SUGARBIRD LTD
Notes for the year ended 30 June 2024
1. Property, plant and equipment
Buildings Plant Office
furniture
Carrying amount at the beginning of year 2 260 000 2 360 003 -
Gross carrying amount 1 989 000 3 630 003 -
Accumulated depreciation and impairment losses (1 270
(337 800) 000) -
Additions 600 000 245 005
Depreciation (96 950) (204 286) (10 417)
Reversal of impairment loss 360 999
Carrying amount at the end of year 2 154 250 2 516 716 234 588
Gross carrying amount 2 589 000 3 630 003 245 005
Accumulated depreciation and impairment losses (1 113
(434 750) 287) (10 417)
c) Deferred tax calculation
Carrying Tax base Temporary Deferred tax
amount difference asset/Liability
@ 27%/80% x
27%
Land 2 200 000 2 000 000 200 000 (43 200)
2 516 716
Building 2 516 716 (exempt) 0
Plant (1.1) 2 516 716 0 2 516 716 (679 513)
Office furniture (calc 1.2) 234 588 230 421 4 167 (1 125)
Deferred tax liability at 30 June 2024 (723 838)
1. 1 Tax base - plant:3 630 0003- 3 630 0003 c x (40% +
20% + 20% + 20%) = 0
1.2 Tax base - office furniture: 245 005 - 245 005/7 x 5/12=
103 439
, Calculations
1. Building
Cost 1 989 000
Accumulated depreciation (Calc 1.1) (337 800)
Carrying amount - 30 June 2023 1 651 200
Reception area 600 000
Depreciation (Calc 1.2) (96 950)
Carrying amount - 30 june 2024 2 154 250
1.1. (1 989 000 - 300 000)/20 x 4 = 337 800
1.2. (1 989 000 - 300 000)/20 + 600 000/20 x 5/12 =
1.3 Accumulated depreciation : 30 June 2024 = 337 800 +
96 950 434 750
2. Plant
Cost 3 300 000
Restoration costs (calc 2.1) 330 003
3 630 003
Accum ulated depreciation: 30 June 2023(calc 2.2) (909 001)
Carrying amount - 30 June 2023 2 390 999
Recoverable amount:
Higher of -
- fair value less costs to sell (2 150 000 - 40 000) = 2 110
000
- Value in use = 2 030 000
Therefore recoverable amount is R2 030 000
Impairment loss on 30 june 2023 (2 390 999 - 2030 000) (360 999)
Carrying amount - 30 June 2023 2 030 000
Depreciation (2 030 000 - 600 000)/7 (204 286)
Carrying amount on 30 June 2024 1 825 714
Reversal of impairment (Calc 2.4) 360 999
Carrying amount on 30 June 2024 2 186 713
2.1. FV = 760 000
n = 10
I = 8,7%
COMP PV = 330 003
Notes for the year ended 30 June 2024
1. Property, plant and equipment
Buildings Plant Office
furniture
Carrying amount at the beginning of year 2 260 000 2 360 003 -
Gross carrying amount 1 989 000 3 630 003 -
Accumulated depreciation and impairment losses (1 270
(337 800) 000) -
Additions 600 000 245 005
Depreciation (96 950) (204 286) (10 417)
Reversal of impairment loss 360 999
Carrying amount at the end of year 2 154 250 2 516 716 234 588
Gross carrying amount 2 589 000 3 630 003 245 005
Accumulated depreciation and impairment losses (1 113
(434 750) 287) (10 417)
c) Deferred tax calculation
Carrying Tax base Temporary Deferred tax
amount difference asset/Liability
@ 27%/80% x
27%
Land 2 200 000 2 000 000 200 000 (43 200)
2 516 716
Building 2 516 716 (exempt) 0
Plant (1.1) 2 516 716 0 2 516 716 (679 513)
Office furniture (calc 1.2) 234 588 230 421 4 167 (1 125)
Deferred tax liability at 30 June 2024 (723 838)
1. 1 Tax base - plant:3 630 0003- 3 630 0003 c x (40% +
20% + 20% + 20%) = 0
1.2 Tax base - office furniture: 245 005 - 245 005/7 x 5/12=
103 439
, Calculations
1. Building
Cost 1 989 000
Accumulated depreciation (Calc 1.1) (337 800)
Carrying amount - 30 June 2023 1 651 200
Reception area 600 000
Depreciation (Calc 1.2) (96 950)
Carrying amount - 30 june 2024 2 154 250
1.1. (1 989 000 - 300 000)/20 x 4 = 337 800
1.2. (1 989 000 - 300 000)/20 + 600 000/20 x 5/12 =
1.3 Accumulated depreciation : 30 June 2024 = 337 800 +
96 950 434 750
2. Plant
Cost 3 300 000
Restoration costs (calc 2.1) 330 003
3 630 003
Accum ulated depreciation: 30 June 2023(calc 2.2) (909 001)
Carrying amount - 30 June 2023 2 390 999
Recoverable amount:
Higher of -
- fair value less costs to sell (2 150 000 - 40 000) = 2 110
000
- Value in use = 2 030 000
Therefore recoverable amount is R2 030 000
Impairment loss on 30 june 2023 (2 390 999 - 2030 000) (360 999)
Carrying amount - 30 June 2023 2 030 000
Depreciation (2 030 000 - 600 000)/7 (204 286)
Carrying amount on 30 June 2024 1 825 714
Reversal of impairment (Calc 2.4) 360 999
Carrying amount on 30 June 2024 2 186 713
2.1. FV = 760 000
n = 10
I = 8,7%
COMP PV = 330 003
