Practice exam 1 BPP book- time apportion an expense

pirate Registered Posts: 469 Dedicated contributor 🦉
Hi there

anyone done task 1 of the BPP exam section 1
The notes say that the car was bought for one of the partners george in Dec 2009
Accounts are made up to April 2010

He uses the car for business 75% of the time, there was no car prior to this

these are motor expenses for George annually of 6600
Orginally I did 25% of 6600
but then I thought he has only had the car for 4 months then it should be 25% of £66o0 *4/12 which comes to £550

The answeer shows £1650 so 25% of the expenses for the year.
As a lot of the answers in the BPP are incorrect I dont trust it 100% so was just checking with people if this expense would in fact by time apportioned in this way.

any thoughts


  • Ampsie
    Ampsie Registered Posts: 145 Dedicated contributor 🦉

    I would have said that is correct. When calculating the adjusted profit you don't need to time apportion for a shorter cap until you get to working out the capital allowanaces.

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