Problem: During the current income year, a taxpayer has an opening pool balance of $300,000. He sold most of the assets in the pool during the year for $350,000. Please state which of the following answer is correct?
Group of answer choices
All of the $350,000 will be assessable and the pool will be continued to be depreciated at the rate of 30%.
The balance of the pool will be reduced by $350,000 and the negative amount will be included in the assessable income as there are no balancing adjustments for a pool as the assets lose their identity in the pool.
There will be a balancing adjustment of $50,000 to be included in the assessable income.
There will be a balancing adjustment of $50000 to be available as a deduction.