Jacob’s grandfather died on 1 November 2009 and, in her will, left Jacob cash and watches worth $500,000. The watches had been bought by Jacob’s grandmother in August 1985 at a cost of $40,000, and its market value on 1 November 2009 was $150,000. Jacob used the money from his grandfather and his savings to buy the following assets in January 2010: an apartment in Melbourne (cost was $360,000 plus $20,000 legal fees and stamp duty), a rare painting (cost was $50,000), and 2,000 bank shares (cost was $20 per share, plus $200 brokerage). In 2019/20, Jacob disposed of these assets as follows: on 12 March 2020, he sold the apartment for $470,000 – he had lived in it all the time he owned it, on 1 April 2020, the painting was stolen from his apartment – he received $30,000 compensation from his insurance company, on 13 May 2020, Jacob sold 1000 bank shares for $30 per share (brokerage cost $150), and on 15 June 2020, he lost the watches, which wasn’t insured, when he left his briefcase on a train. Question 1. Prepare a report that explains the CGT consequences of these transactions