Economics · Taxation
Ronald has always prepared his accounts to 31 March and elected to use the accruals basis. On 31 March 2025 Ronald ceased trading. The tax written down value of the main pool at 1 April 2024 was £15,000. On 1 January 2025 Ronald purchased a laptop solely for business use costing £4,500. On 31 March 2025 all the items in the main pool were sold for £14,550 apart from the laptop which was retained by Ronald. The market value of the laptop at 31 March 2025 was £4,150. None of the items in the main pool were sold for more than their original cost. What is the capital allowance or balancing charge for the year ended 31 March 2025?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
Share:
- 1£800 capital allowance✓
- 2£800 balancing charge
- 3£450 balancing charge
- 4£144 capital allowance
Correct answer
£800 capital allowance
Download Single Question PDF
Save this question and verified answer as a clean study sheet with live clickable link.
👥
Share with Friends & Study Groups
Challenge your peer aspirants on WhatsApp or Telegram to solve this question!
Online Test Series
Start Free Mock Test →Preparing for Economics?
Practice full-length mock tests with real exam timers, instant score analysis, and all-India ranking.
Chapter Practice
Practice Taxation MCQs →Want more practice questions on Taxation?
Solve complete topic-wise tests with detailed solutions on GkGet.
Related Practice Questions
Recommended practice questions in Economics · Taxation