Practice question
A buyer with fourteen qualifying paid years has PHP 4,000,000 in counted payments. The seller computes 95% by adding nine annual increments to 50%. What correction is required?
- Apply the 90% ceiling, yielding PHP 3,600,000
- Pay 95%, or PHP 3,800,000
- Use 100%, or PHP 4,000,000
- Ignore all payments before year six
- Use only 50%, or PHP 2,000,000
Legal references
- RA6552, Sections3-7: https://lawphil.net/statutes/repacts/ra1972/ra_6552_1972.html
Answer this question in flashcards to review your response and continue practicing.