Current and deferred tax Note: Entertainment expenses are not deductible for tax purposes. Loftus et al (2020) Table 12.1 for confirmation. Konpayi Ltd has determined its accounting profit before tax for the year ended 30 June 2023 to be $256,700. Included in this profit are the items of revenue and expense shown below. .

Exercise 12.15 Current and deferred tax Note: Entertainment expenses are not deductible for tax purposes. Loftus et al (2020) Table 12.1 for confirmation. Konpayi Ltd has determined its accounting profit before tax for the year ended 30 June 2023 to be $256,700. Included in this profit are the items of revenue and expense shown below. $ 8000 Royalty revenue (non-taxable) 1700 Entertainment expense 7600 Depreciation expense - buildings 22 500 Depreciation expense - plant 4 100 Doubtful debts expense 46 000 Annual leave expense 4200 Insurance expense Development expense 15 000 The accounting profit for Konpayi Ltd for the year ended 30 June 2023 also included a gain on sale of buildings of $5,000. The company's draft statement of financial position wat 30 June 2023 showed the following assets and liabilities. Assets Cash $ 2500 Accounts receivable $ 21500 Less: Allowance for doubtful debts (4 100) 17 400 Inventories 31600 Prepaid insurance 4500 Land 75 000 Buildings 170 000 Less: Accumulated depreciation (59500) 110 500 Plant 150 000 Less: Accumulated depreciation Deferred tax asset (opening balance) (67500) 82 500 9600 Liabilities 333 600 Accounts payable Provision for annual leave 25000 Deferred tax liability (opening balance) 10000 Loan 6000 140 000 $181 000