PTAX HELP :(

JoshhSwFc

Joyce bought an asset in April 2002 for £105,000 and sold it in November 2015 for £148,600. Joyce paid auctioneer's commission of 7.5% when she bought the asset and auctioneer's fees of 10% on the sale value of the asset.

What is the gain arising from the disposal of this asset?

the answer is £20,865.. how is it calculated?





It may be really simple but my heads fried at the minute.

Cheers

MarieNoelle

Proceeds = 148,600
Less Auctioneers fees = 148,600 x 10% = 14, 860
Net proceeds = 133,740

Cost= 105,000
Add commission 7.5% x 105,000 = 7,875
Total cost = 112,875

Gain = 133,740 - 112,875 = 20,865

JoshhSwFc

ahh thanks so much, i was getting confused on which fees to add and take off!