Lily Eagle Training Solutions (LETS) is a training company in Pretoria, 3 years ago LETS acquired R10million worth of buildings that qualifies for 10% annual depreciation allowance until it is disposed. The buildings were disposed of for R9.5 million. Calculate the surplus on disposal and show how this surplus is made up of.

Answer rating: 100% (QA)

The surplus on disposal of the buildings is the difference between the disposal value and the value of the buildings at the time of disposal accumulat... View the full answer