[firelion28]

thanks john

[firelion28]

Yeah Melissa but they specified that they needed the corporation tax liability of year ended 31dec 2016 . I may be Wrong but this is what I felt! There was no long account

[firelion28]

For the corporation tax liability I got 99497 something like this

[firelion28]

It was a corporation tax question of clatz I believe so!

[firelion28]

Hi the question 33 was not long period of account! It was 1 jan 2016- 31 dec 2016

[firelion28]

And what did you all get for your McQs

[firelion28]

Hey everyone ! Hope your exam was very good.. just a little doubt about a question. To those of u who got poppy as q32 there was something about payroll benefits. Did we have to deduct the benefits as it has gone in payroll deduction?
Thanks guys

[firelion28]

yeah so they would take cost of sales but why have they taken for the entire year???

[firelion28]

sorry tax tutor. was getting very impatient for your reply. i appologise.

[firelion28]

wonder why the tax tutor is taking so long to reply

[firelion28]

Also could you please tell me the journal entires,

will it be

Dr sales 3000
Cr cost of sales 2000,

and then??

[firelion28]

And also, what is the difference between an accounting estimate and accounting policy?

[firelion28]

also for the question of rooks-

we lose contribution of 15000, incur fixed costs of 18000 and save 5000, so wont it be a loss of 2000.???

[firelion28]

yes, thanks mike! and if the parent doesnt record the deferred consideration, then it will be subtracted from the group retained earning, otherwise if it has already, then no issue
right?

[firelion28]

as in do we pay tax for our asset?

[firelion28]

and when we adjust for the share captial before the rights issue, are we adjusting for the fact that if we had a rights issue, how many share would have been issued?

[firelion28]

also why is that the effective rate is higher than the nominal rate always?

[firelion28]

also, how will this be possible – One way or another, that original cost of $500,000 will be allowed against the profits for tax purposes

[firelion28]

And also why dont we take the corporate headquarters also?

[firelion28]

also, in the shortrun, how are all the costs fixed?

[firelion28]

So in the books of lessee- He would account for it as an investment property righ?

[firelion28]

I found this on Accountingstandards,com-

Property held under an operating lease. A property interest that is held by a lessee under an operating lease may be classified and accounted for as investment property provided that: [IAS 40.6]

the rest of the definition of investment property is met
the operating lease is accounted for as if it were a finance lease in accordance with IAS 17 Leases
the lessee uses the fair value model set out in this Standard for the asset recognised

[firelion28]

Sorry mike, this is what it says-

a property interest that is held by the lessee under an operating lease may be classified and accounted for as an investment property , if and only if the the property meets the definition of an investment property and the LESSEE uses the fair value model. Bpp Pg 47

How is that possible

[firelion28]

Q2. Also, why is that in the IAS 40, there is so much focus for the entity to show the asset at fair value, evene when there is a change in the use, etc? Even if we use to the cost model, we have to show the fair value?

[firelion28]

thanks a ton mike!

[Author]

Posts