Question 5self emp. Note 1,2,4 - Sample

Answer

ACCA TX (F6 UK) Past papers Answers A5 ACCA TX (F6 UK) Past papers Answers A5

Note:
The balancing allowance for the final 5 month period is £1,900 (this will be deducted from the trading profit.

This is because, in the final period of trading, no writing down allowances are given, whatever remains in the pool is given as a full allowance.

£2,200 (b/f) + £1,700 (purchase) - £1,200 (personally retained) - £800 (sale) = £1,900 balancing allowance