The following information is provided from the accounting records of Suzie Ltd for the financial years ending 30 June 2021. The information for the year ended 30 June 2021 represents the first year of trading as a company following its incorporation on 1 July 2020.

2021

Accounting profit before tax

$560,000

Revenue received in advanced

96,000

Sick leave expense

30,000

Sick leave paid

25,000

Provision for sick leave

5,000

The tax treatment for each of the items is as follows:

Suzie Ltd had purchased an equipment on 1 July 2020 at a cost of $280,000. Depreciation over 10 years for accounting and 7 years for tax, with no residual value.

Suzie Ltd received $96,000 on 30 June 2021 for services to be performed during the next year. For tax purposes, revenue received in advance is treated as assessable income in the period in which the cash is received.

The tax rate is 30% and there are no other differences between accounting and tax treatments.

Required

(a)

Prepare the current tax worksheet for Suzie Ltd for the year ended 30 June 2021.

(b)

Prepare the journal entry to record the current tax liability for the year ended 30 June 2021.

(c)

Prepare the deferred tax worksheet for Suzie Ltd for the year ended 30 June 2021.

(d)

Prepare the journal entry to record the deferred tax liability for the year ended 30 June 2021.