Exercise 5.7 ★ ★ ★ COMPREHENSIVE PROBLEM ChubbyChocs Ltd, a listed company, is a manufacturer of confectionery and biscuits. The end of its reporting period is 30 June. Relevant extracts from its fi nancial statements at 30 June 2014 are shown below Current liabilities Provisions Provision for warranties $270 000 Non-current liabilities Provisions Provision for warranties 160 715 Non-current assets Plant and equipment At cost Accumulated depreciation $2 000 000 600 000 Carrying amount 1 400 000