AND GUIDANCE PHILIPPINE
WITH REGARDS TO THE CONDUCT OF ASSURANCE FRAMEWORK
ENGAGEMENTS IN THE PHILIPPINES. IT DOES NOT OF ITSELF FOR
PHILIPPINE FRAMEWORK FOR ASSURANCE ENGAGEMENTS
ESTABLISH STANDARDS OR PROVIDE PROCEDURAL ASSURANCE
REQUIREMENTS FOR THE PERFORMANCE OF ASSURANCE ENGAGEMENT
ENGAGEMENTS. S
PROVIDES THE BASIC PRINCIPLES AND GUIDAN
1.
ASSURANCE
SERVICES/EN
601016 - MAIN CLASSIFICATIONS OF THE TYPES OF
1. ASSURANCE SERVICES/ENGAGEMENTS GAGEMENTS
SERVICES OF A PROFESSIONAL ACCOUNTANT IN PUBLIC
2. NON-ASSURANCE SERVICES/ENGAGEMENTS 2. NON-
PRACTICE (2 ITEMS)
ASSURANCE
SERVICES/EN
GAGEMENTS
MAIN CLASSIFICATIONS OF THE TYPES OF SER
601017 - MEANS AN ENGAGEMENT IN WHICH A
PRACTITIONER EXPRESSES A CONCLUSION DESIGNED TO
ENHANCE THE DEGREE OF CONFIDENCE OF THE INTENDED ASSURANCE
ASSURANCE ENGAGEMENT
USERS OTHER THAN THE RESPONSIBLE PARTY ABOUT THE ENGAGEMENT
OUTCOME OF THE EVALUATION OR MEASUREMENT OF A
SUBJECT MATTER AGAINST CRITERIA. MEANS AN ENGAGEMENT IN WHICH A PRACTIT
601018 - REFERS TO THE OUTCOME OF THE EVALUATION OR
SUBJECT
MEASUREMENT OF A SUBJECT MATTER (USUALLY EXISTS IN
SUBJECT MATTER INFORMATION MATTER
THE FORM OF ASSERTION BY THE RESPONSIBLE PARTY IN
INFORMATION
SOME ASSURANCE ENGAGEMENTS). REFERS TO THE OUTCOME OF THE EVALUATIO
1. ASSERTION-
BASED
ENGAGEMENT
601019 - TYPES OF ASSURANCE ENGAGEMENTS AS TO THE
1. ASSERTION-BASED ENGAGEMENTS S
AVAILABILITY OF SUBJECT MATTER INFORMATION TO
2. DIRECT REPORTING ENGAGEMENTS 2. DIRECT
INTENDED USERS (2 ITEMS)
REPORTING
ENGAGEMENT
TYPES OF ASSURANCES ENGAGEMENTS AS TO
601020 - ARE ASSURANCE ENGAGEMENTS THAT INVOLVE
THE EVALUATION OR MEASUREMENT OF THE SUBJECT ASSERTION-
MATTER BY THE RESPONSIBLE PARTY AND THE SUBJECT BASED
ASSERTION-BASED ENGAGEMENTS
MATTER INFORMATION IN THE FORM OF AN ASSERTION BY ENGAGEMENT
THE RESPONSIBLE PARTY IS MADE AVAILABLE TO THE S
INTENDED USERS. ARE ASSURANCE ENGAGEMENTS THAT INVOLV
601021 - ARE ENGAGEMENTS WHERE THE PRACTITIONER
EITHER DIRECTLY PERFORMS THE EVALUATION OR DIRECT
MEASUREMENT OF THE SUBJECT MATTER, OR OBTAINS A REPORTING
DIRECT REPORTING ENGAGEMENTS
REPRESENTATION FROM THE RESPONSIBLE PARTY THAT ENGAGEMENT
HAS PERFORMED THE EVALUATION OR MEASUREMENT S
THAT IS NOT AVAILABLE TO INTENDED USERS. ARE ENGAGEMENTS WHERE THE PRACTITIONE
1.
REASONABLE
ASSURANCE
601022 - TYPES OF ASSURANCE ENGAGEMENTS AS TO THE 1. REASONABLE ASSURANCE ENGAGEMENT
ENGAGEMENT
LEVEL OF ASSURANCE PROVIDED (2 ITEMS) 2. LIMITED ASSURANCE ENGAGEMENT
2. LIMITED
ASSURANCE
ENGAGEMENT
TYPES OF ASSURANCE ENGAGEMENTS AS TO
601023 - IS AN ASSURANCE ENGAGEMENT THAT AIMS TO
REDUCE THE ASSURANCE ENGAGEMENT RISK TO AN REASONABLE
ACCEPTABLY LOW LEVEL IN THE CIRCUMSTANCES OF THE REASONABLE ASSURANCE ENGAGEMENT ASSURANCE
ENGAGEMENT AS THE BASIS FOR A POSITIVE FORM OF ENGAGEMENT
EXPRESSION OF THE PRACTITIONER'S CONCLUSION. IS AN ASSURANCE ENGAGEMENT THAT AIMS T
601024 - IS AN ASSURANCE ENGAGEMENT THAT AIMS TO
REDUCE THE ASSURANCE ENGAGEMENT RISK TO A LEVEL
THAT IS ACCEPTABLE IN THE CIRCUMSTANCE IF THE LIMITED
ENGAGEMENT, BUT WHERE THAT RISK IS GREATER THAN LIMITED ASSURANCE ENGAGEMENT ASSURANCE
FOR A REASONABLE ASSURANCE ENGAGEMENT, AS A BASIS ENGAGEMENT
FOR A NEGATIVE EXPRESSION OF THE PRACTITIONER'S
CONCLUSION. IS AN ASSURANCE ENGAGEMENT THAT AIMS T
 1. A THREE-
PARTY
RELATIONSHI
P;
2. AN
APPROPRIATE
1. A THREE-PARTY RELATIONSHIP; SUBJECT
2. AN APPROPRIATE SUBJECT MATTER; MATTER;
601025 - ELEMENTS OF AN ASSURANCE ENGAGEMENT (5
3. SUITABLE CRITERIA; 3. SUITABLE
ITEMS)
4. SUFFICIENT APPROPRIATE EVIDENCE; AND CRITERIA;
5. A WRITTEN ASSURANCE REPORT 4. SUFFICIENT
APPROPRIATE
EVIDENCE;
AND
5. A WRITTEN
ASSURANCE
REPORT
ELEMENTS OF AN ASSURANCE ENGAGEMENT
1.
PRACTITIONE
R
1. PRACTITIONER
601026 - PARTIES INVOLVED IN ASSURANCE ENGAGEMENTS 2.
2. RESPONSIBLE PARTY
(THREE-PARTY RELATIONSHIP) RESPONSIBLE
3. INTENDED USERS
PARTY
3. INTENDED
PARTIES INVOLVEDUSERS
IN ASSURANCE ENGAGEME
601027 - IS A PARTY IN AN ASSURANCE ENGAGEMENT WHO
PROVIDES THE ASSURANCE TO THE INTENDED USERS PRACTITIONE
PRACTITIONER
ABOUT A SUBJECT MATTER THAT IS THE RESPONSIBILITY OF R
ANOTHER PARTY. IS A PARTY IN AN ASSURANCE ENGAGEMENT W
601028 - IS A PARTY IN AN ASSURANCE ENGAGEMENT WHO
IS EITHER RESPONSIBLE FOR THE SUBJECT MATTER IN A
DIRECT REPORTING ENGAGEMENT, OR RESPONSIBLE FOR RESPONSIBLE
RESPONSIBLE PARTY
THE SUBJECT MATTER INFORMATION AND POSSIBLY (BUT PARTY
NOT ALWAYS) RESPONSIBLE FOR THE SUBJECT MATTER IN
AN ASSERTION-BASED ENGAGEMENT. IS A PARTY IN AN ASSURANCE ENGAGEMENT W
ENGAGING
601029 - IS THE PARTY WHO ENGAGES THE PRACTITIONER. ENGAGING PARTY
IS THE PARTY WHO PARTY
ENGAGES THE PRACTITION
THE
RESPONSIBLE
PARTY IS
RESPONSIBLE
THE RESPONSIBLE PARTY IS RESPONSIBLE FOR BOTH THE FOR BOTH
601030 - EFFECT IF THE RESPONSIBLE PARTY IS THE PARTY
SUBJECT MATTER INFORMATION AND THE SUBJECT THE SUBJECT
WHO ENGAGES THE PRACTITIONER
MATTER. MATTER
INFORMATION
AND THE
SUBJECT
MATTER. PARTY IS THE PA
EFFECT IF THE RESPONSIBLE
THE
RESPONSIBLE
PARTY IS
RESPONSIBLE
601031 - EFFECT IF THE RESPONSIBLE PARTY IS NOT THE THE RESPONSIBLE PARTY IS RESPONSIBLE FOR THE FOR THE
PARTY WHO ENGAGES THE PRACTITIONER (E.G. SUBJECT MATTER INFORMATION BUT NOT FOR THE SUBJECT
GOVERNMENT IS THE ENGAGING PARTY) SUBJECT MATTER. MATTER
INFORMATION
BUT NOT FOR
THE SUBJECT
MATTER. PARTY IS NOT TH
EFFECT IF THE RESPONSIBLE
601032 - ARE PARTIES IN AN ASSURANCE ENGAGEMENT
WHICH REFER TO THE PERSON, PERSONS OR CLASS OF INTENDED
INTENDED USERS
PERSONS FOR WHOM THE PRACTITIONER PREPARES THE USERS
ASSURANCE REPORT. ARE PARTIES IN AN ASSURANCE ENGAGEMENT
THE
RESPONSIBLE
PARTY CAN
BE ONE OF
601033 - GUIDELINE ON THE RESPONSIBLE PARTY BEING THE RESPONSIBLE PARTY CAN BE ONE OF THE INTENDED
THE
ALSO ONE OF THE INTENDED USERS USERS, BUT NOT THE ONLY ONE.
INTENDED
USERS, BUT
NOT THE
ONLY
GUIDELINE ON THE ONE.
