User Account

All Pages

Calculate the net capital gain

Assignment Help Accounting Basics
Reference no: EM133184589

Question - Jimmy Collins, an Australian resident, exchanged contracts for the acquisition of an investment property, at market value, on 24 January 2019, paying a 10% deposit of $90,000, Property settlement was deferred unit December 2019, when the balance of $810,000 was paid, title transferred, and his name was recorded as the registered owner At the time of settlement (December 20191, the market value of the property was $1m.

He sold the property on 14 june 2020 for $1.7m.

Jimmy also had carried forward losses from previous years of $40,000 relating to the sale of shares.

Required - Answer the following two questions:

(a) Identify the type of CGT events) and the timing of the event(s).

(b) Calculate the net capital gain, if any, on the disposal of the investment property for the 2019/20 income year.

Reference no: EM133184589

Questions Cloud

What change management model : What change management model (such as Lewin's, Kotter's, or ADKAR) should be used, and why
Summary of the regulated competition model : Apply your critical review to the country chosen by your colleague and provide an accurate description of the level of fulfilment of the 10 pre-conditions
Explain in details whether bic ltd is a subsidiary of alice : Alice Ltd owns 40% of the shares of Bic Ltd. Another 25% of the shares of Bic is owned by Can Ltd. Explain in details whether Bic Ltd is a subsidiary of Alice
Classify allison as an excepted or prescribed person : Interest from Allison other bank account in which she banked her receipts for her employment activities $240. Classify Allison as excepted or prescribed person
Calculate the net capital gain : He sold the property on 14 june 2020 for $1.7m. Calculate the net capital gain, if any, on the disposal of the investment property for the 2019/20 income year
Recursive algorithms through appropriate application : Implement the sorting algorithm and C++ Standard Library tasks below to demonstrate your understanding of the development and utilisation of important algorithm
What is the management primary goal : What is the management's primary goal? Is maximizing shareholder value inconsistent with being socially responsible? Explain
Calculate the equivalent units of production-conversion cost : BTS Products Company uses an automated process to manufacture its pet replica products. Calculate the Equivalent Units of Production - Conversion Cost
What is meant by stock split effected in form of a dividend : What is meant by stock split effected in form of a dividend. How should a stock dividend that has been declared but not yet issued be classified

Reviews

Write a Review

Accounting Basics Questions & Answers

  What was the rate of return from investing in the stock

At the end of 2008 it had a market value of $224 million, or 1.6 times book value. What was the rate of return from investing in the stock

  Which is most likely acceptable measurement for agricultural

Which is most likely an acceptable measurement for agricultural produce? lower of cost and Net Realizable Value. / lower of cost and FV less cost to sell

  Michaels company segments its income statement into its

michaels company segments its income statement into its east and west divisions. the companys overall sales

  When does economic performance occur

Assume XYZ completes the renovation in February 2019. When does economic performance occur? When can Elppa deduct the $200,000 payment

  What should do to display those tasks without affecting

Nils needs to review the Procurement tasks in his project, What should do to display those tasks without affecting the rest of the project?

  Determine the price of a commodity

Explain how supply and demand determine the price of a commodity. Why the US dollar is the most sought-after currency? Explain the concept of imitability.?

  Which one of following statements describes the rules about

which one of the following statements describes the rules about posting transactions into t-accounts in the ledger? for

  Compute the net-profit margin for each of these years

Accounting 205- Above is a comparative income statement for Cecil, Inc. for the years 2010, 2011, and 2012. Calculate the net-profit margin for each of these years. Comment on the profit margin trend.

  Discuss what about as an analyst

What about as an analyst. Would you like the amounts broken down into two categories or are you content with a condensed version

  Compute the present value of annual payment

Assume that Sonic Foundry Corporation has a contractual debt outstanding. Compute the Present value of annual payment

  Depreciation expense using the sum of the years

Compute 2010 depreciation expense using the sum-of-the-years'-digits method assuming the machinery was purchased on April 1, 2010.

  What is the weighted cost of capital for wright express

Wright Express (WE) has a capital structure of 30% debt and 70 %equity. what is the weighted cost of capital for WE? Assume WE has a beta of 1.20.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd