Baygon ltd has presented the following income particulars for the year $2022$;

Ksh $000$

Sales

$1,942,000$

Purchases

$840,500$

Closing stock

$150,000$

Cost of sales

$612,000$

Interest from bonds held in Ghana

$32,400$

Discount received

$26,750$

Dividend from Limuru Tea ltd $($net$)$

$134,000$

Operating expenses $$allowable

$920,000$

Depreciation

$60,000$

Finance cost

$98,000$

Additional information:

$1.$ The company had a policy of maintaining a closing stock that$$s twice the value of the opening stock.

$2.$ The closing stock above is undervalued by $20\%$

Required:

Calculate the taxable income for Baygon ltd for the year $2022.$ The Tax laws for $2022$ apply accordingly.

A$.$

Ksh $211,400$

B$.$

Ksh $202,000$

C$.$

Ksh $283,250$

D$.$

Ksh $203,800$

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Yutong $($K$)$ ltd which is a micro$-$enterprise has presented the following income particulars for the year $2022$;

Ksh $000$

Sales

$7,379,600$

Purchases

$3,193,900$

Closing stock

$570,000$

Interest from Loan Stocks held in Singapore

$123,120$

Discount received

$101,650$

Dividend from EABL $($K$)$ ltd

$509,200$

Operating expenses $$allowable

$3,496,000$

Depreciation

$228,000$

Finance cost

$372,400$

Additional information:

$1.$ The closing stock above is undervalued by $20\%.$ The opening stock was ksh$.285,000$

Required:

Calculate the taxable income for company for the year $2022.$

A$.$

Ksh $704,600$

B$.$

Ksh $853,195$

C$.$

Ksh $912,425$

D$.$

Ksh $803,320$

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BIG TIGER Insurance ltd presented the following information relating to its general insurance business for the year $2022$:

Ksh $000$

Premiums received

$7,610,000$

Premiums returned to policyholders

$847,000$

Premiums received on re$-$insurance contracts

$656,000$

Premiums receivable; b$/$d

$112,000$

Premiums receivable; c$/$d

$133,000$

Bonus utilized in reduction of premiums

$64,000$

Premiums transferred on re$-$insurance

$107,000$

Required:

Calculate the maximum amount of allowed management expenses for the company.

A$.$

$1,299,187,500$

B$.$

Ksh $1,211,337,500$

C$.$

$1,391,800,000$

D$.$

Ksh $1,111,237,500$

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BIG TIGER Insurance ltd presented the following information relating to its life insurance business for the year $2022$:

Ksh $000$

Premiums received

$7,610,000$

Premiums returned to policyholders

$847,000$

Premiums received on re$-$insurance contracts

$656,000$

Actuarial surplus transferred to shareholders

$540,000$

Premiums receivable; b$/$d

$112,000$

Premiums receivable; c$/$d

$133,000$

Bonus utilized in reduction of premiums

$64,000$

Management expenses

$1,674,000$

Premiums transferred on re$-$insurance

$107,000$

Required:

Calculate the taxable income from the life business of the insurance company.

A$.$

Ksh $708,828,750$

B$.$

Ksh $937,743,750$

C$.$

Ksh $939,960,000$

D$.$

Ksh $740,083,750$

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Grand Canyon ltd which listed $24\%$ of its issued share capital at the Nairobi Securities Exchange $($NSE$)$ in the year $2016$ has presented the following summary income statement items for the year $2022$:

Ksh$\mathrm{.}000$

Ksh$\mathrm{.}000$

Sales

$1,280,000$

Opening stock

$70,400$

Purchases

$612,500$

Closing stock

$53,100$

Discount received

$18,500$

Specific bad debts recovered

$14,800$

Insurance recovery$-$ Lorry written off after an accident

$13,500$

Dividends from Uzima ltd listed at NSE $($gross$)$

$5,700$

Interest on fixed deposit account held at Citi Bank $($net$)$

$51,000$

Interest from a bond issued by Wuyii China ltd$-$in China

$74,500$

Operating expenses

$442,500$

Net profit

$385,700$

$1,511,100$

$1,511,100$

Additional information:

$1.$ The opening has been undervalued by $22\%$ and the closing stock has been overvalued by $18\%$

$2.$ Operating expenses include depreciation amounting to ksh $48,000,000.$

$3.$ The operating expenses exclude discount allowed of ksh $34,000$

Required:

Calculate the tax payable by the company for the year $2022$

A$.$

Ksh $96,460,000$

B$.$

Ksh $88,190,000$

C$.$

Ksh $80,190,000$

D$.$

Ksh $75,460,000$

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Wajumbe Sacco $($k$)$ ltd has presented has presented the following information on their financial