What amount should be reported as deferred tax liability An entity reported the following assets and liabilities at year-end: Carrying amount Таx base Land Machinery and equipment Inventory Accounts receivable 10,000,000 5,000,000 2,500,000 2,500,000 7,000,000 4,000,000 4,000,000 3,000,000 5,500,000 Liabilities 6,000,000 The entity had made a provision for inventory obsolescence of P1,500,000. Further, an impairment loss against accounts receivable of P500,000 has been made. The tax rate is 30%.
What amount should be reported as deferred tax liability An entity reported the following assets and liabilities at year-end: Carrying amount Таx base Land Machinery and equipment Inventory Accounts receivable 10,000,000 5,000,000 2,500,000 2,500,000 7,000,000 4,000,000 4,000,000 3,000,000 5,500,000 Liabilities 6,000,000 The entity had made a provision for inventory obsolescence of P1,500,000. Further, an impairment loss against accounts receivable of P500,000 has been made. The tax rate is 30%.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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![What amount should be reported as deferred tax liability
An entity reported the following assets and liabilities at year-end:
Carrying amount
Тах base
10,000,000
7,000,000
4,000,000
4,000,000
3,000,000
5,500,000
Land
Machinery and equipment
Inventory
Accounts receivable
Liabilities
5,000,000
2,500,000
2,500,000
6,000,000
The entity had made a provision for inventory obsolescence of P1,500,000. Further, an impairment
loss against accounts receivable of P500,000 has been made. The tax rate is 30%.
Your answer](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fe13f6e09-d628-4e44-8c2d-a7f1b8088ed3%2F5a59cb04-599b-4024-a2b1-6ef0fd2c3cd4%2Fkvj4k57_processed.png&w=3840&q=75)
Transcribed Image Text:What amount should be reported as deferred tax liability
An entity reported the following assets and liabilities at year-end:
Carrying amount
Тах base
10,000,000
7,000,000
4,000,000
4,000,000
3,000,000
5,500,000
Land
Machinery and equipment
Inventory
Accounts receivable
Liabilities
5,000,000
2,500,000
2,500,000
6,000,000
The entity had made a provision for inventory obsolescence of P1,500,000. Further, an impairment
loss against accounts receivable of P500,000 has been made. The tax rate is 30%.
Your answer
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