Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Brett owns a business and during the current income year, Brett has an opening pool balance of $3,000. He sold most of the assets

image text in transcribed

Brett owns a business and during the current income year, Brett has an opening pool balance of $3,000. He sold most of the assets in the pool during the year for $3,500. Please state which of the following answer is correct? O All of the $3,500 will be assessable and the pool will be continued to be depreciated at the rate of 37.5%. The balance of the pool will be reduced to nil and $1,625 will be included in the assessable income as there is no balancing adjustments for a pool. Th There will be a balancing adjustment of $1,625 to be included in the assessable income. There will be a balancing adjustment of $1,625 to be available as a deduction.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting Theory and Analysis Text and Cases

Authors: Richard G. Schroeder, Myrtle W. Clark, Jack Cathey

11th edition

9781118806500, 1118582799, 1118806506, 978-1118582794

More Books

Students also viewed these Accounting questions

Question

Outline the key points of the 12 ratios discussed in this chapter.

Answered: 1 week ago