RESPONSIBLE PARTY BEIN
 1. FINANCIAL
PERFORMANC
E OR
CONDITIONS
(E.G.,
HISTORICAL
OR
PROSPECTIVE
FINANCIAL
POSITION)
2. NON-
FINANCIAL
PERFORMANC
E OR
CONDITIONS
(E.G.,
1. FINANCIAL PERFORMANCE OR CONDITIONS (E.G., PERFORMANC
HISTORICAL OR PROSPECTIVE FINANCIAL POSITION) E OF AN
2. NON-FINANCIAL PERFORMANCE OR CONDITIONS (E.G., ENTITY THAT
PERFORMANCE OF AN ENTITY THAT MAY BE MEASURED MAY BE
601034 - FORMS OF APPROPRIATE SUBJECT MATTER (5
USING KEY PERFORMANCE INDICATORS) MEASURED
ITEMS)
3. PHYSICAL CHARACTERISTICS (E.G., CAPACITY OF A USING KEY
FACILITY) PERFORMANC
4. SYSTEMS AND PROCESSES (E.G., INTERNAL CONTROL) E
5. BEHAVIOR (E.G., CORPORATE GOVERNANCE) INDICATORS)
3. PHYSICAL
CHARACTERIS
TICS (E.G.,
CAPACITY OF
A FACILITY)
4. SYSTEMS
AND
PROCESSES
(E.G.,
INTERNAL
CONTROL)
5. BEHAVIOR
(E.G.,
CORPORATE
GOVERNANCE
FORMS OF APPROPRIATE ) SUBJECT MATTER (5
1. IT SHOULD
BE
IDENTIFIABLE
AND CAPABLE
OF
CONSISTENT
EVALUATION
OR
MEASUREMEN
T AGAINST
THE
IDENTIFIED
CRITERIA;
AND
1. IT SHOULD BE IDENTIFIABLE AND CAPABLE OF 2. SUCH THAT
CONSISTENT EVALUATION OR MEASUREMENT AGAINST THE THE
IDENTIFIED CRITERIA; AND INFORMATION
601035 - CRITERIA FOR A SUBJECT MATTER TO BE 2. SUCH THAT THE INFORMATION ABOUT IT CAN BE ABOUT IT CAN
CONSIDERED APPROPRIATE (2 ITEMS) SUBJECTED TO PROCEDURES FOR GATHERING SUFFICIENT BE
APPROPRIATE EVIDENCE TO SUPPORT A REASONABLE SUBJECTED
ASSURANCE OR LIMITED ASSURANCE CONCLUSION, AS TO
APPROPRIATE. PROCEDURES
FOR
GATHERING
SUFFICIENT
APPROPRIATE
EVIDENCE TO
SUPPORT A
REASONABLE
ASSURANCE
OR LIMITED
ASSURANCE
CONCLUSION,
AS
APPROPRIATE
CRITERIA FOR A SUBJECT . MATTER TO BE CON
601036 - ARE THE BENCHMARKS USED TO EVALUATE OR
MEASURE THE SUBJECT MATTER INCLUDING, WHERE
CRITERIA CRITERIA
RELEVANT, BENCHMARKS FOR PRESENTATION AND
DISCLOSURE. ARE THE BENCHMARKS USED TO EVALUATE O
 1.
ESTABLISHED
CRITERIA
(MORE
FORMAL; E.G.,
PFRSs,
ESTABLISHED
INTERNAL
CONTROL
FRAMEWORK,
LAW,
REGULATION,
1. ESTABLISHED CRITERIA (MORE FORMAL; E.G., PFRSs,
CONTRACT,
ESTABLISHED INTERNAL CONTROL FRAMEWORK, LAW,
ETC.)
REGULATION, CONTRACT, ETC.)
2.
601037 - TYPES OF CRITERIA (2 ITEMS) 2. SPECIFICALLY DEVELOPED CRITERIA FOR THE
SPECIFICALLY
ENGAGEMENT (LESS FORMAL; E.G., INTERNALLY
DEVELOPED
DEVELOPED CODE OF CONDUCT, AGREED LEVEL OF
CRITERIA FOR
PERFORMANCE, ETC.)
THE
ENGAGEMENT
(LESS
FORMAL; E.G.,
INTERNALLY
DEVELOPED
CODE OF
CONDUCT,
AGREED
LEVEL OF
PERFORMANC
TYPES OF CRITERIAE,(2ETC.)
ITEMS)
1. RELEVANCE
2.
COMPLETENE
1. RELEVANCE
SS
2. COMPLETENESS
3. RELIABILITY
601038 - CHARACTERISTICS OF SUITABLE CRITERIA (5 ITEMS) 3. RELIABILITY
4.
4. NEUTRALITY
NEUTRALITY
5. UNDERSTANDABILITY
5.
UNDERSTAND
CHARACTERISTICSABILITY
OF SUITABLE CRITERIA (5 I
601039 - IS A CHARACTERISTIC OF SUITABLE CRITERIA
WHICH ASSERTS THAT RELEVANT CRITERIA CONTRIBUTE TO
RELEVANCE RELEVANCE
CONCLUSIONS THAT ASSIST DECISION-MAKING BY THE
INTENDED USERS. IS A CHARACTERISTIC OF SUITABLE CRITERIA
601040 - IS A CHARACTERISTIC OF SUITABLE CRITERIA
WHICH ASSERTS THAT SUITABLE CRITERIA DOES NOT OMIT
COMPLETENE
ANY RELEVANT FACTOR THAT COULD AFFECT THE COMPLETENESS
SS
CONCLUSIONS IN THE CONTEXT OF THE ENGAGEMENT
CIRCUMSTANCES. IS A CHARACTERISTIC OF SUITABLE CRITERIA
601041 - IS A CHARACTERISTIC OF SUITABLE CRITERIA
WHICH ASSERTS THAT SUITABLE CRITERIA ALLOW
REASONABLY CONSISTENT EVALUATION OR MEASUREMENT
RELIABILITY RELIABILITY
OF THE SUBJECT MATTER INCLUDING, WHERE RELEVANT,
PRESENTATION AND DISCLOSURE, WHEN USED IN SIMILAR
CIRCUMSTANCES BY SIMILARLY QUALIFIED PRACTITIONERS. IS A CHARACTERISTIC OF SUITABLE CRITERIA
601042 - IS A CHARACTERISTIC OF SUITABLE CRITERIA
WHICH ASSERTS THAT SUITABLE CRITERIA CONTRIBUTE TO NEUTRALITY NEUTRALITY
CONCLUSIONS THAT ARE FREE FROM BIAS. IS A CHARACTERISTIC OF SUITABLE CRITERIA
601043 - IS A CHARACTERISTIC OF SUITABLE CRITERIA
WHICH ASSERTS THAT SUITABLE CRITERIA CONTRIBUTE TO UNDERSTAND
UNDERSTANDABILITY
CONCLUSIONS THAT ARE CLEAR, COMPREHENSIVE AND NOT ABILITY
SUBJECT TO SIGNIFICANTLY DIFFERENT INTERPRETATIONS. IS A CHARACTERISTIC OF SUITABLE CRITERIA
 1. PUBLICLY;
2. THROUGH
INCLUSION IN
A CLEAR
MANNER IN
THE
PRESENTATIO
N OF THE
SUBJECT
MATTER
INFORMATION
1. PUBLICLY; ;
2. THROUGH INCLUSION IN A CLEAR MANNER IN THE 3. THROUGH
PRESENTATION OF THE SUBJECT MATTER INFORMATION; INCLUSION IN
601044 - WAYS CRITERIA ARE MADE AVAILABLE TO THE
3. THROUGH INCLUSION IN A CLEAR MANNER IN THE A CLEAR
INTENDED USERS (4 ITEMS)
ASSURANCE REPORT; AND MANNER IN
4. BY GENERAL UNDERSTANDING (E.G., CRITERION FOR THE
MEASURING TIME IN HOURS AND MINUTES). ASSURANCE
REPORT; AND
4. BY
GENERAL
UNDERSTANDI
NG (E.G.,
CRITERION
FOR
MEASURING
TIME IN
HOURS AND
MINUTES).
WAYS CRITERIA ARE MADE AVAILABLE TO THE
601045 - REFERS TO INFORMATION OR DATA USED BY
AUDITORS AS PART OF THEIR AUDIT WORKS TO CONCLUDE
AUDIT
THEIR OPINION ON WHETHER THE SUBJECT MATTER AUDIT EVIDENCE
EVIDENCE
INFORMATION IS PREPARED IN ALL MATERIAL RESPECT AND
IN ACCORDANCE WITH THE CRITERIA. REFERS TO INFORMATION OR DATA USED BY A
601046 - IS AN ATTITUDE WHICH MEANS THE PRACTITIONER
MAKES A CRITICAL ASSESSMENT, WITH A QUESTIONING
MIND, OF THE VALIDITY OF EVIDENCE OBTAINED AND IS PROFESSIONA
PROFESSIONAL SKEPTICISM
ALERT TO EVIDENCE THAT CONTRADICTS OR BRINGS INTO L SKEPTICISM
QUESTION THE RELIABILITY OF DOCUMENTS OR
REPRESENTATIONS BY THE RESPONSIBLE PARTY. IS AN ATTITUDE WHICH MEANS THE PRACTITIO
1.
SUFFICIENCY
601047 - CHARACTERISTICS OF PROPER AUDIT EVIDENCE (2 1. SUFFICIENCY
2.
ITEMS) 2. APPROPRIATENESS
APPROPRIATE
NESS
CHARACTERISTICS OF PROPER AUDIT EVIDEN
601048 - IS THE MEASURE OF THE QUANTITY OF EVIDENCE. SUFFICIENCY IS THE MEASURESUFFICIENCY
OF THE QUANTITY OF EVIDEN
601049 - IS THE MEASURE OF THE QUALITY OF EVIDENCE (I. APPROPRIATE
APPROPRIATENESS
E., ITS RELEVANCE AND ITS RELIABILITY). IS THE MEASURE OFNESS
THE QUALITY OF EVIDENC
THE GREATER
THE RISK OF
601050 - GUIDELINE ON THE RELATIONSHIP BETWEEN THE MATERIAL
QUANTITY OF EVIDENCE NEEDED AND THE RISK OF THE GREATER THE RISK OF MATERIAL MISSTATEMENTS, THE MISSTATEMEN
SUBJECT MATTER INFORMATION BEING MATERIALLY MORE EVIDENCE IS LIKELY TO BE REQUIRED. TS, THE MORE
MISSTATED EVIDENCE IS
LIKELY TO BE
GUIDELINE ON THEREQUIRED.
