will you please help me sort out this simple question .
I am a student doing ACCA F6 Taxation , the question requires to calculate the Capital allowance by just giving me the list price for the car £10000 and stated that the company has obtained 10% discount off this price . I am very good at calculating Capital allowance, but for capital allowance purposes the "actual cost" is used rather than the list price.
so is the actual cost is list price less the discount which is £9000 (10000-(10000*10/100)), than this figure will have to be used to calculate the capital allowance.
am I right?