Tracy purchased an item of property, plant and equipment on 1 January 20X5 for $5 million. It was estimated that it had a useful economic life of 5 years but according to the tax authority had a 50% tax allowance in its first year and 20% reducing balance thereafter. Tracy made an accounting profit of $2m for the year, which is expected to continue unchanged for the next two years. Income tax rate 20% Calculate the profits after tax for Tracy for each of the three years ending 31 December 20X5 to 20X7.