RELATIONSHIP BETWEEN T
THE
SUFFICIENCY
AND
APPROPRIATE
NESS OF
EVIDENCE
ARE
INTERRELATE
D. THE
HIGHER THE
QUALITY, THE
LESS
THE SUFFICIENCY AND APPROPRIATENESS OF EVIDENCE EVIDENCE
ARE INTERRELATED. THE HIGHER THE QUALITY, THE LESS MAY BE
601051 - GUIDELINE ON THE RELATIONSHIP BETWEEN THE EVIDENCE MAY BE REQUIRED. HOWEVER, MERELY REQUIRED.
QUALITY AND QUANTITY OF EVIDENCE OBTAINING MORE EVIDENCE MAY NOT COMPENSATE FOR HOWEVER,
ITS POOR QUALITY. THE PRACTITIONER HAS TO LOOK FOR A MERELY
BETTER SOURCE OF EVIDENCE. OBTAINING
MORE
EVIDENCE
MAY NOT
COMPENSATE
FOR ITS POOR
QUALITY. THE
PRACTITIONE
R HAS TO
LOOK FOR A
BETTER
SOURCE OF
GUIDELINE ON THEEVIDENCE.
RELATIONSHIP BETWEEN T
 1. EVIDENCE
IS MORE
RELIABLE
WHEN IT IS
OBTAINED
FROM
INDEPENDENT
SOURCES
OUTSIDE THE
ENTITY.
2. EVIDENCE
THAT IS
GENERATED
INTERNALLY
IS MORE
RELIABLE
WHEN THE
RELATED
CONTROLS
ARE
EFFECTIVE.
3. EVIDENCE
OBTAINED
DIRECTLY BY
THE
PRACTITIONE
R (E.G.,
1. EVIDENCE IS MORE RELIABLE WHEN IT IS OBTAINED FROM OBSERVATION
INDEPENDENT SOURCES OUTSIDE THE ENTITY. OF THE
2. EVIDENCE THAT IS GENERATED INTERNALLY IS MORE APPLICATION
RELIABLE WHEN THE RELATED CONTROLS ARE EFFECTIVE. OF A
3. EVIDENCE OBTAINED DIRECTLY BY THE PRACTITIONER (E. CONTROL) IS
G., OBSERVATION OF THE APPLICATION OF A CONTROL) IS MORE
MORE RELIABLE THAN EVIDENCE OBTAINED INDIRECTLY OR RELIABLE
601052 - GENERALIZATIONS ABOUT THE RELIABILITY OF
BY INFERENCE (E.G., INQUIRY ABOUT THE APPLICATION OF A THAN
AUDIT EVIDENCE (5 ITEMS)
CONTROL). EVIDENCE
4. EVIDENCE IS MORE RELIABLE WHEN IT EXISTS IN OBTAINED
DOCUMENTARY FORM, WHETHER PAPER, ELECTRONIC OR INDIRECTLY
OTHER MEDIA. OR BY
5. EVIDENCE PROVIDED BY ORIGINAL DOCUMENTS IS MORE INFERENCE
RELIABLE THAN EVIDENCE PROVIDED BY PHOTOCOPIES OR (E.G., INQUIRY
FACSIMILES. ABOUT THE
APPLICATION
OF A
CONTROL).
4. EVIDENCE
IS MORE
RELIABLE
WHEN IT
EXISTS IN
DOCUMENTAR
Y FORM,
WHETHER
PAPER,
ELECTRONIC
OR OTHER
MEDIA.
5. EVIDENCE
PROVIDED BY
ORIGINAL
DOCUMENTS
IS MORE
RELIABLE
THAN
EVIDENCE
PROVIDED BY
PHOTOCOPIE
S OR
GENERALIZATIONSFACSIMILES.
ABOUT THE RELIABILITY OF
601053 - IS EVIDENCE THAT TENDS TO SUPPORT A
PROPOSITION THAT IS ALREADY SUPPORTED BY SOME CORROBORAT
CORROBORATING EVIDENCE
INITIAL EVIDENCE, THEREFORE CONFIRMING THE ING EVIDENCE
PROPOSITION. IS EVIDENCE THAT TENDS TO SUPPORT A PRO
 THE
PRACTITIONE
R ORDINARILY
OBTAINS
MORE
ASSURANCE
FROM
CONSISTENT
EVIDENCE
OBTAINED
FROM
THE PRACTITIONER ORDINARILY OBTAINS MORE
DIFFERENT
ASSURANCE FROM CONSISTENT EVIDENCE OBTAINED FROM
601054 - GUIDELINE ON THE SOURCE(S) FROM WHICH THE SOURCES OR
DIFFERENT SOURCES OR OF A DIFFERENT NATURE THAN
PRACTITIONER SHOULD OBTAIN EVIDENCE OF A
FROM ITEMS OF EVIDENCE CONSIDERED INDIVIDUALLY (TO
DIFFERENT
MAXIMIZE THE EFFECT OF CORROBORATING EVIDENCE).
NATURE THAN
FROM ITEMS
OF EVIDENCE
CONSIDERED
INDIVIDUALLY
(TO MAXIMIZE
THE EFFECT
OF
CORROBORAT
ING
GUIDELINE ON THEEVIDENCE).
SOURCE(S) FROM WHICH T
601055 - IS AN ANALYSIS OF THE RELATIONSHIP BETWEEN COST-
THE COST OF OBTAINING EVIDENCE AND THE USEFULNESS COST-BENEFIT ANALYSIS BENEFIT
OF THE INFORMATION OBTAINED. IS AN ANALYSIS OFANALYSIS
THE RELATIONSHIP BETWE
GENERALLY,
THE
PRACTITIONE
R SHALL
PREFER
APPLYING
EVIDENCE
GATHERING
PROCEDURES
THAT ARE
EXPECTED TO
PROVIDE
USEFUL
INFORMATION
GENERALLY, THE PRACTITIONER SHALL PREFER APPLYING AT A
EVIDENCE GATHERING PROCEDURES THAT ARE EXPECTED REASONABLE
TO PROVIDE USEFUL INFORMATION AT A REASONABLE COST COST (COST
601056 - GUIDELINE ON THE CONSIDERATION OF THE (COST DOES NOT EXCEED THE BENEFIT). HOWEVER, THE DOES NOT
RESULTS OF COST BENEFIT ANALYSIS MATTER OF DIFFICULTY OR EXPENSE INVOLVED IS NOT IN EXCEED THE
ITSELF A VALID BASIS FOR OMITTING AN EVIDENCE BENEFIT).
GATHERING PROCEDURE FOR WHICH THERE IS MO HOWEVER,
ALTERNATIVE. THE MATTER
OF
DIFFICULTY
OR EXPENSE
INVOLVED IS
NOT IN ITSELF
A VALID BASIS
FOR
OMITTING AN
EVIDENCE
GATHERING
PROCEDURE
FOR WHICH
THERE IS MO
ALTERNATIVE.
GUIDELINE ON THE CONSIDERATION OF THE R
601057 - IS THE THRESHOLD ABOVE WHICH MISSING OR
INCORRECT INFORMATION IN FINANCIAL STATEMENTS IS
MATERIALITY MATERIALITY
CONSIDERED TO HAVE AN IMPACT ON THE DECISION
MAKING OF THE USERS. IS THE THRESHOLD ABOVE WHICH MISSING OR
THE LOWER
THE
MATERIALITY,
THE MORE
LOOSELY THE
PRACTITIONE
601058 - GUIDELINE ON THE RELATIONSHIP BETWEEN THE LOWER THE MATERIALITY, THE MORE LOOSELY THE R CAN DECIDE
MATERIALITY AND THE DETERMINATION OF THE NATURE, PRACTITIONER CAN DECIDE WITH REGARD TO THE NATURE, WITH REGARD
TIMING AND EXTENT OF EVIDENCE-GATHERING TIMING AND EXTENT OF EVIDENCE GATHERING TO THE
PROCEDURES PROCEDURES. NATURE,
TIMING AND
EXTENT OF
EVIDENCE
GATHERING
PROCEDURES
.
GUIDELINE ON THE RELATIONSHIP BETWEEN M
601059 - IS THE RISK THAT THE PRACTITIONER EXPRESSES ASSURANCE
AN INAPPROPRIATE CONCLUSION WHEN THE SUBJECT ASSURANCE ENGAGEMENT RISK ENGAGEMENT
MATTER INFORMATION IS MATERIALLY MISSTATED. RISK
IS THE RISK THAT THE PRACTITIONER EXPRES
1.
REASONABLE
ASSURANCE
ENGAGEMENT
- LOW LEVEL
OF
ASSURANCE
ENGAGEMENT
1. REASONABLE ASSURANCE ENGAGEMENT - LOW LEVEL OF RISK
601060 - GUIDELINE ON THE RELATIONSHIP BETWEEN THE
ASSURANCE ENGAGEMENT RISK 2. LIMITED
LEVEL OF ASSURANCE REQUIRED FOR THE ENGAGEMENT
2. LIMITED ASSURANCE ENGAGEMENT - HIGHER LEVEL OF ASSURANCE
(REASONABLE OR LIMITED) AND THE ACCEPTABLE LEVEL OF
ASSURANCE ENGAGEMENT RISK THAN THAT OF A ENGAGEMENT
ASSURANCE ENGAGEMENT RISK (2 ITEMS)
REASONABLE ASSURANCE ENGAGEMENT - HIGHER
LEVEL OF
ASSURANCE
ENGAGEMENT
RISK THAN
THAT OF A
REASONABLE
ASSURANCE
ENGAGEMENT
GUIDELINE ON THE RELATIONSHIP BETWEEN T
THE LOWER
THE
ACCEPTABLE
LEVEL OF
ASSURANCE
ENGAGEMENT
RISK, THE
TIGHTER THE
601061 - GUIDELINE ON THE RELATIONSHIP BETWEEN THE THE LOWER THE ACCEPTABLE LEVEL OF ASSURANCE
PRACTITIONE
ACCEPTABLE LEVEL OF ASSURANCE ENGAGEMENT RISK ENGAGEMENT RISK, THE TIGHTER THE PRACTITIONER MUST
R MUST
AND THE DETERMINATION OF THE NATURE, TIMING AND DECIDE WITH REGARD TO THE NATURE, TIMING AND EXTENT
DECIDE WITH
EXTENT OF EVIDENCE-GATHERING PROCEDURES OF EVIDENCE GATHERING PROCEDURES.
REGARD TO
THE NATURE,
TIMING AND
EXTENT OF
EVIDENCE
GATHERING
PROCEDURES
.
