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Kustom Kennels Ltd manufactures prefabricated sheds, ranging from industrial sheds and garden sheds down to small items such as dog kennels.

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  1. Outline the requirements of AASB 112 in relation to the recognition of deferred tax assets from long-service leave and retrenchment liabilities. How do these requirements differ (if at all) from the recognition requirements for deferred tax assets from tax losses?

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