QUESTION 1a: Accounting for PAYG Income tax (4 marks) John Brown Ltd had made sales totalling $1,500,000 for the year ended June 30, 2021. The company had a PAYG instalment rate of 15% and paid all instalments by the due date. The company had recorded $225,000 in income tax expense for the financial year ended June 21, 2020. The 'Income Tax Expense' recorded for the June quarter is $44,000. This has not yet been paid. At balance day the company determined a final net profit of $775,000. The current tax rate is 30% You are required to prepare general journal entries to record the following: Any adjustment to the Income Tax Expense Account at 30 June 2021 Close the Income tax expense account Close the profit and loss account to retained earnings Record the payment of the outstanding June quarter tax on July 28, 2021 GENERAL JOURNAL OF JOHN BROWN LTD DATE DETAILS DR CR Q1b What is the purpose of paying PAYG instalments throughout the year? How is this reported to the ATO? (1 mark) Q1b What is the purpose of paying PAYG instalments throughout the year? How is this reported to the ATO? (1 mark)