Royal Insurance Co$.$ Ltd has been operating in Ghana for two years. Below is an extract from

the Trial Balance as at $31/12/16.$

The Company commenced business on $1$st January $2015.$

Notes

$($i$)$ Reserve is calculated at $40\%$ Net Premium Income

$($ii$)$ Assets were acquired on $1$s January $2015$

Where applicable, use the following rates of Capital allowances

$($a$)$ Compute the tax liability of the Company for $2016-$year Assessment.

$($b$)$ What would be the position if it had been a Life Insurance Company? $(20$ marks$)$

Corporate Tax: $25\%$