On 1 novemebr 1992 doug had anice home in sydeny and so he acquired a second hand lounge room set of furniture for $11000 he sold the loung room set in september 2020 for $16000 calculate the indexed cost base for capital gains tax purposes rounded to the nearest dollar

On 1 novemebr 1992 doug had anice home in sydeny and so he acquired a second hand lounge room set of furniture for $11000 he sold the loung room set in september 2020 for $16000 calculate the indexed cost base for capital gains tax purposes rounded to the nearest dollar

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

On 1 novemebr 1992 doug had anice home in sydeny and so he acquired a second hand lounge room set of furniture for $11000

he sold the loung room set in september 2020 for $16000

calculate the indexed cost base for capital gains tax purposes rounded to the nearest dollar

Definition Definition Increase in the value of a capital asset and the amount that is realized when the asset is sold off. A capital gain may be short-term or long-term depending on the tenure for which the asset is held.

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