The following information relates to Sandhill Corporations transactions during 2023, its first year of operations.

1.		Income before income tax on the income statement for 2023 was $72,000.
2.		Income before income tax ($72,000 above) is net of a loss due to the writedown of land of $45,000.
3.		Sandhill reported a tax-deductible financing charge of $6,200 on its 2023 statement of retained earnings. The charge is for interest on a financial instrument that is legally debt, but in substance is equity for financial reporting purposes.
4.		The tax rate enacted for 2023 and future years is 30%. Because this was Sandhills first taxation year, no instalments on account of income taxes were required or paid by Sandhill.
5.		Differences between the 2023 GAAP amounts and their treatment for tax purposes were as follows:
		a.	Warranty expense accrued for financial reporting purposes amounted to $15,000. Warranty payments deducted for taxes amounted to $12,000. Warranty liabilities were classified as current on the SFP.
		b.	Of the loss on writedown of land of $45,000, 25% will never be tax-deductible. The remaining 75% will be deductible for tax purposes evenly over the years from 2024 to 2026. The loss relates to the loss in value of company land due to contamination.
		c.	Gross profit on construction contracts using the percentage-of-completion method for book purposes amounted to $27,100. For tax purposes, gross profit on construction contracts amounted to $0 because the completed-contract method is used and no contracts were completed during the year. Construction costs amounted to $248,000 during the year.
		d.	Depreciation of property, plant, and equipment for financial reporting purposes amounted to $65,400. CCA charged on the tax return amounted to $87,200. The related property, plant, and equipment cost $327,000 when it was acquired early in 2023.
		e.	A $3,300 fine paid for a violation of pollution laws was deducted in calculating accounting income.
		f.	Dividend revenue earned on an investment was tax exempt and amounted to $1,500.
6.		Taxable income is expected for the next few years. Sandhill follows IFRS.

The tollowing information relates co Sandhil Conporation's transactions during 2023 , its first year of operations. 1. Income before ncome tax on the income statement for 2023 was $72,000. 3. Sandhill reported a tax-deductible inancine charze of $6200 on its 2023 statement of retaincd carnirgs. The charge is foe irterest on a finan:ial instrument that ic legally deht. but in sulastance is rquity far finarnial remorting purposes. 4. The tax rate enacted tor 2023 and future years is 30%. Because this was Sandhill s fi rst taxation year, no instal ments on account of income taues were required or paic by sand iil. 5. Difterences between the 2023GAP amounts and the treatrent tor taxpurposes were as tollows: tixes amcunted ta $12,000 Warranly liabilities were Llixsifed as current ori the 5 FP. b. Of the less on writatown of land of {45,000,25% will newerbe tax-dedutihle The remaining 75 s. will be deductible for tontanination. 6. Gross arofit on oonstrurtion eontracts usine the perentage-of-onmpletion method for beol purposes ampunted to $27,100. For tix purpases. grwes profit an exrustruction contricts incunted to $0 becase the exrnpleted-contra:t rrethad is used and no cantratls we'e curpleled during the year. Corctruclion casts ariouried to $2