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At 3 0 June 2 0 2 3 Maximum Ltd provided the following information from its balance sheet about its assets and liabilities Assets (

At 30 June 2023 Maximum Ltd provided the following information from its balance sheet about its assets and liabilities
Assets ($000)
Computers at cost 300
Accumulated depreciation (60)
Accounts receivable 100
Allowance for doubtful debts (10)
Liabilities
Provision for warranty costs 30
Provision for employee benefits (LSL)20
Maximum Ltd depreciates computers over five years in its accounting records but over three years for tax purposes. The straight-line method is used. No amounts were paid for long service leave or warranty claims during the year.
The following information is available for the following year, the year ending 30 June 2024.
Statement of profit or loss for Maximum Ltd for the year ending 30 June 2024 $000
Sales 4000
Cost of goods sold (1800)
Depreciation expense (60)
Warranty expense (90)
Bad and doubtful debts expense (25)
Other expenses (1375)
Profit before tax 650
During the year, Maximum Ltd wrote off bad debts amounting to $15000. Warranty costs of $70000 were paid during the year. No amounts were paid for long service leave during the year. The following information is extracted from the statement of financial position at 30 June 2024:
Assets $000
Accounts receivable 120
Allowance for doubtful debts (20)
Liabilities
Provision for warranty costs 50
Provision for employee benefits (LSL)30
There was no acquisition of plant and equipment during the year.
The tax rate as at 30 June 2023 and 30 June 2024 was 30 per cent.
Required Calculation Questions
1. Calculate the amount of each of Maximum Ltds temporary differences, if any, at 30 June 2023, and state whether it is deductible or taxable. Present your answer using the following table format (show workings where relevant):
Account Carrying amount Tax base Temporary Difference
2. What is the balance of the deferred tax liability and deferred tax asset as at 30 June 2023?
3. Complete a worksheet showing the deferred tax balances for the year ended 30 June 2024. Hint: the opening balances calculated for the previous year have to be deducted.
4. Complete the relevant general journal entries to record current tax and deferred tax for the year ending 30 June 2024.

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