GUIDELINE ON THE RELATIONSHIP BETWEEN T
601062 - IS THE TANGIBLE OUTPUT OF AN ASSURANCE ASSURANCE
ASSURANCE REPORT
ENGAGEMENT. REPORTOF AN ASSURANCE
IS THE TANGIBLE OUTPUT
1.
INDEPENDENT
FINANCIAL
601063 - MOST COMMON TYPES OF ASSURANCE 1. INDEPENDENT FINANCIAL STATEMENTS AUDIT STATEMENTS
ENGAGEMENTS OR SERVICES (2 ITEMS) 2. REVIEW OF FINANCIAL STATEMENTS AUDIT
2. REVIEW OF
FINANCIAL
MOST COMMON STATEMENTS
TYPES OF ASSURANCE ENGAG
601064 - IS AN ASSURANCE ENGAGEMENT WHICH AIMS TO INDEPENDENT
PROVIDE A HIGH LEVEL OF ASSURANCE THAT THE FINANCIAL
INDEPENDENT FINANCIAL STATEMENTS AUDIT
FINANCIAL STATEMENTS ARE FREE OF MATERIAL STATEMENTS
MISSTATEMENT (REASONABLE ASSURANCE). AUDIT
IS AN ASSURANCE ENGAGEMENT WHICH AIMS
601065 - IS AN ASSURANCE ENGAGEMENT WHICH AIMS TO
ENABLE AN AUDITOR TO STATE WHETHER ON THE BASIS OF
PROCEDURES WHICH DO NOT PROVIDE ALL THE EVIDENCE
REVIEW OF
REQUIRED IN AN AUDIT, NOTHING HAS COME TO HIS
REVIEW OF FINANCIAL STATEMENTS FINANCIAL
ATTENTION THAT CAUSES HIM TO BELIEVE THAT THE
STATEMENTS
FINANCIAL STATEMENTS ARE NOT PREPARED, IN ALL
MATERIAL RESPECTS,WITH AN IDENTIFIED FINANCIAL
REPORTING FRAMEWORK (LIMITED ASSURANCE). IS AN ASSURANCE ENGAGEMENT WHICH AIMS
601066 - ARE SERVICES PERFORMED BY PROFESSIONAL
NON-
ACCOUNTANT THAT DO NOT RESULT IN THE
ASSURANCE
PRACTITIONER'S EXPRESSION OF A CONCLUSION THAT NON-ASSURANCE ENGAGEMENTS
ENGAGEMENT
PROVIDES A LEVEL OF ASSURANCE, WHETHER NEGATIVE
S
ASSURANCE OR OTHER FORM OF ASSURANCE. ARE SERVICES PERFORMED BY PROFESSIONA
 1. AGREED-
UPON
PROCEDURES
2.
COMPILATION
OF FINANCIAL
OR OTHER
INFORMATION
1. AGREED-UPON PROCEDURES
3.
2. COMPILATION OF FINANCIAL OR OTHER INFORMATION
601067 - MOST COMMON TYPES OF NON-ASSURANCE PREPARATION
3. PREPARATION OF TAX RETURNS AND TAX CONSULTING
ENGAGEMENTS (5 ITEMS) OF TAX
4. MANAGEMENT CONSULTING
RETURNS AND
5. OTHER ADVISORY SERVICES
TAX
CONSULTING
4.
MANAGEMENT
CONSULTING
5. OTHER
ADVISORY
SERVICES
MOST COMMON TYPES OF NON-ASSURANCE E
601068 - IS A NON-ASSURANCE ENGAGEMENT IN WHICH THE
PARTY ENGAGING THE PROFESSIONAL ACCOUNTANT OR
AGREED-
THE INTENDED USER DETERMINES THE PROCEDURES TO BE
AGREED-UPON PROCEDURES UPON
PERFORMED AND THE PROFESSIONAL ACCOUNTANT
PROCEDURES
PROVIDES A REPORT OF FACTUAL FINDINGS AS A RESULT
OF UNDERTAKING THOSE PROCEDURES. IS A NON-ASSURANCE ENGAGEMENT IN WHICH
601069 - IS A NON-ASSURANCE ENGAGEMENT WHOSE
OBJECTIVE IS FOR THE CPA TO USE ACCOUNTING
COMPILATION
EXPERTISE, AS OPPOSED TO AUDITING EXPERTISE, TO COMPILATION ENGAGEMENT
ENGAGEMENT
COLLECT, CLASSIFY AND SUMMARIZE FINANCIAL
INFORMATION. IS A NON-ASSURANCE ENGAGEMENT WHOSE O
1. TAX
601070 - PRIMARY TYPES OF TAX SERVICES RENDERED BY 1. TAX COMPLIANCE COMPLIANCE
CPAs (2 ITEMS) 2. TAX PLANNING 2. TAX
PLANNING
PRIMARY TYPES OF TAX SERVICES RENDERED
601071 - IS A TAX SERVICE PERFORMED BY CPAs WHICH
INCLUDES THE PREPARATION OF TAX RETURNS FOR TAX
TAX COMPLIANCE
INDIVIDUALS, CORPORATIONS, ESTATES AND TRUST AND COMPLIANCE
OTHERS. IS A TAX SERVICE PERFORMED BY CPAs WHICH
601072 - IS A TAX SERVICE PERFORMED BY CPAs WHICH
DETERMINES THE TAX CONSEQUENCES OF PLANNED OR
TAX
POTENTIAL TRANSACTIONS AND SUGGESTS THE DESIRABLE TAX PLANNING
PLANNING
COURSE OF ACTION TO MINIMIZE THE TAX LIABILITY WHILE
ACHIEVING THE CLIENT'S OBJECTIVES. IS A TAX SERVICE PERFORMED BY CPAs WHICH
601073 - ARE PROFESSIONAL SERVICES THAT EMPLOY A
PRACTITIONER'S TECHNICAL SKILLS, EDUCATION,
CONSULTING
OBSERVATIONS, EXPERIENCES, AND KNOWLEDGE OF THE CONSULTING SERVICS
SERVICS
ANALYTICAL APPROACH AND PROCEDURES USED IN A
CONSULTING ENGAGEMENT. ARE PROFESSIONAL SERVICES THAT EMPLOY
1. IMPLYING
COMPLIANCE
WITH THE
FRAMEWORK,
PSAs, PSREs
OR PSAEs;
2.
INAPPROPRIA
TELY USING
THE WORDS
[ASSURANCE],
[AUDIT] OR
[REVIEW]; AND
3. INCLUDING
1. IMPLYING COMPLIANCE WITH THE FRAMEWORK, PSAs, A STATEMENT
PSREs OR PSAEs; THAT COULD
2. INAPPROPRIATELY USING THE WORDS [ASSURANCE], REASONABLY
[AUDIT] OR [REVIEW]; AND BE MISTAKEN
601074 - ITEMS TO BE AVOIDED IN PREPARING A REPORT
3. INCLUDING A STATEMENT THAT COULD REASONABLY BE FOR A
THAT IS NOT AN ASSURANCE REPORT (3 ITEMS)
MISTAKEN FOR A CONCLUSION DESIGNED TO ENHANCE THE CONCLUSION
DEGREE OF CONFIDENCE OF INTENDED USERS ABOUT THE DESIGNED TO
OUTCOME OF THE EVALUATION OR MEASUREMENT OF A ENHANCE THE
SUBJECT MATTER AGAINST CRITERIA. DEGREE OF
CONFIDENCE
OF INTENDED
USERS ABOUT
THE
OUTCOME OF
THE
EVALUATION
OR
MEASUREMEN
T OF A
SUBJECT
MATTER
AGAINST
CRITERIA.
ITEMS TO BE AVOIDED IN PREPARING A REPOR
 GR: A
PRACTITIONE
R IS NOT
ALLOWED TO
601075 - RULE ON THE CAPACITY OF A PRACTITIONER TO
GR: A PRACTITIONER IS NOT ALLOWED TO MAKE SUCH MAKE SUCH
CHANGE AN ASSURANCE ENGAGEMENT (AFTER ITS
CHANGES/ CHANGES/
ACCEPTANCE) TO A NON-ASSURANCE ENGAGEMENT, OR
XPN: WHEN THERE IS REASONABLE JUSTIFICATION FOR THE XPN: WHEN
FROM A REASONABLE ASSURANCE ENGAGEMENT TO A
CHANGE. THERE IS
LIMITED ASSURANCE ENGAGEMENT (GR AND XPN)
REASONABLE
JUSTIFICATIO
N FOR THE
CHANGE.
RULE ON THE CAPACITY OF A PRACTITIONER T
1. A CHANGE
IN THE
CIRCUMSTAN
CES THAT
AFFECTS THE
INTENDED
USERS'
1. A CHANGE IN THE CIRCUMSTANCES THAT AFFECTS THE
REQUIREMEN
601076 - INSTANCES THAT ORDINARILY JUSTIFY A REQUEST INTENDED USERS' REQUIREMENTS; OR
TS; OR
FOR A CHANGE IN THE ENGAGEMENT (2 ITEMS) 2. A MISUNDERSTANDING CONCERNING THE NATURE OF THE
2. A
ENGAGEMENT.
MISUNDERST
ANDING
CONCERNING
THE NATURE
OF THE
ENGAGEMENT
.
INSTANCES THAT ORDINARILY JUSTIFY A REQU
A
PRACTITIONE
R MAY
ACCEPT SUCH
ENGAGEMENT
S EVEN IF HE
IS
UNFAMILIAR
WITH THE
SPECIALIZED
601077 - REQUIREMENT FOR A PRACTITIONER TO BE A PRACTITIONER MAY ACCEPT SUCH ENGAGEMENTS EVEN ACCOUNTING
FAMILIAR WITH THE SPECIALIZED INDUSTRY ACCOUNTING IF HE IS UNFAMILIAR WITH THE SPECIALIZED ACCOUNTING PRINCIPLES
PRINCIPLES RELEVANT TO A PROSPECTIVE CLIENT BEFORE PRINCIPLES AS LONG AS HE PLANS TO OBTAIN THE AS LONG AS
ACCEPTING AN ENGAGEMENT TO COMPILR OR REVIEW THE REQUIRED LEVEL OF KNOWLEDGE BEFORE COMPILING OR HE PLANS TO
FINANCIAL STATEMENTS OF SUCH CLIENT REVIEWING THE FINANCIAL STATEMENTS. OBTAIN THE
REQUIRED
LEVEL OF
KNOWLEDGE
BEFORE
COMPILING
OR
REVIEWING
THE
FINANCIAL
STATEMENTS.
