1. On 1 January x2, Rob Roy Bhd acquired a plant for RM500,000 and estimated the economic life to be ten years. Capital allowance is 25% per annum based on cost. There are no other items that will give rise to a taxable temporary difference or deductible temporary difference. Tax rate is 30%.

Required:

Calculate the deferred tax liability at the end of year x4 and the amount charged in the statement of comprehensive income. (with IFRS or MFRS compliance)

Posted by: Iswan Shah