Question No 36:
CFP, an entity resident in Country X, had an accounting profit for the year ended 31 December 2011 of $860,000. The accounting profit was after charging depreciation of $42,000 and amortisation of development costs of $15,000.
CFP was entitled to a tax depreciation allowance of $51,000 for the year to 31 December 2011.
CFP’s tax payable for the year ended 31 December 2011 is:
Thursday, 14 January 2016
Wednesday, 6 January 2016
Question No 35:Which ONE of the following would cause a deferred tax balance to be included in the statement of financial position for an entity, as required by IAS 12 Income Taxes?
A. An expense that is included in the statement of comprehensive income but is not allowed for tax.
B. A non-current asset that does not qualify for tax depreciation.
C. Tax depreciation being allowed on a non-current asset at a different annual rate to that used for depreciation in the financial statements.
D. Impairment of goodwill that arose on the acquisition of a subsidiary entity.