REQUIREMENT FOR A PRACTITIONER TO BE FA
601078 - IS A SYSTEMATIC PROCESS BY WHICH A
COMPETENT, INDEPENDENT PERSON OBJECTIVELY OBTAINS
AND EVALUATES EVIDENCE REGARDING ASSERTIONS
ABOUT ECONOMIC ACTIONS AND EVENTS TO ASCERTAIN AUDITING AUDITING
THE DEGREE OF CORRESPONDENCE BETWEEN THOSE
ASSERTIONS AND ESTABLISHED CRITERIA AND
COMMUNICATING THE RESULTS TO INTERESTED USERS, IS A SYSTEMATIC PROCESS BY WHICH A COMP
601079 - IS A KEY PHRASE IN THE DEFINITION OF AUDITING
SYSTEMATIC
WHICH IMPLIES A STRUCTURED, LOGICAL AND ORGANIZED SYSTEMATIC PROCESS
PROCESS
SERIES OF STEPS AND PROCEDURES. IS A KEY PHRASE IN THE DEFINITION OF AUDIT
601080 - INCLUDE INFORMATION CONTAINED IN FINANCIAL
STATEMENTS, INTERNAL OPERATING REPORTS AND TAX ASSERTIONS ASSERTIONS
RETURNS. INCLUDE INFORMATION CONTAINED IN FINANC
601081 - REFERS TO THE CLOSENESS WITH WHICH THE DEGREE OF
ASSERTIONS CAN BE IDENTIFIED WITH ESTABLISHED DEGREE OF CORRESPONDENCE CORRESPOND
CRITERIA. ENCE
REFERS TO THE CLOSENESS WITH WHICH THE
601082 - ARE THE STANDARDS AGAINST WHICH THE ESTABLISHED
ESTABLISHED CRITERIA
ASSERTIONS OR REPRESENTATIONS ARE JUDGED. CRITERIA
ARE THE STANDARDS AGAINST WHICH THE AS
601083 - IS THE REPORTING OF THE RESULTS ANALYZED
ATTESTATION ATTESTATION
AND CONFIRMED IN THE AUDITING PROCESS. IS THE REPORTING OF THE RESULTS ANALYZE
601084 - ARE THE INDIVIDUALS WHO USE (RELY ON) THE INTERESTED
INTERESTED USERS
AUDITOR’S FINDINGS. USERS
ARE THE INDIVIDUALS WHO USE (RELY ON) TH
1.
STOCKHOLDE
RS
1. STOCKHOLDERS
2.
2. MANAGEMENT
MANAGEMENT
601085 - EXAMPLES OF INTERESTED USERS (5 ITEMS) 3. CREDITORS
3. CREDITORS
4. GOVERNMENTAL AGENCIES
4.
5. PUBLIC
GOVERNMENT
AL AGENCIES
5. PUBLIC USERS (5 ITEMS)
EXAMPLES OF INTERESTED
 1.
SHAREHOLDE
RS ARE
NUMEROUS.
2. THEY
OFTEN LACK
1. SHAREHOLDERS ARE NUMEROUS.
601086 - REASONS WHY IT IS RARE THAT OWNERS SPECIFIC
2. THEY OFTEN LACK SPECIFIC MANAGEMENT SKILLS
(SHAREHOLDERS) OF THE BUSINESS ALSO RUN (CONTROL) MANAGEMENT
REQUIRED TO SUCCESSFULLY MANAGE LARGE
THE BUSINESS (2 ITEMS) SKILLS
ENTERPRISES.
REQUIRED TO
SUCCESSFUL
LY MANAGE
LARGE
ENTERPRISES
.
REASONS WHY IT IS RARE THAT OWNERS (SHA
601087 - THE SHAREHOLDERS VEST CONTROL OF THE
BOARD OF
BUSINESS IN __________ WHO EMPLOY SPECIALIST
BOARD OF DIRECTORS; MANAGEMENT DIRECTORS;
_________ TO RUN THE BUSINESS AND RETURN THE
MANAGEMENT
PROFITS OF THE BUSINESS BACK TO SHAREHOLDERS. THE SHAREHOLDERS VEST CONTROL OF THE B
601088 - IS THE RISK THAT UNRELIABLE INFORMATION WILL INFORMATION
INFORMATION RISK
BE PROVIDED TO DECISION MAKERS. RISK
IS THE RISK THAT UNRELIABLE INFORMATION W
1.
REMOTENESS
OF
INFORMATION
USERS FROM
INFORMATION
PROVIDERS
1. REMOTENESS OF INFORMATION USERS FROM
2. POTENTIAL
INFORMATION PROVIDERS
BIAS AND
601089 - FACTORS THAT CONTRIBUTE TO INFORMATION RISK 2. POTENTIAL BIAS AND MOTIVES OF INFORMATION
MOTIVES OF
(4 ITEMS) PROVIDER
INFORMATION
3. VOLUMINOUS DATA
PROVIDER
4. COMPLEX BUSINESS TRANSACTIONS
3.
VOLUMINOUS
DATA
4. COMPLEX
BUSINESS
TRANSACTION
FACTORS THAT CONTRIBUTES TO INFORMATION
1. ALLOW
USERS TO
VERIFY
INFORMATION
(GENERALLY
IMPRACTICAB
LE)
2. USER
SHARES
INFORMATION
1. ALLOW USERS TO VERIFY INFORMATION (GENERALLY RISK WITH
IMPRACTICABLE) MANAGEMENT
601090 - WAYS ON HOW INFORMATION RISK MAY BE 2. USER SHARES INFORMATION RISK WITH MANAGEMENT (I. (I.E., HAVING A
REDUCED (3 ITEMS) E., HAVING A WAY FOR OWNERS TO RECOVER PART OF WAY FOR
OPERATING LOSSES FROM THE MANAGEMENT) OWNERS TO
3. HAVE THE FINANCIAL STATEMENTS AUDITED RECOVER
PART OF
OPERATING
LOSSES FROM
THE
MANAGEMENT
)
3. HAVE THE
FINANCIAL
STATEMENTS
AUDITED RISK MAY BE RE
WAYS ON HOW INFORMATION
1.
INDEPENDENT
FINANCIAL
STATEMENTS
1. INDEPENDENT FINANCIAL STATEMENTS AUDIT
AUDIT
601091 - GENERAL TYPES OF AUDIT (3 ITEMS) 2. INTERNAL AUDIT
2. INTERNAL
3. GOVERNMENT AUDIT
AUDIT
3.
GOVERNMENT
GENERAL TYPES OFAUDIT
AUDIT (3 ITEMS)
601092 - IS A TYPE OF AUDIT THAT CONSISTS OF
METHODOLOGICAL REVIEW AND OBJECTIVE EXAMINATION INDEPENDENT
OF FINANCIAL STATEMENTS PREPARED BY AN ENTERPRISE FINANCIAL
INDEPENDENT FINANCIAL STATEMENTS AUDIT
(AUDITEE) TO DETERMINE IF SUCH STATEMENTS HAVE BEEN STATEMENTS
PREPARED IN CONFORMITY WITH FINANCIAL REPORTING AUDIT
PRACTICES THAT ARE APPROPRIATE FOR THE AUDITEE. IS A TYPE OF AUDIT THAT CONSISTS OF METHO
601093 - IS THE LEVEL OF ASSURANCE THAT THE FINANCIAL
REASONABLE
STATEMENTS ARE NOT MATERIALLY MISSTATED THAT AN
REASONABLE (OR HIGH) ASSURANCE (OR HIGH)
AUDITOR, EXERCISING PROFESSIONAL SKILL AND CARE, IS
ASSURANCE
EXPECTED TO ATTAIN FROM AN AUDIT. IS THE LEVEL OF ASSURANCE THAT THE FINAN
601094 - IS THE HIGHEST LEVEL OF ASSURANCE AN AUDITOR ABSOLUTE
ABSOLUTE ASSURANCE
CAN GIVE, IF HE CHECKS EACH AND EVERY TRANSACTION. ASSURANCE
IS THE HIGHEST LEVEL OF ASSURANCE AN AUD
1. USE OF
SAMPLING
(SAMPLING
RISK)
2. INHERENT
LIMITATIONS
OF ANY
ACCOUNTING
AND
INTERNAL
CONTROL
SYSTEM (E.G.,
POSSIBILITY
1. USE OF SAMPLING (SAMPLING RISK)
OF
2. INHERENT LIMITATIONS OF ANY ACCOUNTING AND
COLLUSION)
INTERNAL CONTROL SYSTEM (E.G., POSSIBILITY OF
3. MOST
COLLUSION)
601095 - FACTORS THAT LIMIT THE AUDITOR FROM GIVING AUDIT
3. MOST AUDIT EVIDENCE IS PERSUASIVE RATHER THAN
ABSOLUTE ASSURANCE (3 ITEMS) EVIDENCE IS
CONCLUSIVE
PERSUASIVE
4. HUMAN WEAKNESSES SUCH AS FATIGUE,
RATHER THAN
MISINTERPRETATION OF EVIDENCE, MISAPPLICATION OF
CONCLUSIVE
PROCEDURE (NON-SAMPLING RISKS)
4. HUMAN
WEAKNESSES
SUCH AS
FATIGUE,
MISINTERPRE
TATION OF
EVIDENCE,
MISAPPLICATI
ON OF
PROCEDURE
(NON-
SAMPLING
FACTORS THAT LIMIT RISKS)
THE AUDITOR FROM GIVI
601096 - IS EVIDENCE THAT HAS THE POWER TO INFLUENCE
OR PERSUADE SOMEONE TO BELIEVE IN ITS TRUTH (E.G., PERSUASIVE
PERSUASIVE EVIDENCE
CONFIRMATION OF ACCOUNT RECEIVABLE FROM 75 EVIDENCE
PERCENT OF CLIENTS). IS EVIDENCE THAT HAS THE POWER TO INFLUE
601097 - IS A SOLID EVIDENCE AFTER WHICH NO FURTHER
PROOF OR INQUIRY IS REQUIRED AND EVIDENCE IN ITSELF
CONCLUSIVE
IS COMPLETE (E.G., SENDING OF CONFIRMATION LETTER TO CONCLUSIVE EVIDENCE
EVIDENCE
ALL CUSTOMERS AND PURSUING ALL OF THEM UNTIL THEY
RESPOND). IS A SOLID EVIDENCE AFTER WHICH NO FURTH
MANAGEMENT
601098 - PARTY RESPONSIBLE FOR THE PREPARATION AND OF THE
MANAGEMENT OF THE REPORTING ENTITY
PRESENTATION OF THE FINANCIAL STATEMENTS. REPORTING
ENTITY
PARTY RESPONSIBLE FOR THE PREPARATION
601099 - PARTY RESPONSIBLE FOR FORMING AND
AUDITOR AUDITOR
EXPRESSING AN OPINION ON THE FINANCIAL STATEMENTS. PARTY RESPONSIBLE FOR FORMING AND EXPR
601100 - IS A TYPE OF AUDIT DESCRIBED AS AN
INDEPENDENT, OBJECTIVE ASSURANCE AND CONSULTING INTERNAL
INTERNAL AUDIT
ACTIVITY DESIGNED TO ADD VALUE AND IMPROVE AN AUDIT
ORGANIZATION’S OPERATIONS. IS A TYPE OF AUDIT DESCRIBED AS AN INDEPE
1.
