19. Harta Bhd's financial statements for the year to 30 June 2020 show a pre-tax profit of RM500,000. This is after charging depreciation of RM100,000. Depreciation for the year for tax purposes is RM160,000. Assuming that the rate of tax paid by the Harta Bhd is 20%, the required transfer to or from the Harta Bhd's deferred tax account is:

(4 Points)

A) A transfer of RM32,000 from the deferred tax account

B) A transfer of RM12,000 from the deferred tax account

C) A transfer of RM32,000 to the deferred tax account

D) A transfer of RM12,000 to the deferred tax account

E) None of the above

20. Suppose that Company W owns 60% of the ordinary shares of Company X and 51% of the ordinary shares of Company Y. Companies X and Y each hold 51% and 40% respectively of the ordinary shares of Company Z. Which of the following companies are subsidiaries of W.

(4 Points)

X only

B) X & Y

C) X & Z

D) X, Y & Z

E) Y only

21. On January 1, 2019, Top Bhd acquired 100% of the ordinary shares of Bottom Bhd. On this date, Top Bhd had Retained Earnings of $200,000 and Bottom Bhd had Retained Earnings of $60,000. On December 31, 2019, Top Bhd had Retained Earnings of $220,000 and Bottom Bhd had Retained Earnings of $60,000. The amount of Retained Earnings that appears in the December 31, 2019 consolidated balance sheet is:

(4 Points)

A) $200,000.

B) $60,000.

C) $260,000.

D) $220,000.

E) None of the above

22. A Bhd has two subsidiary entities, B Bhd and C Bhd. A Bhd owns 100% of the ordinary shares in both entities. Details of issued share capital are: A Bhd - RM100 000 B Bhd- RM30 000 C Bhd- RM15 000 The consolidated share capital amount of the A Bhd group is:

(4 Points)

A) RM45 000

B) RM145, 000

C) RM100 000

D) RM 45,000

E) None of the above