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NEW QUESTION: 1
AB's financial information shows that the non current assets' carrying value is greater than the tax base at the year end.
What is the journal entry to record the movement in the provision for deferred tax resulting from this difference?
A. Dr Deferred tax provisionCr Other comprehensive income
B. Dr Other comprehensive incomeCr Deferred tax provision
C. Dr Tax expenseCr Deferred tax provision
D. Dr Deferred tax provisionCr Tax expense
Answer: C

NEW QUESTION: 2
A listed company is planning a share repurchase.
The following data applies:
* There are 10 million shares in issue
* The share repurchase will involve buying back 20% of the shares at a price of $0.75
* The company is holding $2 million cash
* Earnings for the current year ended are $2 million
The Directors are concerned about the impact that this repurchase programme will have on the company's cash balance and current year earnings per share (EPS) ratio.
Advise the directors which of the following statements is correct?
A. The cash balance will decrease by 20% and the EPS will increase by 25%.
B. The cash balance will decrease by 75% and EPS will decrease by 25%.
C. The cash balance will decrease by 20% and the EPS will decrease by 25%.
D. The cash balance will decrease by 75% and EPS will increase by 25%.
Answer: D

NEW QUESTION: 3


A. Option
B. Option
C. Option
D. Option
E. Option
Answer: B,D

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