Taxation 107 – Unit 2

Activity 12: Calculation of capital allowances

Asset Additions Disposal details Decline details Closing

adjustable value

Acquired Effective life Cost Date Proceeds Profit/ Method Decline

(years) A$ (loss)

Air conditioner 01/07/06 20 45,000 DV 3,375 41,625

Espresso machine 01/01/07 13.33 65 DV 4 61

Payroll software 01/12/06 2.5 985 PC 229 756

Office furniture 01/02/07 13.33 32,000 DV 1,480 30,520

Ute 01/07/06 8 16,000 PC 2,000 14,000

Motor Vehicle 01/07/06 8 57,009 DV 10,689 46,320

Copyright 01/07/06 25 8,000 PC 320 7,680

Computer 01/07/06 4 3,000 DV 1,125 1,875

Unit 2: Capital gains, capital allowances and accounting for taxes