Philippine Bar review · Question

Practice question: Wage vs. Salary

Multiple Choice Medium

Practice question

Employer values a qualifying facility by adding a profit margin payable to its affiliate and calls that amount fair value. Which is best?
  1. Any affiliate invoice conclusively establishes the value.
  2. Affiliation removes all restrictions.
  3. A higher label automatically makes the value lawful.
  4. Every facility permits unlimited wage deductions.
  5. The prohibited profit component cannot simply be included in statutory fair and reasonable value.

Legal references

  • Labor Code Articles 84, 94 and 97(f): https://lawphil.net/statutes/presdecs/pd1974/pd_442_1974.html

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