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On 1 July 1987 Charles acquired a leather sofa for $30,000. Charles borrowed $29,000 of the money from Corp Bank. The loan was a fixed

On 1 July 1987 Charles acquired a leather sofa for $30,000. Charles borrowed $29,000 of the money from Corp Bank. The loan was a fixed interest loan on which Charles paid interest of $19,000. Charles sold it in September 2018 for $61,000.

Required: Calculate the indexed cost base for Capital Gains Tax purposes.

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