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The answer to this question is:-
Calculation of deferred tax liability on assets of Card Ltd-
Fair value- 600,000
Tax base- 375,000
Deferred tax liability- (600,000-375,000) * 40%= 90,000
Deferred tax liability of Holiday= 98,000
Total deferred tax liability= 90,000 + 98,000= 188,000
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