UBS Ltd provides you the following information for the year ended 30 June 2022: $ Accounting profit
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Question:
UBS Ltd provides you the following information for the year ended 30 June 2022:
$
Accounting profit (profit before tax) 6,000
Depreciation for accounting purpose* 10,000
Depreciation for tax purpose 20,000
Warranty expense * 6,000
Entertainment costs* 10,000
Income tax rate 30%
*These items are non-deductible for tax purposes.
Required:
i) Calculate taxable profit/income
ii) Prepare journal entry to recognize current tax in accordance with AASB 112 - Income Taxes
Related Book For
Financial Accounting and Reporting
ISBN: 978-0273744443
14th Edition
Authors: Barry Elliott, Jamie Elliott
Posted Date: