In 2021, a business bought a non-current asset for $300000. Depreciation is charged on the reducing balance method at 40% per annum. A complete year’s depreciation is recorded in the year the asset is acquired, but no depreciation is charged in the year it is sold. The business has a financial year ending on 31 December. During 2023, the asset was disposed of for $150000, and disposal costs amounting to $15000 were paid. What profit was made on disposal?
- A$27000
- B$42000
- C$57000
- D$70200