• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
Free ACCA & CIMA online courses from OpenTuition

Free ACCA & CIMA online courses from OpenTuition

Free Notes, Lectures, Tests and Forums for ACCA and CIMA exams

  • ACCA
  • CIMA
  • FIA
  • OBU
  • Books
  • Forums
  • Search
  • Register
  • Login
  • ACCA Forums
  • Ask ACCA Tutor
  • CIMA Forums
  • Ask CIMA Tutor
  • FIA
  • OBU
  • Buy/Sell Books
  • All Forums
  • Latest Topics

Congratulations to Jamil from Pakistan and Jeeva from Malaysia - Global Prize winners!
see all ACCA December 2022 Genius Hunt Competition winners >>

Specially for OpenTuition students: 20% off BPP Books for ACCA & CIMA exams – Get your BPP Discount Code >>

disposal of copyright

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA TX-UK Exams › disposal of copyright

  • This topic has 2 replies, 2 voices, and was last updated 1 year ago by twinkling.
Viewing 3 posts - 1 through 3 (of 3 total)
  • Author
    Posts
  • July 21, 2021 at 4:09 pm #629048
    twinkling
    Participant
    • Topics: 4
    • Replies: 3
    • ☆

    31 March 2021, Jessica sold a copyright for £28,800. The copyright had been purchased
    on 1 April 2015 for £21,000 when it had an unexpired life of 15 years.
    What is Jessica’s chargeable gain in respect of the disposal of the copyright
    A £0
    B £20,400
    C £16,200
    D £7,800
    the solution in the text
    ale proceeds 28,800
    Less: Allowable element of acquisition cost (W) (12,600)
    –––––––
    Chargeable gain 16,200
    –––––––
    Working: Allowable element of acquisition cost
    Remaining life at disposal = 9 years
    Estimated useful life = 15 years

    Allowable cost = £21,000 × 9/15 = £12,600
    Hello Sir may you please help me understand why they used the remaining years 9 instead of the period of ownership 6

    July 26, 2021 at 1:50 pm #629488
    Tax Tutor
    Member
    • Topics: 2
    • Replies: 3965
    • ☆☆☆☆☆

    If you look back to the Study Notes (page 78 Section 6) you will see that the use of the period of ownership of the seller is the amount BY which you REDUCE the original cost in order to calculate the figure of allowable cost which will give you the same result.

    July 28, 2021 at 5:35 am #629618
    twinkling
    Participant
    • Topics: 4
    • Replies: 3
    • ☆

    thank you Sir

  • Author
    Posts
Viewing 3 posts - 1 through 3 (of 3 total)
  • You must be logged in to reply to this topic.
Log In

Primary Sidebar

ACCA News:

 

ACCA My Exam Performance for non-variant Applied Skills exams is available NOW

NEW! Download the ACCA Pass Guide

FREE Verifiable CPD for ACCA Members

ACCA mock exams and debrief videos

ACCA Options:  “Read the Mind of the Marker” articles

Subscribe to ACCA’s Student Accountant Direct

Donate

If you have benefited from OpenTuition please donate.

ACCA CBE 2023 Exams

Instant Poll * How was your exam, and what was the result?

BT CBE exam was.. | MA CBE exam was..
FA CBE exam was.. | LW CBE exam was..

Specially for OpenTuition students

20% off BPP Books

Get BPP Discount Code

Latest comments

  • cBarsoum on The Stages of an Audit – Appointment – ACCA Audit and Assurance (AA)
  • John Moffat on Revaluation Reserve – ACCA Financial Accounting (FA) lectures
  • John Moffat on Revaluation Reserve – ACCA Financial Accounting (FA) lectures
  • CHICCO.J on ACCA AB Chapter 1 – The nature and structure of organisations – Questions
  • Joanne94 on Irrecoverable Debts and Allowances Example 3 – ACCA Financial Accounting (FA) lectures

Copyright © 2023 · Support · Contact · Advertising · OpenLicense · About · Sitemap · Comments · Log in


We use cookies to show you relevant advertising, find out more: Privacy Policy · Cookie Policy