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Chargeable gains – Chpt 13 example 5

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA TX-UK Exams › Chargeable gains – Chpt 13 example 5

  • This topic has 1 reply, 2 voices, and was last updated 10 months ago by JillyB.
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  • July 31, 2024 at 8:30 pm #709051
    Zuzie
    Participant
    • Topics: 20
    • Replies: 23
    • ☆

    Class notes example 5 pg 121

    Please tell what is the base cost on the 750,000:

    New purchase cost – 750,000
    Less ROR (70,000)
    Base cost 680,000

    If alternatively we use 800,000 for the cost, why because in previous examples she used the new purchase cost and not the original purchase cost?

    Thanks for taking the time to answer my question.

    August 1, 2024 at 9:46 am #709066
    JillyB
    Keymaster
    • Topics: 0
    • Replies: 899
    • ☆☆☆☆

    When calculating the base cost – it’s what you PAID for it less ROR

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