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Aurora Tech, a resident domestic corporation with its principal office in Davao City, earned in the current taxable year: (i) 120 million pesos from Philippine operations; (ii) 70 million pesos as dividends from a foreign subsidiary in Germany; and (iii) 15 million pesos as interest from a foreign bank in Canada. (a) Identify the governing doctrine that determines whether Aurora Tech is subject to Philippine income tax on its foreign-sourced income and state the rule that applies to resident domestic corporations. (b) Apply the rule to the facts: are the 70 million foreign-sourced dividends and the 15 million foreign-sourced interest included in Aurora Tech’s gross income for Philippine income tax? Explain briefly.