I'm not sure how to get those numbers in the answer below: Carrying amount, Future tax amount, Future deductible amount, Tax base, Taxable temporary differences, Deductible temporary differences.

Answer

LABRADOR LTD

Deferred tax worksheet

as at 30 June 2024

	Carrying Amount	Future Taxable Amount	Future Deductible Amount	Tax Base	Taxable Temporary Differences	Deductible Temporary Differences
	$	$	$	$	$	$
Relevant Assets
Accounts receivable	222 500	0	27 500	250 000		27 500
Plant	120 000	120 000	55 000	55 000	65 000
Relevant Liabilities
Provision for long service leave	30 000	0	30 000	0		30 000
Rent received in advance	12 500	0	12 500	0		12 500

Question:

Calculation of movements in deferred tax accounts

The statement of financial position of Labrador Ltd at 30 June 2024 showed the following assets and liabilities.

		2024									2023
Assets
Cash		$	40000						$	42500
Inventories			85000							77500
Accounts receivable			250000							240000
Allowance for doubtful debts			(27500	)						(20000		)
Plant			250000							250000
Accumulated depreciation plant			(130000	)						(105000		)
Deferred tax asset			?							20250
Liabilities
Accounts payable			145000							130000
Provision for long service leave			30000							22500
Rent received in advance			12500							10000
Deferred tax liability			?							19050

Additional information

• Accumulated depreciation of plant for tax purposes was $157 500 at 30 June 2023, and depreciation for tax purposes for the year ended 30 June 2024 amounted to $37 500.
• The tax rate is 30%.

Required

Prepare a deferred tax worksheet to calculate the end of reporting period adjustment to deferred tax asset and liability accounts as at 30 June 2024, and show the necessary journal entry.