At 31 March 2021, the draft financial position of Essential Bhd showed the following balances: 2021 2020
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Question:
- At 31 March 2021, the draft financial position of Essential Bhd showed the following balances:
2021 | 2020 | |
Assets | ||
Plant & Machinery | 1,400,000 | 1,400,000 |
Accumulated Depreciation | (380,000) | (280,000) |
Interest receivable | 180,000 | 140,000 |
Finished Goods | 90,000 | 50,000 |
Trade Debtors | 505,000 | 515,000 |
Provision for Doubtful Debts | (20,000) | (15,000) |
Bank | 300,000 | 120,000 |
Deferred tax assets | ????? | 30,000 |
Equity & Liabilities | ||
Share Capital | 800,000 | 800,000 |
Retained Profits | 402,000 | 380000 |
Interest payable | 38,000 | 20,000 |
Rent Income received in advance | 95,000 | 40,000 |
Debentures | 70,000 | 70,000 |
Annual Leave Payable | 50,000 | 130,000 |
Trade Creditors | 620,000 | 510,000 |
Deferred tax liabilities | ?????? | 10,000 |
Additional information:
- Interest is assessable for tax on receipt and deductible when paid.
- Rental income relates to a contract where the annual rent is received in advance. Rent is assessable for tax when received.
- Depreciation for tax purpose on 31 March 2021 is RM200,000. The accumulated depreciation for tax purposes on plant & machinery at 31 March 2021 is RM400,000
- Annual leave payable at 31 March 2021 includes RM90,000 accrued for annual leave.
- The company tax rate is 20%.
Required:
Prepare the deferred tax worksheet at 31 March 2021 to determine the deferred tax provision for the year.
Posted Date: