alleryStart learning →Accrued expenses of Rs. 100 will be deducted for tax only when paid in cash. Their tax base is:
ARs. 200
BNil
CRs. 25
DRs. 100
Answer & Solution
Correct answer: B. Nil
The tax base of a liability is its carrying amount less the amount deductible in future, here 100 - 100 = nil.
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