Question 1 For year ended 2014 December 31, Jamjar Limited, a fruit preserving company, has a profit before tax of $SOM after charging/ Foreign travel 1 400 000 Bad debts 2 520 000 Donations 800 000 Additional information: i. Legal fees are as follows: Expenses relating to an increase in share capital - $1 200 000 Expenses in respect of the recovery of debts - $1 000 000 Expenses relating to defence of a tax (GCT) matter - $1 400 000 Bad debts of advances totalling $600 000 to a salesman who had left Jamjar, Rocky Limited, a debtor for $340 000 and $1 580 000 being a percentage of sales deemed to be bad ii. Included in revenue is dividend income received after 2013 April 01 (net of 15% tax deducted) of $20 000 and a refund of income tax of $900 000 in respect of 2007 iv. Interest payable at 2013 December 31 was $1 400 000 and at the end of the current year, 2014, is $1 120 000 Gross interest of $1 600 000 receivable at 2013 December 31 was received in 2014 and at the end of the current year interest receivable is $3.4M vi. Net profit on the disposal of fixed assets during the year was $300 000 and is included in income vii. Capital allowances are as follows: Initial allowance $ 360 000 Annual allowance $1 880 000 Balancing allowance $ 300 000 Balancing charge $ 240 000 viii. Jamjar paid an estimated tax of $3.6M during 2014 ix. Tax deducted at source from interest income during the year was $1 140 000 The company has a tax loss brought forward of $24.56M xi. Included in foreign travel is $620 000 for the managing director's family. v. X. Question 1 For year ended 2014 December 31, Jamjar Limited, a fruit preserving company, has a profit before tax of $SOM after charging/ Foreign travel 1 400 000 Bad debts 2 520 000 Donations 800 000 Additional information: i. Legal fees are as follows: Expenses relating to an increase in share capital - $1 200 000 Expenses in respect of the recovery of debts - $1 000 000 Expenses relating to defence of a tax (GCT) matter - $1 400 000 Bad debts of advances totalling $600 000 to a salesman who had left Jamjar, Rocky Limited, a debtor for $340 000 and $1 580 000 being a percentage of sales deemed to be bad ii. Included in revenue is dividend income received after 2013 April 01 (net of 15% tax deducted) of $20 000 and a refund of income tax of $900 000 in respect of 2007 iv. Interest payable at 2013 December 31 was $1 400 000 and at the end of the current year, 2014, is $1 120 000 Gross interest of $1 600 000 receivable at 2013 December 31 was received in 2014 and at the end of the current year interest receivable is $3.4M vi. Net profit on the disposal of fixed assets during the year was $300 000 and is included in income vii. Capital allowances are as follows: Initial allowance $ 360 000 Annual allowance $1 880 000 Balancing allowance $ 300 000 Balancing charge $ 240 000 viii. Jamjar paid an estimated tax of $3.6M during 2014 ix. Tax deducted at source from interest income during the year was $1 140 000 The company has a tax loss brought forward of $24.56M xi. Included in foreign travel is $620 000 for the managing director's family. v. X