OPERATIONAL
AUDIT
1. OPERATIONAL AUDIT
2.
601101 - TYPES OF INTERNAL AUDIT (3 ITEMS) 2. MANAGEMENT AUDIT
MANAGEMENT
3. FINANCIAL AUDIT
AUDIT
3. FINANCIAL
TYPES OF INTERNALAUDIT
AUDIT (3 ITEMS)
601102 - IS A TYPE OF INTERNAL AUDIT WHICH REFERS TO A
FUTURE-ORIENTED, INDEPENDENT AND SYSTEMATIC
EVALUATION PERFORMED BY THE INTERNAL AUDITOR FOR
MANAGEMENT OF THE OPERATIONAL ACTIVITIES OPERATIONAL
OPERATIONAL AUDIT
CONTROLLED BY TOP-, MIDDLE-, AND LOWER-LEVEL AUDIT
MANAGEMENT FOR THE PURPOSE OF IMPROVING
ORGANIZATIONAL PROFITABILITY AND INCREASING THE
ATTAINMENT OF THE OTHER ORGANIZATIONAL OBJECTIVES. IS A TYPE OF INTERNAL AUDIT WHICH REFERS
601103 - IS A TYPE OF INTERNAL AUDIT WHICH REFERS TO A
FUTURE-ORIENTED, INDEPENDENT AND SYSTEMATIC
EVALUATION OF THE ACTIVITIES OF ALL LEVELS OF
MANAGEMENT
MANAGEMENT PERFORMED BY THE INTERNAL AUDITOR FOR MANAGEMENT AUDIT
AUDIT
THE PURPOSES OF IMPROVING ORGANIZATIONAL
PROFITABILITY AND INCREASING THE ATTAINMENT OF
OTHER ORGANIZATIONAL OBJECTIVES. IS A TYPE OF INTERNAL AUDIT WHICH REFERS
601104 - IS A TYPE OF INTERNAL AUDIT WHICH REFERS TO A
HISTORICALLY ORIENTED, INDEPENDENT EVALUATION
FINANCIAL
PERFORMED BY THE INTERNAL AUDITOR FOR THE PURPOSE FINANCIAL AUDIT
AUDIT
OF ENSURING THE FAIRNESS, ACCURACY AND REALIABILITY
OF THE FINANCIAL DATA. IS A TYPE OF INTERNAL AUDIT WHICH REFERS
 AUDIT
601105 - IN GENERAL, THE INDEPENDENCE OF INTERNAL COMMITTEE
AUDITORS WILL BE GREATES WHEN THEY REPORT AUDIT COMMITTEE OF THE BOARD OF DIRECTORS OF THE
DIRECTLY TO THE __________/ BOARD OF
IN GENERAL, THEDIRECTORS
INDEPENDENCE OF INTERNA
601106 - IS A TYPE OF AUDIT WHICH INVOLVES THE
DETERMINATION OF WHETHER GOVERNMENT FUNDS ARE
GOVERNMENT
BEING HANDLED PROPERLY AND IN COMPLIANCE WITH GOVERNMENT AUDIT
AUDIT
EXISTING LAWS AND WETHER THE PROGRAMS ARE BEING
CONDUCTED EFFICIENTLY AND ECONOMICALLY. IS A TYPE OF AUDIT WHICH INVOLVES THE DET
1.
COMPLIANCE
AUDIT
1. COMPLIANCE AUDIT
2. FINANCIAL
601107 - TYPES OF GOVERNMENT AUDIT (3 ITEMS) 2. FINANCIAL AUDIT
AUDIT
3. PERFORMANCE AUDIT
3.
PERFORMANC
E AUDIT
TYPES OF GOVERNMENT AUDIT (3 ITEMS)
601108 - IS A TYPE OF GOVERNMENT AUDIT WHICH REFERS
COMPLIANCE
TO THE EXAMINATION, AUDIT AND SETTLEMENT IN COMPLIANCE AUDIT
AUDIT
ACCORDANCE WITH LAW AND REGULATIONS. IS A TYPE OF GOVERNMENT AUDIT WHICH REF
601109 - IS A TYPE OF GOVERNMENT AUDIT WHICH REFERS
TO THE AUDIT OF THE ACCOUNTING AND FINANCIAL SYSTEM FINANCIAL
FINANCIAL AUDIT
AND CONTROLS TO ENSURE RELIABILITY OF RECORDED AUDIT
FINANCIAL DATA. IS A TYPE OF GOVERNMENT AUDIT WHICH REF
601110 - IS A TYPE OF GOVERNMENT AUDIT WHICH REFERS
TO AN OBJECTIVE EXAMINATION OF THE FINANCIAL AND
OPERATIONAL PERFORMANCE OF AN ORGANIZATION, PERFORMANC
PERFORMANCE AUDIT
PROGRAMME, ACTIVITY OR FUNCTION AND IS ORIENTED E AUDIT
TOWARDS OPPORTUNITIES FOR GREATER ECONOMY,
EFFICIENCY AND EFFECTIVENESS. IS A TYPE OF GOVERNMENT AUDIT WHICH REF
1. PUBLIC
ACCOUNTING
FIRMS
(EXTERNAL
AUDITORS)
2. INTERNAL
1. PUBLIC ACCOUNTING FIRMS (EXTERNAL AUDITORS) AUDITORS
2. INTERNAL AUDITORS (EMPLOYEES OR CPA FIRMS HIRED (EMPLOYEES
601111 - TYPES OF AUDITORS (3 ITEMS)
BY THE ENTITY AS CONSULTANTS) OR CPA FIRMS
3. GOVERNMENT AUDITORS HIRED BY THE
ENTITY AS
CONSULTANT
S)
3.
GOVERNMENT
TYPES OF AUDITORSAUDITORS
(3 ITEMS)
 AUDIT - SYSTEM OF QUALITY CONTROL (602001 - 602???)
602001 - IS A SET OF POLICIES AND PROCEDURES DESIGNED
TO PROVIDE REASONABLE ASSURANCE THAT A PUBLIC
QUALITY CONTROL SYSTEM
ACCOUNTING FIRM COMPLIES WITH PROFESSIONAL
STANDARDS. 602001 602001 - 602001 - IS A SET OF POLICIES AND PROCEDURES DESIGNED TO PROVIDE REASONABLE ASSURANCE THAT A PUBLIC ACCOUNTING FIRM COMPLIES WITH PROFESSIONAL STANDARDS.
1, LEADERSHIP RESPONSIBILITIES FOR QUALITY WITHIN THE
FIRM;
2. ETHICAL REQUIREMENTS;
602002 - ELEMENTS OF A SYSTEM OF QUALITY CONTROL (6 3. ACCEPTANCE AND CONTINUANCE OF CLIENT
ITEMS) RELATIONSHIPS AND SPECIFIC ENGAGEMENTS;
4. HUMAN RESOURCES;
5. ENGAGEMENT PERFORMANCE; AND
6. MONITORING 602002 602002 - 602002 - ELEMENTS OF A SYSTEM OF QUALITY CONTROL (6 ITEMS)
602003 - IS AN ELEMENT OF A SYSTEM OF QUALITY CONTROL
WHICH ASSERTS THAT THE FIRM SHALL ESTABLISH
LEADERSHIP RESPONSIBILITIES FOR QUALITY WITHIN THE
POLICIES AND PROCEDURES DESIGNED TO PROMOTE AN
FIRM
INTERNAL CULTURE BASED ON THE RECOGNITION THAT
QUALITY IS ESSENTIAL IN PERFORMING ENGAGEMENTS. 602003 602003 - 602003 - IS AN ELEMENT OF A SYSTEM OF QUALITY CONTROL WHICH ASSERTS THAT THE FIRM SHALL ESTABLISH POLICIES AND PROCEDURES DESIGNED TO PROMOTE AN INTERNAL CULTURE BASED ON THE RECOGNITION THAT QUALITY IS ESSENTIAL IN PERFORMING ENGAGEMENTS.
602004 - IS/ARE THE PERSON(S) REQUIRED TO ASSUME CHIEF EXECUTIVE OFFICER (OR EQUIVALENT) OR, IF
ULTIMATE RESPONSIBILITY FOR THE FIRM'S SYSTEM OF APPROPRIATE, THE FIRM'S MANAGING BOARD OF PARTNERS
QUALITY CONTROL. (OR EQUIVALENT) 602004 602004 - 602004 - IS/ARE THE PERSON(S) REQUIRED TO ASSUME ULTIMATE RESPONSIBILITY FOR THE FIRM'S SYSTEM OF QUALITY CONTROL.
602005 - IS AN ELEMENT OF A SYSTEM OF QUALITY CONTROL
WHICH ASSERTS THAT THE FIRM SHALL ESTABLISH
POLICIES AND PROCEDURES DESIGNED TO PROVIDE IT WITH
ETHICAL REQUIREMENTS
REASONABLE ASSURANCE THAT THE FIRM AND ITS
PERSONNEL COMPLY WITH RELEVANT ETHICAL
REQUIREMENTS. 602005 602005 - 602005 - IS AN ELEMENT OF A SYSTEM OF QUALITY CONTROL WHICH ASSERTS THAT THE FIRM SHALL ESTABLISH POLICIES AND PROCEDURES DESIGNED TO PROVIDE IT WITH REASONABLE ASSURANCE THAT THE FIRM AND ITS PERSONNEL COMPLY WITH RELEVANT ETHICAL REQUIREMENTS.
