Fac3701 Assignment 1 Semester 2 Of 2024

FAC3701 ASSESSMENT 1 – SEMESTER 2 OF
2024
(a) Calculation of deferred tax balance for the year ended

30 June 2023 Carrying Tax Base Temporary Deferred
Amount Difference Tax Asset /
(Liability) @
27%
R R R R
Delivery Vehicles (C1) 556 667 525 000 31 667 (8 550)
Provision for warranty costs 80 000 - (80 000) 21 600
(48 333) 13 050

30 June 2022 Carrying Tax Base Temporary Deferred
Amount Difference Tax Asset /
(Liability) @
28%
R R R R
Prepaid security services (80 000 * ) 40 000 0 40 000 (11 200)
Delivery Vehicles 262 500 243 750 18 750 (5 250)
Assessed Loss 0 5 000 (5 000) 1 400
53 750 (15 050)


Calculations

C1: New Delivery Vehicles

Carrying Tax Base
amount
R R
Cost 600 000 600 000
Depreciation [(600 000 – 80 000) / 6 * ] (43 333)
Wear & Tear (75 000)
556 667 525 000




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