A trading organization provided the following information: Years1234567Profit (loss) (Rs.)(50,000)(40,000)1,00,00050,000(30,000)80,000150,000 On scrutiny it is observed that a donation of Rs. 20,000…

A trading organization provided the following information: Years1234567Profit (loss) (Rs.)(50,000)(40,000)1,00,00050,000(30,000)80,000150,000 On scrutiny it is observed that a donation of Rs. 20,000 was given to an organization (approved by IRD) and charged in year one. The profit of the year 3 was derived after deducting PCC of Rs. 30,000. Similarly, the profit of year 6 was derived before deducting interest on bank loan of Rs. 10,000. Required: Taxable income and giving explanation wherever necessary. [4+1]