(MARKS 25) James Farm Limited is a resident company engaged in pig farming at Port Moresby. It was incorporated with an authorized capital of 1,000,000 ordinary shares of K 1.00 each, with 800,000 shares issued and fully paid for. Since its incorporation in early in 2008, it made consecutive losses amounting to \\( \\mathrm{K} \\) 489,000 as at 31.12.22, and the directors recommended that any further capital development expenditures incurred from 2008 onwards be surrendered in favour of its shareholders. In the income year, 2022, the operating results of the company were as follows: The Management adhered to the director's decision and obtained the necessary approval from the tax office after effecting the transfer of allowable development expenditure in favour of the shareholders. Required: 1. Calculate the average cost of the pigs. 2. Calculate the value of pigs killed for rations 3. Calculate the livestock trading account and find the trading profit. 4. Calculate the taxable income and taxes due. 5. Calculate the allowable depreciation expenditure deduction available to shareholders per share under the above arrangement 6. Calculate the allowable development expenditure deduction available to an individual taxpayer who held 10,000 shares in James Farm Limited, and explain how he would claimed that deduction 7. Calculate the allowable development expenditure deduction available to a corporate taxpayer that held 50,000 shares in James Farm Limited, and explain how the taxpayer would claim that deduction. (20 Marks) B) Discuss about various incentives and tax allowances are applicable to primary industries (5 Marks) C. Manufacturing industry has purchased a machinery K 500000 on 1.4 .2021 (10 years' life). Depreciation \10 under straight line method. (2 Marks) 10 Marks The business also earned exemp Required to: Show the treatment of losses for tax purposes