Advise how much tax apc pty ltd is required to pay

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Reference no: EM132716071

APC Pty Ltd's accounting profit for the year ended 30 June 2019 was $5,000. Included in this profit were Depreciation using accounting rate of $1,000 and sales revenue $25,000. During the year the company received $28,000 in cash from its clients for sales invoices previously issued. The taxation depreciation is $1,100. Under taxation legislation, revenue will be taxable when received. The company is entitled to an offset of $1,000. The company tax rate is 27.5%.

Problem 1: Advise how much tax APC Pty Ltd is required to pay? Show all your working and explanation.

Reference no: EM132716071

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