Danger Toys Lid is Australian company that produces and supplies scary-looking toys throughout Australia. For the financial year ending 30 June 2015, the company produced the following information. Revenue from sale of toys $5900000 Cost of goods sold $3500000 Operating expenses (excluding interest expenses) $1900000 Company paid 8% interest on a loan of $150000 The tax loss for the previous year $55000 Company pays 30% tax REQUIRED 

(a) Prepare the Income statement for Danger Toys Ltd for the reporting period ending 30 June 2015.

 (b) How much tax Danger Toys Lid needs to pay this year? Explain 

(c) What would have been the tax payable for this year if Danger Toys Lid paid $55000 tax last year instead of recording tax loss of the same amount? Explain.

Answer rating: 100% (QA)

Sure lets calculate the Income Statement and tax payable for Danger Toys Ltd for the financial year ... View the full answer