ABC Limited Has an Asset with a Carrying Value of €50

question 5

Multiple Choice

ABC Limited has an asset with a carrying value of €50 000. The tax base of this asset is €40 000. The tax rate is 30%. As a result, which of the following deferred tax items does Roland Limited have?

• A) A deferred tax asset of €10 000;
• B) A deferred tax liability of €3000;
• C) A deferred tax liability of €10 000;
• D) A deferred tax asset of €3000.

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Definitions:

Arrowheads

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Quick Sort

A highly efficient sorting algorithm that uses a divide-and-conquer strategy to sort elements in an array or list.

Splitting Value

In programming, splitting a value often refers to dividing a string or other data into multiple components based on a specified delimiter or condition.

Pseudocode

A high-level description of a computer program or algorithm, using the conventions of programming language structure without strictly adhering to actual coding syntax.