Silky Sdn Bhd, a manufacturing company located in Sabah, has been in operation since March 2013....
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Silky Sdn Bhd, a manufacturing company located in Sabah, has been in operation since March 2013. The company manufactures a promoted product and had been granted investment tax allowance incentives under the Promotion of Investment Act 1986 effective from 1 January 2014. The forecasted capital expenditure, adjusted income and capital allowances for the three years are as follows 2014 Year ended 31 December 2015 2016 RM'000 180,000 90,000 RM'000 RM'000 Land Factory building Plant and machinery 30,000 Office equipment Adjusted income/ (loss) Capital allowances Rental income 60,000 40,000 8,000 52,000 60,000 10,000 80,000 (36,000) 26,100 600 33,300 600 46,300 600 Required: (a) State the tax relief period for the investment tax allowance incentive available to Silky Sdn Bhd. (b) For the year of assessment 2014, 2015 and 2016, compute the following: ) Chargeable income (if any). (i) Amount to be transferred to the exempt income account. C) Amount of unabsorbed business loss to be carried forward to the year of assessment 2017 (if any). Silky Sdn Bhd, a manufacturing company located in Sabah, has been in operation since March 2013. The company manufactures a promoted product and had been granted investment tax allowance incentives under the Promotion of Investment Act 1986 effective from 1 January 2014. The forecasted capital expenditure, adjusted income and capital allowances for the three years are as follows 2014 Year ended 31 December 2015 2016 RM'000 180,000 90,000 RM'000 RM'000 Land Factory building Plant and machinery 30,000 Office equipment Adjusted income/ (loss) Capital allowances Rental income 60,000 40,000 8,000 52,000 60,000 10,000 80,000 (36,000) 26,100 600 33,300 600 46,300 600 Required: (a) State the tax relief period for the investment tax allowance incentive available to Silky Sdn Bhd. (b) For the year of assessment 2014, 2015 and 2016, compute the following: ) Chargeable income (if any). (i) Amount to be transferred to the exempt income account. C) Amount of unabsorbed business loss to be carried forward to the year of assessment 2017 (if any).
Expert Answer:
Answer rating: 100% (QA)
The tax relief period of 3 years commenced on 112021 and accounts are made up to 31 Decemb... View the full answer
Related Book For
Financial Accounting
ISBN: 978-0078025556
8th edition
Authors: Robert Libby, Patricia Libby, Daniel Short
Posted Date:
Students also viewed these accounting questions
-
Mountain Side Electric Company is a manufacturing company located in southern Alberta. It is considering replacing some of its equipment and is attempting to decide whether it should replace an...
-
Stoscheck Moving Corporation has been in operation since January 1, 2015. It is now December 31, 2015, the end of the annual accounting period. The company has not done well financially during the...
-
Magliochetti Moving Corp. has been in operation since January 1, 2014. It is now December 31, 2014, the end of the companys fiscal year. The company has not done well financially during the first...
-
Generics, Inc. is a U. S. GAAP reporter that manufactures and sells generic drugs and has a December 31 year-end. On March 1, 2014, it began selling a drug, Anocyn, which is a generic of Dicital....
-
An ideal gas refrigeration cycle using air as the working fluid is to maintain a refrigerated space at - 23oC while rejecting heat to the surrounding medium at 27oC. If the pressure ratio of the...
-
Let Y 1 < Y 2 < < Y n be the order statistics of a random sample of size n from the uniform distribution over the closed interval [, ] having pdf f(x; ) = (1/2)I [,] (x). (a) Show that Y 1 and Y n...
-
A cereal maker places a toy in each of its cereal boxes. The probability of winning this toy is 1 in 5. Find the probability that you (a) win your first toy with your fifth purchase, (b) win your...
-
Mack and Myer, LLP, a law firm, is considering the replacement of its old accounting system with new software that should save $10,000 per year in net cash operating costs. The old system has zero...
-
How does it help companies to rely on seasonality and past performance if those items exist in their data? What unforeseen factors could impact seasonality that managers would need to consider...
-
Work these problems relating to after-tax cash flow (ATCF) computations: 1. Compute the present value after-tax cost ("PVATC") of a $9,500,000 purchase of equipment on January 1 that your corporate...
-
112 kg mass and initial velocity of 93.5 kg mass and an initial -3.7 m/s. What is their velocity Two football players collide head-on in midair while chasing a pass. The first player has a velocity...
-
How can situational awareness help to keep a company ahead of political risks?
-
What are the flaws of mercantilism?
-
Why do nations benefit from specialization and trade?
-
Customers meter deposits that cannot be spent for normal operating purposes would most likely be classified as restricted cash in the balance sheet of which fund? a. Internal service b....
-
The international product life cycle theory says that a company will begin by exporting its product and later undertake what as the product moves through its life cycle?
-
You are planning your retirement in 10 years. You currently have $164,000 in a bond account and $604,000 in a stock account. You plan to add $7,600 per year at the end of each of the next 10 years to...
-
Annual dividends of ATTA Corp grew from $0.96 in 2005 to $1.76 in 2017. What was the annual growth rate?
-
The 2001 annual report for General Motors Corporation contained the following note: Note 3. Significant Accounting Policies Property, Net Property, plant, and equipment, including internal use...
-
The following transactions were selected from the records of OceanView Company: July 12 Sold merchandise to Customer R, who charged the $3,000 purchase on his Visa credit card. Visa charges OceanView...
-
A recent annual report of Gannett Company, Inc., a diversified media and marketing solutions company that currently includes newspapers (including USA Today ) and Internet businesses (including...
-
Opposite are the comparative statements of financial position of Foxbell Ltd as at 30 June 2024 and 2025, and the statement of financial performance and statement of changes in equity for the year...
-
Comparative statements of financial position as at 31 December 2025 and 2024 and the statement of financial performance for 2025 for C. Dion are set out below. Required (a) Prepare a statement of...
-
Some of the most recent financial statements for Hyland Pty Ltd are shown below. Additional information 1. All purchases and sales of inventories are on credit. 2. On 1 July 2024, the shareholders...
Study smarter with the SolutionInn App