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Please do all 3 Vestern Sydney Ltd commenced operations on 1 July 2018. The following has been extracted from their internal reports for the second
Please do all 3
Vestern Sydney Ltd commenced operations on 1 July 2018. The following has been extracted from their internal reports for the second year of operations: Note: data for the first year of operations is available from Week 4 Lecture Example) Income Statement (Extract) for the year ended 30 June 2020 Assets and liabilities as disclosed in the balance sheet as at 30 June 2020 were: Additional information: - Plant is depreciated straight-line with no residual value over five years for accounting purposes and four years for taxation purposes. - The administration expense includes payment of $12,000 for goodwill impairment. - Bad debts written off during the year were $21,000. - Insurance, warranty and long-service leave are deductible for tax purposes when paid. - The tax rate is 30% Required: (a) Calculate taxable income and its current tax consequences. (b) Complete the deferred tax worksheet (use the template attached here: (ACCT3007 Week 5 Portfolio Part (b) Template.docx). (c) Prepare the journal entries for both the current and deferred tax consequences and for disclosure of deferred tax in the Balance Sheet. (Narrations are require (b) Determine future tax consequences for year end 30 June 2020Step by Step Solution
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