Razak owns a trading company selling cloth, Jeans Ltd, with financial year ended on 31 December....

   

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Razak owns a trading company selling cloth, Jeans Ltd, with financial year ended on 31 December. The following is the capital expenditure incurred by the business: A customised computerised online business process incurred in 2022 are as follows: The computer engineer's consultation fee is RM4,000 Software right ownership of RM3,000 Computer system of RM7,000. A general machine costing RM10,000 was purchased in 2020. The cost of modifying land to install the machine at the factory amounts to RM3,000. The machine was subsequently disposed of in 2022 due irreparable flaws. Compensation received from the seller on the faulty issue happened during the warranty period was RM5,000, whilst cost of dismantling was RM2,000. A second-hand heavy machine was purchased to replace the general machine, costing RM30,000. Further modifications were incurred by the company amounting RM10,000 during the year 2022. The office furniture and fitting which were acquired in 2021 for RM6,000, were disposed of in 2022 for RM5,000. The company purchased a company car on a hire purchase basis. The car cost is RM118,000 with a 20% deposit payment and a RM4,000 monthly instalments for a period of 25 months starting from 1 July 2019. In 2022 the car involved in an accident and was declared a total loss. The company received RM65,000 from the insurance company based on the car's sum insured, whilst its market value on scrap sales after the damage was actually RM50,000. Required: Compute capital allowance entitled to Jeans Ltd. Razak owns a trading company selling cloth, Jeans Ltd, with financial year ended on 31 December. The following is the capital expenditure incurred by the business: A customised computerised online business process incurred in 2022 are as follows: The computer engineer's consultation fee is RM4,000 Software right ownership of RM3,000 Computer system of RM7,000. A general machine costing RM10,000 was purchased in 2020. The cost of modifying land to install the machine at the factory amounts to RM3,000. The machine was subsequently disposed of in 2022 due irreparable flaws. Compensation received from the seller on the faulty issue happened during the warranty period was RM5,000, whilst cost of dismantling was RM2,000. A second-hand heavy machine was purchased to replace the general machine, costing RM30,000. Further modifications were incurred by the company amounting RM10,000 during the year 2022. The office furniture and fitting which were acquired in 2021 for RM6,000, were disposed of in 2022 for RM5,000. The company purchased a company car on a hire purchase basis. The car cost is RM118,000 with a 20% deposit payment and a RM4,000 monthly instalments for a period of 25 months starting from 1 July 2019. In 2022 the car involved in an accident and was declared a total loss. The company received RM65,000 from the insurance company based on the car's sum insured, whilst its market value on scrap sales after the damage was actually RM50,000. Required: Compute capital allowance entitled to Jeans Ltd.