1. INTEGRITY;
2. OBJECTIVITY
602006 - FUNDAMENTAL PRINCIPLES OF PROFESSIONAL
3. PROFESSIONAL COMPETENCE AND DUE CARE;
ETHICS (5 ITEMS)
4. CONFIDENTIALITY;
5. PROFESSIONAL BEHAVIOR 602006 602006 - 602006 - FUNDAMENTAL PRINCIPLES OF PROFESSIONAL ETHICS (5 ITEMS)
602007 - IS AN IMPORTANT ASPECT OF ETHICAL
REQUIREMENTS WHICH ENSURES THAT THE AUDIT OPINION
WILL NOT BE INFLUENCED BY ANY RELATIONSHIP EXISTING INDEPENDENCE
BETWEEN THE PERSONNEL OF THE FIRM AND THAT OF THE
CLIENT.. 602007 602007 - 602007 - IS AN IMPORTANT ASPECT OF ETHICAL REQUIREMENTS WHICH ENSURES THAT THE AUDIT OPINION WILL NOT BE INFLUENCED BY ANY RELATIONSHIP EXISTING BETWEEN THE PERSONNEL OF THE FIRM AND THAT OF THE CLIENT..
RELATIONSHIPS AND ENGAGEMENTS SHALL NOT BE
ACCEPTED OR CONTINUED IF ANY OF THE FOLLOWING
CONDITION IS NOT TRUE:
1. THE FIRM IS COMPENTENT TO PERFORM THE
602008 - CRITERIA FOR THE ACCEPTANCE OR CONTINUANCE ENGAGEMENT AND HAS THE CAPABILITIES, TIME AND
OF CLIENT RELATIONSHIPS AND ENGAGEMENTS (3 ITEMS) RESOURCES TO DO SO;
2. IT CAN COMPLY WITH ETHICAL REQUIREMENTS; AND
3. IT HAS CONSIDERED THE INTEGRITY OF THE CLIENT AND
DOES NOT HAVE INFORMATION THAT WOULD LEAD IT TO
CONCLUDE THAT THE CLIENT LACKS INTEGRITY. 602008 602008 - 602008 - CRITERIA FOR THE ACCEPTANCE OR CONTINUANCE OF CLIENT RELATIONSHIPS AND ENGAGEMENTS (3 ITEMS)
602009 - IS A SITUATION IN WHICH THE CONCERNS OR AIMS
CONFLICT OF INTEREST
OF TWO DIFFERENT PARTIES ARE INCOMPATIBLE. 602009 602009 - 602009 - IS A SITUATION IN WHICH THE CONCERNS OR AIMS OF TWO DIFFERENT PARTIES ARE INCOMPATIBLE.
THE FIRM'S POLICIES AND PROCEDURES SHALL INCLUDE
THE CONSIDERATION OF:
1. THE PROFESSIONAL AND LEGAL RESPONSIBILITIES THAT
602010 - POLICIES AND PROCEDURES TO BE FOLLOWED IF APPLY TO THE CIRCUMSTANCES, INCLUDING WHETHER
THE FIRM OBTAINS INFORMATION THAT WOULD HAVE THERE IS A REQUIREMENT FOR THE FIRM TO REPORT TO
CAUSED IT TO DECLINE AN ENGAGEMENT IF THAT THE PERSON OR PERSONS WHO MADE THE APPOINTMENT
INFORMATION HAD BEEN AVAILABLE EARLIER (2 ITEMS) OR, IN SOME CASES, TO REGULATORY AUTHORITIES; AND
2. THE POSSIBILITY OF WITHDRAWING FROM THE
ENGAGEMENT OR FROM BOTH THE ENGAGEMENT AND THE
CLIENT RELATIONSHIP. 602010 602010 - 602010 - POLICIES AND PROCEDURES TO BE FOLLOWED IF THE FIRM OBTAINS INFORMATION THAT WOULD HAVE CAUSED IT TO DECLINE AN ENGAGEMENT IF THAT INFORMATION HAD BEEN AVAILABLE EARLIER (2 ITEMS)
602011 - IS AN ELEMENT OF A SYSTEM OF QUALITY CONTROL
WHICH ASSERTS THAT THE FIRM SHALL ESTABLISH
POLICIES AND PROCEDURES DESIGNED TO PROVIDE IT WITH
HUMAN RESOURCES
REASONABLE ASSURANCE THAT IT HAS SUFFICIENT
PERSONNEL WITH THE CAPABILITIES, COMPETENCE AND
COMMITMENT TO ETHICAL PRINCIPLES NECESSARY. 602011 602011 - 602011 - IS AN ELEMENT OF A SYSTEM OF QUALITY CONTROL WHICH ASSERTS THAT THE FIRM SHALL ESTABLISH POLICIES AND PROCEDURES DESIGNED TO PROVIDE IT WITH REASONABLE ASSURANCE THAT IT HAS SUFFICIENT PERSONNEL WITH THE CAPABILITIES, COMPETENCE AND COMMITMENT TO ETHICAL PRINCIPLES NECESSARY.
602012 - REFERS TO THE PROCESS OF TRACKING AND
DOCUMENTING THE SKILLS, KNOWLEDGE AND EXPERIENCE
CONTINUING PROFESSIONAL DEVELOPMENT (CPD)
THAT YOU GAIN BOTH FORMALLY AND INFORMALLY AS YOU
WORK, BEYOND ANY INITIAL TRAINING. 602012 602012 - 602012 - REFERS TO THE PROCESS OF TRACKING AND DOCUMENTING THE SKILLS, KNOWLEDGE AND EXPERIENCE THAT YOU GAIN BOTH FORMALLY AND INFORMALLY AS YOU WORK, BEYOND ANY INITIAL TRAINING.
1. INTERNAL TECHNICAL AND TRAINING RESOURCES
602013 - SOURCES OF TRAINING FOR FIRM'S PERSONNEL (2
2. TRAINING PROVIDED BY A SUITABLY QUALIFIED EXTERNAL
ITEMS)
PERSON 602013 602013 - 602013 - SOURCES OF TRAINING FOR FIRM'S PERSONNEL (2 ITEMS)
602014 - IS A GROUP OF FIRM PERSONNEL CHARACTERIZED
BY A HIERARCHICAL STRUCTURE AND DIVISION OF LABOR ENGAGEMENT TEAM
AND CREATED TO CONDUCT A SPECIFIC ENGAGEMENT. 602014 602014 - 602014 - IS A GROUP OF FIRM PERSONNEL CHARACTERIZED BY A HIERARCHICAL STRUCTURE AND DIVISION OF LABOR AND CREATED TO CONDUCT A SPECIFIC ENGAGEMENT.
602015 - IS THE PARTNER OR OTHER PERSON IN THE FIRM
WHO IS RESPONSIBLE FOR THE ENGAGEMENT AND ITS
ENGAGEMENT PARTNER
PERFORMANCE, AND FOR THE REPORT THAT IS ISSUED ON
BEHALF OF THE FIRM. 602015 602015 - 602015 - IS THE PARTNER OR OTHER PERSON IN THE FIRM WHO IS RESPONSIBLE FOR THE ENGAGEMENT AND ITS PERFORMANCE, AND FOR THE REPORT THAT IS ISSUED ON BEHALF OF THE FIRM.
1. CAPABILITY
602016 - CHARACTERISTICS REQUIRED FOR THE
2. COMPETENCE
ENGAGEMENT TEAM STAFF MEMBERS (3 ITEMS)
3. TIME 602016 602016 - 602016 - CHARACTERISTICS REQUIRED FOR THE ENGAGEMENT TEAM STAFF MEMBERS (3 ITEMS)
602017 - IS THE CONDITION THAT PERMITS AN INDIVIDUAL TO
ACQUIRE THE POWER AND ABILITY TO LEARN AND DO CAPABILITY
SOMETHING WITHIN THEIR CAPACITY. 602017 602017 - 602017 - IS THE CONDITION THAT PERMITS AN INDIVIDUAL TO ACQUIRE THE POWER AND ABILITY TO LEARN AND DO SOMETHING WITHIN THEIR CAPACITY.
602018 - IS THE SET OF DEMONSTRABLE CHARACTERISTICS
AND SKILLS THAT ENABLE, AND IMPROVE THE EFFICIENCY COMPETENCE
OF, PERFORMANCE OF A JOB. 602018 602018 - 602018 - IS THE SET OF DEMONSTRABLE CHARACTERISTICS AND SKILLS THAT ENABLE, AND IMPROVE THE EFFICIENCY OF, PERFORMANCE OF A JOB.
602019 - IS AN ELEMENT OF A SYSTEM OF QUALITY CONTROL
WHICH ASSERTS THAT THE FIRM SHALL ESTABLISH
POLICIES AND PROCEDURES DESIGNED TO PROVIDE IT WITH
REASONABLE ASSURANCE THAT ENGAGEMENTS ARE
ENGAGEMENT PERFORMANCE
PERFORMED IN ACCORDANCE WITH PROFESSIONAL
STANDARDS AND REGULATORY REQUIREMENTS, AND THAT
THE FIRM OR THE ENGAGEMENT PARTNER ISSUE REPORTS
THAT ARE APPROPRIATE IN THE CIRCUMSTANCES. 602019 602019 - 602019 - IS AN ELEMENT OF A SYSTEM OF QUALITY CONTROL WHICH ASSERTS THAT THE FIRM SHALL ESTABLISH POLICIES AND PROCEDURES DESIGNED TO PROVIDE IT WITH REASONABLE ASSURANCE THAT ENGAGEMENTS ARE PERFORMED IN ACCORDANCE WITH PROFESSIONAL STANDARDS AND REGULATORY REQUIREMENTS, AND THAT THE FIRM OR THE ENGAGEMENT PARTNER ISSUE REPORTS
602020 - IS A PROCESS THAT INVOLVES A MANAGER
MEETING REGULARLY AND INTERACTING WITH SUPERVISION
ENGAGEMENT STAFF TO REVIEW THEIR WORK. 602020 602020 - 602020 - IS A PROCESS THAT INVOLVES A MANAGER MEETING REGULARLY AND INTERACTING WITH ENGAGEMENT STAFF TO REVIEW THEIR WORK.
602021 - INCLUDES DISCUSSION, AT THE APPROPRIATE
PROFESSIONAL LEVEL, WITH INDIVIDUALS WITHIN OR
CONSULTATION
OUTSIDE THE FIRM WHO HAVE SPECIALIZED EXPERTISE, TO
RESOLVE A DIFFICULT OR CONTENTIOUS MATTER. 602021 602021 - 602021 - INCLUDES DISCUSSION, AT THE APPROPRIATE PROFESSIONAL LEVEL, WITH INDIVIDUALS WITHIN OR OUTSIDE THE FIRM WHO HAVE SPECIALIZED EXPERTISE, TO RESOLVE A DIFFICULT OR CONTENTIOUS MATTER.
