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- This topic has 5 replies, 2 voices, and was last updated 2 weeks ago by JillyB.
- February 27, 2023 at 1:09 pm #679707
Extract from E commerce
E-Commerce plc has claimed a deduction for repairs of £95,300 in respect of a warehouse which was purchased on 21 May 2021. The warehouse was purchased in a dilapidated state, and could not be let until the repairs were carried out. This fact was represented by a reduced purchase price. The property was first let out on 1 July 2021.
Extract from Maison Ltd
On 1 July 2020, Maison Ltd purchased a freehold warehouse. The warehouse is currently surplus to requirements, so it was let out from 1 November 2020. However, the warehouse was purchased in a dilapidated state and could not be let until repair work was carried out during August 2020. This fact was represented by a reduced purchase price.
Initial repair 17680.
In case above we are taking SBA for repairs. In below we are not. Can you tell what is difference.February 28, 2023 at 12:04 pm #679782
I think that although both were delapidated, the fact that the second was let out and not used in the business and is therefore an investment propoerty is the difference.February 28, 2023 at 12:27 pm #679789
Above one was also let out. It is written in last line.March 1, 2023 at 4:30 pm #679893
Yes I know that both are let out. But one is an investment and the other used in a business – hence the differenceMarch 1, 2023 at 4:54 pm #679904
Surplus to requirement tells that it is not used in business?March 2, 2023 at 3:31 pm #679979
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