Question $4(21$ marks: $38$ minutes$)$OF $80\%$ASSUME A TAX RATE OF $27\%$ AND A CAPITAL GAINS TAX INCLUSION RATEAshante $("$Ashante$")$ Limited began operations on $1$ January $2019.$ The company has a$31$ December year$-$end. The finance director of Ashante, Ms$.$ Xhamla, knows that you are a transactions:third$-$year Financial Accounting student and has requested your assistance with the followinga$)$ Ashante sold land at R$1,000,000$ during the current financial year. The land was purchased for R$250,000.$b$)$ The investment property was purchased many years ago and is measured at fair value. The fair value at the $31$ December $2022$ financial year was R$4,687,000$ and at $31$ December $2023$ the fair value was R$9,470,000.$ Apart from the fair value adjustments, the only other movement during $2023$ was additions of R$4,750,000.$ The property had a tax base of R$4,000,000$ on $1$ January $2023,$ and SARS allowed a total wear and tear deduction of R$50,000$ for the current year. The original cost of the property was R$2,000,000.$c$)$ During the year, Ashante brought a constructed plant into use. The plant was completed and was available for use on $1$ November $2023.$ Total construction costs amounted to R$650,000$ and incurred interest of R$75,000$ during the construction period on a loan. This loan was used exclusively for the construction of the qualifying plant. The plant has a useful life of $8$ years and will be depreciated to a nil residual value. Excess capital not used was deposited in an interest$-$bearing account. Interest earned on the loan amounted to R$7,000.$ Three$-$quarters of the interest income was earned during the construction period.d$)$ Information extracted from the company's statement of comprehensive income for the year ended $31$ December $2023$ shows the following:Revenue received in advance as at $31$ December $2022$ and $2023$ was R$100,000$ and R$125,000$ respectively.Additional information: There are no other differences between accounting profit and taxable profit other than those evident from the information given. There are no components of other comprehensive income. SARS tax income when received or earned, whichever occurs first. No deductions allowed for donations; SARS allows a $20\%$ deduction on plant per annum and is apportioned for part of the year in which the asset is brought into use; SARS taxes interest income and treats it as revenue in nature;Profit before tax $($correctly calculated$)$R$1,700,000$Dividend incomeR$200,000$DonationsR$50,000$