Commission earned but not received

(8 points) Net profit before taxation is $75000. The profit and loss account includes the following expenses not allowable as taxation deductions: 8 000 3 000 Entertainment expenses Transfer to doubtful debts allowance Transfer to long service leave provision An extract from the balance sheet reveals: 5 000 Carrying amount Tax base Assets Accounts receivable (net) 72000 75000 Liabilities Provision for long service leave 5000 Nil The tax rate is 30%. PAYG instalments already remitted to the ATO amount to $20 000. Required: a) Prepare a statement oftaxable income. b) Prepare the genera/journal entries to record income tax expense and the temporary difference,
Calculating tax base - assets (7 points) Calculate the tax base at the end of the tax year (30 June) for various assets in the following unrelated circumstances. Show your calculations in the worksheet provided at the end of the question. State if the item is a deferred tax asset (DTA) or a deferred tax liability (DTL). a) Accounts receivable has a balance of $41000. There is an allowance for doubtful debts totalling $7000. b) Expenses prepaid are $3000. This amount was deemed as a deduction when paid. c) Machinery cost $60000 on July 20X1. Itis depreciated for both accounting and taxation purposes by $9000 per year. What is the tax base at 30 June 20X4? d) Loan receivable has a balance of $59000. It is expected to be collected in full. e) Machinery cost $150000 on July 20X4.For accounting purposes, itis depreciated at 25% per annum (no scrapvalue). Fortaxation purposes, it is depreciated at 3372%. What isthe tax base at 30 June 20X6? f) Commission income accrued is $1400. Amount is for commission earned but not received. It will not be included in taxable income until it is received. g) Machinery cost $80000 on 1 July 20X3. For accounting purposes, it is depreciated at 25% per annum (straight-line method). For taxation purposes, it is depreciated at 20% by the straight- line method. What is the tax base at 30June 20X5
f) Commission income accrued is $1400. Amount is for commission earned but not received. It will not be included in taxable income until it is received. g) Machinery cost $80000 on 1 July 20X3. For accounting purposes, it is depreciated at 25% per annum (straight-line method). For taxation purposes, it is depreciated at 20% by the straight- line method. What is the tax base at 30June 20X5 (that is, at end of the second year)? Worksheet format for answers Asset carrying Less amount Any future taxable amounts Any future plus deductable Equals amounts