Question: Explain the comment given below by reference to the following items: depreciation of non-current assets, exempt income, fines and penalties, and entertainment costs. In contrast

Explain the comment given below by reference to the following items: depreciation of non-current assets, exempt income, fines and penalties, and entertainment costs.

“In contrast to accounting profit, taxable profit is based on rules that create economic incentives and disincentives.”

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