Refer to Question 43 Assume the corporate tax rate is 30 The consolidation

Refer to question 43 assume the corporate tax rate is

This preview shows page 6 - 7 out of 7 pages.

44)Refer to Question 43. Assume the corporate tax rate is 30%. The consolidation worksheet entries for 30/6/09 will include the following deferred tax adjustment: a)Dr. Deferred tax asset $ 27,000 Cr. Retained profits 1/7/08 $ 27,000 b)Dr. Deferred tax asset $ 27,000 Cr. Income tax expense $ 27,000 c)Dr. BCVR $ 9,000 Cr. Deferred tax liability $ 9,000 d)Dr. Deferred tax asset $ 15,000 Cr. Retained profits 1/7/08 $ 15,000 e)No entries for this are required for 30/6/09 45)Refer to Question 43 and recall that the remaining useful life of the plant when transferred on 1 July 2007 is 3 years. The consequential adjustments for depreciation included in the consolidation worksheet entries for 30/6/09 are:
Image of page 6
Page 7 of 7 46)Refer Question 45. Assume the corporate tax rate is 30%. The consolidation worksheet entries for 30/6/09 will include the following deferred tax adjustment:
Image of page 7

You've reached the end of your free preview.

Want to read all 7 pages?

  • One '11
  • KNAPP
  • Depreciation, Generally Accepted Accounting Principles, Dr. Sales Cr

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

Stuck? We have tutors online 24/7 who can help you get unstuck.
A+ icon
Ask Expert Tutors You can ask You can ask You can ask (will expire )
Answers in as fast as 15 minutes