The statement of financial position of Apple Ltd at 30 June 2020 showed the following assets...
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The statement of financial position of Apple Ltd at 30 June 2020 showed the following assets and liabilities: 2020 2019 Assets 2$ 2$ Cash 9,000 11,000 Accounts receivables 32,000 25,000 Allowance for doubtful debts (2,500) (3,000) Inventory 11,500 8,500 Prepaid Rent 22,000 10,000 Equipment 100,000 100,000 Accumulated Depreciation Equipment (40,000) (20,000) Deferred Tax Asset 2,010 Liabilities Accounts Payable 29,000 26,000 Provision for Annual Leave 3,200 2,500 Interest Payable 5,000 1,200 Deferred Tax Liability 6,000 Additional information: 1. Accumulated depreciation of plant for tax purposes was $60,000 at 30 June 2020. 2. The tax rate is 30%. Required: Prepare the deferred tax worksheet and journal entries to adjust deferred tax accounts as at 30 June 2020. (6 marks) The statement of financial position of Apple Ltd at 30 June 2020 showed the following assets and liabilities: 2020 2019 Assets 2$ 2$ Cash 9,000 11,000 Accounts receivables 32,000 25,000 Allowance for doubtful debts (2,500) (3,000) Inventory 11,500 8,500 Prepaid Rent 22,000 10,000 Equipment 100,000 100,000 Accumulated Depreciation Equipment (40,000) (20,000) Deferred Tax Asset 2,010 Liabilities Accounts Payable 29,000 26,000 Provision for Annual Leave 3,200 2,500 Interest Payable 5,000 1,200 Deferred Tax Liability 6,000 Additional information: 1. Accumulated depreciation of plant for tax purposes was $60,000 at 30 June 2020. 2. The tax rate is 30%. Required: Prepare the deferred tax worksheet and journal entries to adjust deferred tax accounts as at 30 June 2020. (6 marks)
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Related Book For
Intermediate Accounting IFRS
ISBN: 978-1119372936
3rd edition
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield
Posted Date:
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