Please answer the question 2:

Prepare the deferred tax worksheet and journal entries to adjust deferred tax accounts.

Current and deferred tax Note: Entertainment expenses are not deductible for tax purposes. Loftus et al (2020) Table 12.1 for confirmation. Konpayi Ltd has determined its accounting profit before tax for the year ended 30 June 2023 to be $256,700. Included in this profit are the items of revenue and expense shown below. Royalty revenue (non-taxable) $ 8000 Entertainment expense 1700 Depreciation expense buildings 7600 Depreciation expense - plant 22 500 Doubtful debts expense 4100 Annual leave expense 46 000 Insurance expense 4200 Development expense 15 000 The accounting profit for Konpayi Ltd for the year ended 30 June 2023 also included a gain on sale of buildings of $5,000. The company's draft statement of financial position at 30 June 2023 showed the following assets and liabilities. Assets Cash $ 2500 Accounts receivable $ 21500 Less: Allowance for doubtful debts (4 100) 17400 Inventories 31 600 Prepaid insurance 4500 Land 75000 Buildings 170 000 Less: Accumulated depreciation (59500) 110500 Plant 150 000 Less: Accumulated depreciation (67500) 82500 Deferred tax asset (opening balance) 9600 333600 Liabilities Accounts payable 25 000 Provision for annual leave 10000 Deferred tax liability (opening balance) 6 000 Loan 140 000 $181 000 Additional information Quarterly income tax instalments paid during the year were as follows. 28 October 2022 $18 000 28 January 2023 17 500 28 April 2023 18 000 The final balance of tax payable was due on 28 July 2023. The tax depreciation rate for plant (which cost $150,000, 3 years before) is 20%. Depreciation on buildings is not deductible for taxation purposes. The gain on sale of buildings of $5,000 (see above) was recognised on buildings sold on 1 January 2023 that had cost $100,000 when acquired on 1 January 2017. The company depreciates buildings for accounting purposes at 5% p.a., straight-line. Any gain (loss) on sale of buildings is not taxable (not deductible). During the year, the following cash amounts were paid. Annual leave $52000 Insurance 3700 Bad debts of $3,500 were written off against the allowance for doubtful debts during the year. The $15,000 spent (and expensed) on development during the year is not deductible for tax purposes until 30 June 2024. Konpayi Ltd has tax losses amounting to $12,500 carried forward from prior years. The company tax rate is 30%. Required 1. Prepare the current tax worksheet and the journal entry to recognise current tax at 30 June 2023. 2. Prepare the deferred tax worksheet and journal entries to adjust deferred tax accounts. When answering these questions please note the following: entertainment expenses are not deductible for tax purposes. Loftus et al (2020) Table 12.1 for confirmation. to calculate the current tax payable you must use the worksheet as shown in the MyUni examples, not the one used in the Loftus et al (2020) text book