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Sep 2018 Q1(a)

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AAA Exams › Sep 2018 Q1(a)

  • This topic has 1 reply, 2 voices, and was last updated 5 years ago by Kim Smith.
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  • August 14, 2020 at 7:31 am #580496
    toushiga
    Participant
    • Topics: 424
    • Replies: 172
    • ☆☆☆☆

    Hello Miss,for PYQ Sep 2018 Q1 (a)

    Effective tax rate
    1.What is profit chargeable to tax is it same as PBT? if yes ,why the answer stated that its have been decrease but actually increase from last year?(244 – 322)

    Consolidation of foreign subsidiaries
    2.The materiality for Group net asset is same as Group total asset which is 1-2%?

    Thank you.

    August 14, 2020 at 10:05 am #580510
    Kim Smith
    Keymaster
    • Topics: 135
    • Replies: 8327
    • ☆☆☆☆☆

    1. PBT is accounting profit and profit chargeable to tax is taxable profit – i.e. accounting profit adjusted for disallowable expenditure, capital allowances etc.

    2. Net assets = Total assets – total liabilities = Total equity

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