July 2018. Holloways has $450 000 deferred tax liabilities recognised in accordance


with AASB 112 ‘Income Taxes’.

(b) Holloways Ltd purchased equipment from Machans Ltd on 25 June 2018 for $50 000.

A routine check by the external auditor on 13 August 2018 revealed that the

equipment had been incorrectly recorded at $23 000 due to a computer system error. (c) At a directors’ meeting held in May 2018 it was decided that, in early August 2018,

the Queensland operations of the company would be closed. The estimated costs of

closure ($1.8 million) were recorded as a provision. On 25 August 2018, you were

told that the actual costs incurred in closing down the division were $2.3 million.

(d) On 18 September 2018, Holloways Ltd commenced legal action against a supplier

for failure to perform under the terms of the supply contract. The damages sought

are $780 000.

(e) The directors of Holloways Ltd declared a 5-cent dividend on ordinary shares on

17 July 2018. It amounted to $160 000. (LO3)

Found something interesting ?

• On-time delivery guarantee
• PhD-level professional writers
• Free Plagiarism Report

• 100% money-back guarantee
• Absolute Privacy & Confidentiality
• High Quality custom-written papers

Related Model Questions

Feel free to peruse our college and university model questions. If any our our assignment tasks interests you, click to place your order. Every paper is written by our professional essay writers from scratch to avoid plagiarism. We guarantee highest quality of work besides delivering your paper on time.

Sales Offer

Coupon Code: SAVE25 to claim 25% special special discount