Question
Delta has interest receivable which has a carrying amount of $75,000 in its statement of financial position at 31 December 2020. The related interest revenue
Delta has interest receivable which has a carrying amount of $75,000 in its statement of financial position at 31 December 2020. The related interest revenue will be taxed on a cash basis in 2021.
Delta has trade receivables that have a carrying amount of $105,000 in its statement of financial position at 31 December 2020. The related revenue has been included in its statement of profit or loss for the year to 31 December 2020.
Required: According to HKAS 12 Income Taxes, what is the total tax base of interest receivable and trade receivables for Delta at 31 December 2020?
| A. | Nil | |
| B. | $180,000 | |
| C. | $105,000 | |
| D. | $75,000 |
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Proli Footwear Inc An Audit And Fraud Simulation For Team Based Student Learning
Authors: Prof Richard J. Proctor CPA, Prof Patricia M. Poli Phd
2nd Edition
0615455492, 978-0615455495
