QUESTION TWO

A company purchased $2,500$ meters squared $(2,500m^2)$ of land on which the following buildings were constructed at a total cost of $$100,000,000.$ All of the buildings were brought into productive use at the same time, on January $1",2024.$

$($i$)$ A factory and administrative office block costing $$65,000,000$ in total, which was built entirely of concrete. Machinery and equipment were subsequently installed. See also note $($iv$).$

$($ii$)$ A canteen, restroom facilities and a sickbay for the factory staff costing $$20,000,000$ constructed of concrete. There was no machinery in this building.

$($iii$)$ The balance of the cost of $$15,000,000$ was expended to construct a combination showroom and shop space to sell the manufactured items to customers desirous of purchasing at the low factory price. The building was constructed out of a new material, derived entirely from super$-$compressed bamboo and wood fibres.

$($iv$)$ The administrative offices were constructed adjacent $($immediately adjoining without an intervening space and sharing a common wall$)$ to the factory building. These offices were constructed out of concrete. It was difficult to determine the separate cost of the offices as a part of the $$65,000,000$ factory cost overall. However, measurements according to the floor plan, yielded the following details:

$\backslash$table$[[$Building Use,Area Occupied$],[$Factory$,900m^2$

APPENDIX

NB: Annual Allowances are to be calculated on the straight$-$line basis unless specifically indicated otherwise.

$\backslash$table$[[$Plant

APPENDIX

NB: Annual Allowances are to be calculated on the straight$-$line basis unless specifically indicated otherwise.

$\backslash$table$[[$Plant