Practice assessment 1 task 1.3

Nataliedory
Nataliedory Registered Posts: 26
How do you get to the answer of £5265 for the question about jules moved into a house provided by clartt Ltd on 1 Aug 2013 when’s it market value was £320,500. The house cost Clartt Ltd £236,000 in Jan 2007. The house has an annual value of £6,900. Jules pays £750 per month towards the use of the house!!

Please help!!!

Comments

  • hal978
    hal978 Registered Posts: 197 Dedicated contributor 🦉
    Market value is used instead of cost price due to the 6-year rule.
    (£320,500 - £75,000) x 3% = £7,365
    £7,365 + £6,900 - (£750 x 12) = £5,265
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