Pickford v Quirke – CA 1927, 13 TC 251. A syndicate purchased a cotton-spinning mill with the intension of using it in a trade, however, on purchase of the mill it was in a worse state than first anticipated. They later decided to strip the mill of its assets and sell it piecemeal, making a profit. This was repeated a number of times with a number of mills. This was an example of : a. Capital transaction. b. Adventure in trade

Pickford v Quirke – CA 1927, 13 TC 251. A syndicate purchased a cotton-spinning mill with the intension of using it in a trade, however, on purchase of the mill it was in a worse state than first anticipated. They later decided to strip the mill of its assets and sell it piecemeal, making a profit. This was repeated a number of times with a number of mills. This was an example of : a. Capital transaction. b. Adventure in trade

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter7: Operating Assets

Section: Chapter Questions

Problem 77.1C

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b.
Adventure in trade

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