A company resident in Trinidad and Tobago purchased the following assets in 2022: Asset Cost $ USD Honda Motor car purchased in May 2022 38,000 Heavy Equipment 50,000 Computer (CPU) 4,000 Factory Buildings 72,000 i. What would be the difference in capital allowances for 2023 if this company was resident in Jamaica instead of Trinidad and Tobago. ii. State two reasons for the difference. iii. Explain two circumstances in which obtaining capital allowances on the reducing balance basis may be more beneficial than on the straight-line basis
A company resident in Trinidad and Tobago purchased the following assets in 2022: Asset Cost $ USD Honda Motor car purchased in May 2022 38,000 Heavy Equipment 50,000 Computer (CPU) 4,000 Factory Buildings 72,000 i. What would be the difference in capital allowances for 2023 if this company was resident in Jamaica instead of Trinidad and Tobago. ii. State two reasons for the difference. iii. Explain two circumstances in which obtaining capital allowances on the reducing balance basis may be more beneficial than on the straight-line basis
Chapter1: Financial Statements And Business Decisions
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part 1 A company resident in Trinidad and Tobago purchased the following assets in 2022: Asset Cost $ USD Honda Motor car purchased in May 2022 38,000 Heavy Equipment 50,000 Computer (CPU) 4,000 Factory Buildings 72,000 i. What would be the difference in capital allowances for 2023 if this company was resident in Jamaica instead of Trinidad and Tobago. ii. State two reasons for the difference. iii. Explain two circumstances in which obtaining capital allowances on the reducing balance basis may be more beneficial than on the straight-line basis.
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SWFT Comprehensive Volume 2019
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ISBN: 9780357233306
Author: Maloney
Publisher: Cengage
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Question
1
part 1
A company resident in Trinidad and Tobago purchased the following assets in 2022:
Asset Cost $ USD
Honda Motor car purchased in May 2022 38,000
Heavy Equipment 50,000
Computer (CPU) 4,000
Factory Buildings 72,000
i. What would be the difference in capital allowances for 2023 if this company was
resident in Jamaica instead of Trinidad and Tobago.
ii. State two reasons for the difference.
iii. Explain two circumstances in which obtaining capital allowances on the reducing balance
basis may be more beneficial than on the straight-line basis
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