Reference no: EM132986573
Question 1 - Tempest Ltd has accounts receivable of $900,000 and an associated doubtful debts allowance of $180,000. The revenue associated with the accounts receivable of $900,000 has already been included in taxable income. The doubtful debts will be deductible when the amount is actually written off as bad with a related deduction to accounts receivable.
Required -
i) Assuming that the tax rate is 30 per cent, what is the amount of the temporary difference?
ii) Does this give rise to a deferred tax asset or a deferred tax liability, and what is the amount of the deferred tax asset/liability?
Question 2 - Fleece Ltd has a depreciable non-current asset that cost $30,000 and has a carrying amount of $20,000. For tax purposes, accumulated depreciation amounts to $18,000.
Required -
i) Assuming that the tax rate is 30 per cent, what is the amount of the temporary difference?
ii) Does this give rise to a deferred tax asset or a deferred tax liability, and what is the amount of the deferred tax asset/liability?
|
Verbal and nonverbal response of receiver to sender
: 1) What is the verbal and nonverbal response of a receiver to a sender?
|
|
Argument essay on drug addiction
: Drug addiction, known in conjunction as substance use disease, could have affected the behavior of the human brain and could not manage the use of a legal drug
|
|
Prepare the corrected unadjusted trial balance at june
: The cost of the land was $44,600, not $46,600. Prepare the corrected unadjusted trial balance at June 30, 2020. Journal entries are not required
|
|
Compute the effect of this event on their tax liability
: Compute the effect of this event on their tax liability, assuming that their AGI was $103,000, and their taxable income before considering the new dependent
|
|
What is the amount of the temporary difference
: Assuming that the tax rate is 30 per cent, what is the amount of the temporary difference
|
|
Explain concept of externality
: Explain concept of externality; How new meat processing plant will affect the adjacent land(s) value, either positively or negatively
|
|
How much increase in profits differential pricing provide
: If eBike was to charge a single price over both segments, what should it be? How much increase in profits does differential pricing provide
|
|
Determine the company gross profit margin
: Sales Returns and Allowances $325,000; Sales Discounts $75,000; and Cost of Goods Sold $1,850,000. Determine the company gross profit margin
|
|
Who is responsible for the cost of the biscuits
: Who is responsible for the cost of the biscuits? At what level is the cost controllable? Do you agree that Barney should be angry with the purchasing agent
|