Peter has a car that he uses 60% in his business. He purchased it on 1 April three years ago for a cost of $47 000 and the adjustable value of the car on 29 June of the current tax year was $24 020. He sold the car for $27 000 on 29 June of the current tax year. What amount should Peter include in his assessable income or claim as an allowable deduction as a result of selling the car?

Select one:

1. $13 788 as assessable income.

2. $24 020 as assessable income.

3. $1788 as assessable income.

4. $2980 as a deduction.

5. $2980 as assessable income.