A non$-$current asset with a cost of $$2,000$ was acquired at the start of year $1.$ The schedules for accounting depreciation and tax depreciation are as follows:

Year

$1$

$2$

$3$

$4$

Depreciation Charge

$500$

$500$

$500$

$500$

Tax Depreciation

$800$

$600$

$360$

$240$

The tax rate for the period is $20\%.$ Which of the following statements is$/$are CORRECT?

$($i$)$ At the end of Year $2,$ the related deferred tax liability is $$80.$

$($ii$)$ At the end of Year $2,$ the related deferred tax asset is $$80.$

$($iii$)$ At the end of Year $3,$ the related deferred tax liability is $$52.$

$($iv$)$ At the end of Year $3,$ the related deferred tax asset is $$52.$

Question $8$ Answer

a$.$

$($ii$)$ and $($iv$)$

b$.$

$($i$)$ and $($iii$)$

c$.$

$($ii$)$ and $($iii$)$

d$.$

$($i$)$ and $($iv$)$