602022 - IS A PROCESS DESIGNED TO PROVIDE AN
OBJECTIVE EVALUATION, ON OR BEFORE THE DATE OF THE
ENGAGEMENT REPORT, OF THE SIGNIFICANT JUDGMENTS ENGAGEMENT QUALITY CONTROL REVIEW (EQCR)
THE ENGAGEMENT TEAM MADE AND THE CONCLUSIONS IT
REACHED IN FORMULATING THE REPORT 602022 602022 - 602022 - IS A PROCESS DESIGNED TO PROVIDE AN OBJECTIVE EVALUATION, ON OR BEFORE THE DATE OF THE ENGAGEMENT REPORT, OF THE SIGNIFICANT JUDGMENTS THE ENGAGEMENT TEAM MADE AND THE CONCLUSIONS IT REACHED IN FORMULATING THE REPORT
1. THE TECHNICAL QUALIFICATIONS REQUIRED TO PERFORM
THE ROLE, INCLUDING THE NECESSARY EXPERIENCE AND
AUTHORITY; AND
602023 - CRITERIA FOR ELIGIBILITY OF ENGAGEMENT
2. THE DEGREE TO WHICH AN ENGAGEMENT QUALITY
QUALITY CONTROL REVIEWER (2 ITEMS)
CONTROL REVIEWER CAN BE CONSULTED ON THE
ENGAGEMENT WITHOUT COMPROMISING THE REVIEWER'S
OBJECTIVITY. 602023 602023 - 602023 - CRITERIA FOR ELIGIBILITY OF ENGAGEMENT QUALITY CONTROL REVIEWER (2 ITEMS)
602024 - IS AN ELEMENT OF A SYSTEM OF QUALITY CONTROL
WHICH ASSERTS THAT THE FIRM SHOULD ESTABLISH
POLICIES AND PROCEDURES DESIGNED TO PROVIDE IT WITH
REASONABLE ASSURANCE THAT THE POLICIES AND MONITORING
PROCEDURES RELATING TO THE SYSTEM OF QUALITY
CONTROL ARE RELEVANT, ADEQUATE, OPERATING
EFFECTIVELY AND COMPLIED WITH IN PRACTICE. 602024 602024 - 602024 - IS AN ELEMENT OF A SYSTEM OF QUALITY CONTROL WHICH ASSERTS THAT THE FIRM SHOULD ESTABLISH POLICIES AND PROCEDURES DESIGNED TO PROVIDE IT WITH REASONABLE ASSURANCE THAT THE POLICIES AND PROCEDURES RELATING TO THE SYSTEM OF QUALITY CONTROL ARE RELEVANT, ADEQUATE, OPERATING EFFECTIVELY AND COMPLIED WITH IN PRACTICE.
602025 - REFERS TO THE RECORDS KEPT TO PROVIDE
EVIDENCE OF THE OPERATION OF EACH ELEMENT OF DOCUMENTATION
SYSTEM OF QUALITY CONTROL. 602025 602025 - 602025 - REFERS TO THE RECORDS KEPT TO PROVIDE EVIDENCE OF THE OPERATION OF EACH ELEMENT OF SYSTEM OF QUALITY CONTROL.
 AUDIT - RISK-BASED AUDIT PROCESS (603001 - 603???)
1. TRADITIONAL AUDITING
TYPES OF AUDIT APPROACHES (2 ITEMS)
2. RISK-BASED AUDITING
IS AN AUDIT APPROACH WHERE AN AUDITOR TESTS A
SAMPLE OF CONTROLS FROM AN INTERNAL CONTROL
REPORT (ICR), AND THEN PROCEEDS TO SUBSTANTIVE TRADITIONAL AUDITING
TESTING RELYING ON THE ICR FOR THE NATURE, TIMING
AND EXTENT OF PROCEDURES.
IS AN AUDIT APPROACH THAT BEGINS WITH AN
ASSESSMENT OF THE TYPES AND LIKELIHOOD OF
MISTATEMENTS IN ACCOUNT BALANCES AND THEN ADJUST
RISK-BASED AUDITING
THE AMOUNT AND TYPE OF AUDIT WORK, TO THE
LIKELIHOOD OF MATERIAL MISSTATEMENTS OCCURING IN
ACCOUNT BALANCES.
IS A CONCEPT USED TO EXPRESS UNCERTAINTY ABOUT
EVENTS AND/OR THEIR OUTCOMES THAT COULD HAVE A RISK-BASED AUDITING
MATERIAL EFFECT ON THE ORGANIZATION.
1. AUDIT RISK
CRITICAL COMPONENTS OF RISK THAT ARE RELEVANT TO 2. ENGAGEMENT RISK
CONDUCTING AN AUDIT (4 ITEMS) 3. FINANCIAL REPORTING RISK
4. BUSINESS RISK
REFERS TO THE RISK THAT AN AUDITOR MAY GIVE AN
UNQUALIFIED OPINION ON FINANCIAL STATEMENTS THAT AUDIT RISK
ARE MATERIALLY MISSTATED.
REFERS TO THE ECONOMIC RISK THAT A CPA FIRM IS
EXPOSED TO SIMPLY BECAUSE IT IS ASSOCIATED WITH A
PARTICULAR CLIENT INCLUDING LOSS OF REPUTATION,
ENGAGEMENT RISK
INABILITY OF THE CLIENT TO PAY THE AUDITOR, OR
FINANCIAL LOSS BECAUSE MANAGEMENT IS NOT HONEST
AND INHIBITS THE AUDIT PROCESS.
REFERS TO THE RISK THAT AFFECTS THE OPERATIONS AND
BUSINESS RISK
POTENTIAL OUTCOMES OF ORGANIZATIONAL ACTIVITIES.
REFERS TO THE RISK THAT RELATE DIRECTLY TO THE
RECORDING OF TRANSACTIONS AND THE PRESENTATION OF
FINANCIAL REPORTING RISK
FINANCIAL DATA IN AN ORGANIZATION'S FINANCIAL
STATEMENTS.
FINANCIAL REPORTING RISK OR BUSINESS RISK: ECONOMIC
BUSINESS RISK
CLIMATE
FINANCIAL REPORTING RISK OR BUSINESS RISK: TECHNOLOGICAL CHANGE BUSINESS RISK
FINANCIAL REPORTING RISK OR BUSINESS RISK:
BUSINESS RISK
COMPETITION
FINANCIAL REPORTING RISK OR BUSINESS RISK: BUSINESS
BUSINESS RISK
VOLATILITY
FINANCIAL REPORTING RISK OR BUSINESS RISK:
BUSINESS RISK
GEOGRAPHIC LOCATION
FINANCIAL REPORTING RISK OR BUSINESS RISK:
FINANCIAL REPORTING RISK
COMPETENCE AND INTEGRITY OF MANAGEMENT
FINANCIAL REPORTING RISK OR BUSINESS RISK: INCENTIVE
FINANCIAL REPORTING RISK
TO MANAGEMENT TO MISSTATED FINANCIAL STATEMENTS
FINANCIAL REPORTING RISK OR BUSINESS RISK:
FINANCIAL REPORTING RISK
COMPLEXITY OF TRANSACTIONS
FINANCIAL REPORTING RISK OR BUSINESS RISK: INTERNAL
FINANCIAL REPORTING RISK
CONTROL
1. BY NOT ACCEPTING CERTAIN COMPANIES AS CLIENT (I.E.,
REDUCE ENGAGEMENT RISK TO ZERO); OR
WAYS AN AUDITOR CAN CONTROL AUDIT RISK (2 ITEMS) 2. SET AUDIT RISK AT A LEVEL THAT THE AUDITOR BELIEVES
WILL MITIGATE THE LIKELIHOOD THAT THE AUDITOR WILL
FAIL TO IDENTIFY MATERIAL MISSTATEMENTS.
1. RISK ASSESSMENT
PHASES OF THE RISK-BASED AUDIT PROCESS (3 ITEMS) 2. RISK RESPONSE
3. REPORTING
 IS A PART OF THE RISK ASSESSMENT PHASE WHERE THE
AUDITOR CONDUCTS RESEARCH AND EVALUATIONS ABOUT
THE PROSPECTIVE CLIENT AND THE CONDITION OF THE CPA PRELIMINARY ENGAGEMENT ACTIVITIES
FIRM ITSELF BEFORE THE ACCEPTANCE OR
COMMENCEMENT OF AN ENGAGEMENT.
TO ENSURE THAT:
1. THE AUDITOR MAINTAINS THE NECESSARY
INDEPENDENCE AND ABILITY TO PERFORM THE
ENGAGEMENT;
PURPOSES OF CONDUCTING PRELIMINARY ENGAGEMENT
2. THERE ARE NO ISSUES WITH MANAGEMENT INTEGRITY
ACTIVITIES (3 ITEMS)
THAT MAY AFFECT THE AUDITOR'S WILLINGNESS TO
CONTINUE THE ENGAGEMENT; AND
3. THERE IS NO MISUNDERSTANDING WITH THE CLIENT AS
TO THE TERMS OF THE ENGAGEMENT.
1. WHETHER THE FINANCIAL STATEMENTS TO BE APPLIED IN
THE FINANCIAL STATEMENTS ARE ACCEPTABLE; AND
REQUIRED PRECONDITIONS FOR AN AUDIT (2 ITEMS)
2. AGREEMENT OF THE MANAGEMENT THAT IT
ACKNOWLEDGES AND UNDERSTANDS ITS RESPONSIBILITY.
1. PREPARATION OF FINANCIAL STATEMENTS
2. IMPLEMENTATION OF INTERNAL CONTROL (NECESSARY
TO ENABLGE THE PREPARATION OF FINANCIAL STATEMENTS
RESPONSIBILITIES OF MANAGEMENT (3 ITEMS) THAT ARE FREE FROM MATERIAL MISSTATEMENTS)
3. TO PROVIDE THE AUDITOR WITH ACCESS TO RELEVANT
INFORMATION OR PERSONS FOR THE PURPOSE OF THE
AUDIT
IS A FORMAL WRITTEN AGREEMENT WHERE THE AGREED
ENGAGEMENT LETTER
TERMS OF THE AUDIT ENGAGEMENT ARE RECORDED.