Mary owns an investment property from which she derives rent. Mary uses a low value pool...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Mary owns an investment property from which she derives rent. Mary uses a low value pool which, at 30th of June 2020, had a balance of $2300. Mary also has an air conditioning unit that she had depreciated using the diminishing value method over its life of 10 years. The adjustable value at 30th June 2020 was $850 On 1 October 2020 Mary bought an alarm for the property which cost $720 On 31 March 2021. Mary sold a clothes dryer for $250 as her tenants no longer wish to use it. The dryer had been previously placed in the asset pool. Calculate the balance of Mary's low value pool as at 30 June 2021 and the decline in value deduction available for the 2020/21 (current) tax year by stating the answers in the spaces provided. Just write the figures without any commas e.g. 1200. The percentages must be written with decimals where applicable, e.g. 27.5 or 100, but without the percentage sign. UNIFORM CAPITAL ALLOWANCES EXISTING ASSETS AND NEW ASSETS YEARITEM CP OAV 1/7 Pool 1/7 Aircon 2300 RATE DAYS Decline in Value CAV DISPOSALS AV SPB/A (at sale) Mary owns an investment property from which she derives rent. Mary uses a low value pool which, at 30th of June 2020, had a balance of $2300. Mary also has an air conditioning unit that she had depreciated using the diminishing value method over its life of 10 years. The adjustable value at 30th June 2020 was $850 On 1 October 2020 Mary bought an alarm for the property which cost $720 On 31 March 2021. Mary sold a clothes dryer for $250 as her tenants no longer wish to use it. The dryer had been previously placed in the asset pool. Calculate the balance of Mary's low value pool as at 30 June 2021 and the decline in value deduction available for the 2020/21 (current) tax year by stating the answers in the spaces provided. Just write the figures without any commas e.g. 1200. The percentages must be written with decimals where applicable, e.g. 27.5 or 100, but without the percentage sign. UNIFORM CAPITAL ALLOWANCES EXISTING ASSETS AND NEW ASSETS YEARITEM CP OAV 1/7 Pool 1/7 Aircon 2300 RATE DAYS Decline in Value CAV DISPOSALS AV SPB/A (at sale)
Expert Answer:
Related Book For
Public Finance A Contemporary Application of Theory to Policy
ISBN: 978-1285173955
11th edition
Authors: David N Hyman
Posted Date:
Students also viewed these accounting questions
-
Bob has recently inherited an investment property from his late father. His father bought the property in 1999 for $200,000 and the executor of the estate had it valued at $500,000 for purposes of...
-
The discharge moist air from a clothes dryer is at 35oC, 80% relative humidity. The flow is guided through a pipe up through the roof and a vent to the atmosphere. Due to heat transfer in the pipe...
-
Alex is comparing two mortgage opportunities for his potential $120,000 mortgage. Mortgage A: 15 years at 5% with monthly payments of $948.95 Mortgage B: 20 years at 5.5% with monthly payments of...
-
A woman flies from Phoenix to Denver (a distance of 800 mi) at a rate 40 mph faster than on the return trip. If the total time of the trip is 9 hrs, what was her rate going to Denver, and what was...
-
A statement of an automobile dealer follows: Freeway Volvo, Inc. Statement of Profit and Loss December 31, 20X0 List and describe any shortcomings of this statement. Revenues Sales Increase in market...
-
Please watch the following video(s): 1. The Art of Effective Communication by Marcus Alexander Velazquez (12:07) https://www.youtube.com/watch?v=2Yw6dFQBklA&t=25s&ab_channel=TEDxTalks Now form small...
-
P 70 Use the Standard Normal Table or technology to find the z-score that corresponds to the cumulative area or percentile. Table 4-Standard Normal Distribution Arca Z 0 Z .09 .08 .07 .06 .05 .04 .03...
-
The following table gives the systolic blood pressure (SBP), body size (QUET), age (AGE), and smoking history (SMK = 0 if a nonsmoker, SMK = 1 if a current or previous smoker) for a hypothetical...
-
Discuss the challenges and opportunities of scaling up process intensification concepts from laboratory-scale experiments to industrial-scale applications, addressing issues related to...
-
A manufacturing process uses four interchangeable raw materials. The raw materials differ in properties, which leads to different output units per unit of raw material. They also differ in cost and...
-
A 73-kg cross-country skier glides over snow as in the figure below. The coefficient of friction between skis and snow is 0.15. Assume all the snow beneath her skis is at 0C and that all the internal...
-
XYZ sells its products to customers on credit. The credit terms are 2/10, net Only 80 per cent of the customers avail themselves of the discount and pay 10 days after the billing. a. What is the...
-
Read Eye on the Price of Gasoline on p. 121 and then explain why the demand for gasoline is more inelastic in the short run than in the long run. Which is likely to be more inelastic, the demand for...
-
A monatomic ideal gas is enclosed in a cubic box of side length \(\ell\). While preserving the cubic shape, the container volume is decreased until the side length is halved, and this change causes...
-
Problems P3.2, P3.9 and P3.10 have shown how the efficiency of a basic Rankine cycle can be improved, but even after superheating the steam leaving the turbine is still wet. This situation could be...
-
For more than a century, American unions have played an important role in the workplace, striving to improve the working conditions and quality of life of employees. Today, federal laws cover many of...
-
Consider Figure 5.6. In the global market for wine, the EU is willing to supply as much wine as the US demands at $8 per bottle. If the US imposes a quota of 15 bottles of wine, how much revenue will...
-
A liquid flows upward through a valve situated in a vertical pipe. Calculate the differential pressure (kPa) between points A and B. The mean velocity of the flow is 4.1 m/s. The specific gravity of...
-
Suppose, as a result of the imposition of a 5 percent local property tax, the rent on a parcel of property increases from $12,000 to $12,500 per year. Assuming that the current rate of discount is 8...
-
The current tax rate paid by employees in a company on their income is 30 percent. Currently, the employer provides workers with a health insurance policy that is worth $3,000 per year. a. Assuming...
-
Use the data from Problem 1 to plot the worker's daily money income-leisure trade-off line. To do so, calculate her daily pension and assume 150 working hours in a month. Assume that the worker is...
-
You manage a small ice cream shop in which your employees scoop the ice cream by hand. Each night, you total your sales and the total volume of ice cream sold. You find that on nights when an...
-
At the Web sites of the American Lung Association and the U.S. Environmental Protection Agency, find statistical data concerning the health effects of secondhand (passive) smoke. Write a short...
-
Find two examples of data distributions in recent news reports; they may be given either as tables or as graphs. In each case, state the range of the distribution and explain its meaning in the...
Study smarter with the SolutionInn App