Which is the following is not a method under Section 70-45(1) ITAA97 by which a taxpayer can choose to value each item of stock on hand at the end of the income year based on its;

Select one:

a. Replacement Value (ie the amount the taxpayer would have to pay to replace the stock)

b. Cost (ie the amount incurred in acquiring the item or bringing it into existence)

c. Market Selling Value (ie the amount for which the stock could be sold in the ordinary course of the taxpayers business)

d. A reasonable lower value for trading stock, where the trading stock is obsolete or there are other special circumstances

Which of the following is incorrect:

Select one:

a. A school buys a chair, it can claim an input tax credit on the chair.

b. A caf sells a bottle of water with a dine in meal, the water is a GST free supply. A dentist fixes a tooth, this is a GST free supply.

c. A supermarket sells a cake with a value of $5.50 the GST on the cake is 55 cents.

d. A car yard buys a new car, it can claim an input tax credit on the car.