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Question 2 ( 4 0 Marks ) Conrad Brown is 4 0 years old. He ls a livestock famer in the Free State. During the

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Question 2
(40 Marks)
Conrad Brown is 40 years old. He ls a livestock famer in the Free State. During the 2023 yoer of assessment, he establishod a cherry tree orchard on his farm. His receipts and aocruals for the yeor of assesamom follow.
Note:
Irrigation equipment was purchased eight years ago for R8000(excluding VAT). It was sold on 1 June 2022 for R9800(excluding VAT).
Conrad's capital development expenditure brought forward from the 2022 year of assessment was R15000.
Conrad purchased a tractor on 1 May 2021 for R130000(excluding VAT).
Conrad had 2000 twestock on hand on 28 February 2022. On 28 February 2023,1400 fvestock were on hand. The livestock on hand had a cost price of R6800 each and a standard value of R40 each.
Conrad erected a house for his farm manager. The house was complete on 31 May 2022. The manager occupied it as from 1 June 2022. The house cost R345000. In the 2015,2016 year of assessment, Conrad had erected six houses for his employees.
Conrad lets a portion of his farm that is unsuitable for farming. The lessee uses this land for a dog-kennel business.
OU ARE REQUIRED TO calculate Conrad's normal tax liability for the 2023 year of assessment.
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