Provider Ltd has the following accounts recorded at the year ended 30 June 2023:
 

(i)

Wage payable

$ 4,000

1.  

(ii)	Accounts receivable	$30,000
	LESS - Allowance for doubt debts	$  6,000
		$24,000

1.  

(iii)	Plant	$200,000
	Acc. depreciation - Plant	$ (50,000)
	Carrying amount	$ 150,000
	The tax base available was $120,000.

1.  
2. The income tax rate is 30%. Assume the opening balances of the deferred tax accounts were $0.
    
   Required 
   Identify what temporary differences (i.e., taxable or deductible) arise from each account and calculate the deferred tax liability or deferred tax asset corresponding to each account.  (Note: The preparation of the deferred tax worksheet is not required. You are only required to show the workings for calculation of each account).

Answer rating: 100% (QA)

SOLUTION To identify the temporary differences and calculate the deferred tax liability or deferred ... View the full answer