The Accounting and taxable profit for Otto limited over a three year period are as follows: Year Accounting pre-tax profit Taxable Profit 2001 $ 120 000 $167 000 2002 $ 120 000 $119 000 2003 $120 000 $ 119 000 The differences between accounting and taxable profit are explained as follows: 1. Taxable profit in 2001 includes $48 000 of rental revenue which for financial reporting purposes was recorded as earned at the rate of $16000 per year. (Temporary difference). 2. Impairment of goodwill at the rate of $15 000 per year is recorded for financial reporting purposes but is NOT deductible in arriving at taxable income.( Temporary difference). Goodwill had carrying amount of $ 45 000 at 1 January 2001. The company determines deferred taxation in accordance with IAS 12, and is reasonably assured of making significant taxable profit in the future. Required: 1. Prepare the journal entries required for each year in respect of taxation, both current and deferred. Assume a tax rate of 30%. 2. Prepare partial statement of profit or loss for each of the three years, showing the note for taxation