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Dear teacher,
The context is “On 30 June 2014 Jorge sold a house for £308000. The house had been purchased on 1Jan 1997 for £93000. On 10 June 2004, Jorge had incurred legal fees of £5000 in relation to a boundary dispute with his neighbor.” I just wonder the reason why we should less £5000(enhancement expenditure) in order to calculate CG. I am confused about it because I think it is an irrelevant cost with purchase.
I am desperately looking forward to your help.
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