1) In which one of the following situations is the individual or corporation considered resident in Canada throughout 20x6? A. Bob Smith, a member of the Canadian Armed Forces, was born in Canada and lived in Canada until 20X5 when he was stationed outside Canada, in Afghanistan. He will continue to be stationed in Afghanistan until 20x9 B. Richard Rush, an accountant, has always lived in the United States except for a seven month term when he was on loan to the Canadian office of his employer. He came to Canada on November 1, 20X5 and went back to the United States on May 1, 20x6. C. Karen Koring has always lived in Canada working as a marketing executive. On September 1, 20X6 she permanently moved from Canada to Germany. D. Americo Inc. carried on business in Canada throughout 20X6. Americo Inc. was incorporated in the United States in 1996 and has always been managed by the Board of Directors who reside in the United States. 2) Laren Ltd. is a Canadian-controlled private corporation. For the year ended December 31, 20X4, the company's net income for tax purposes consisted of the following: Income from Canadian retail business, net of capital cost allowance $230,000 Income from disposal of warehouse used in the retail business: Taxable capital gain 50,000 Recaptured depreciation 140,000 Dividends received from Streak Ltd., an associated corporation, carrying on a manufacturing business in Canada 60,000 Interest received from Streak Ltd. on inter-company loan Interest received on accounts receivable outstanding for more than 60 days in the Canadian retail business 5,000 Total Taxation A. $230,000. B. $255,000. 20,000 $505,000 11 Page C. $395,000. D. $430,000. 3) Jill Mahoney is a self-employed business consultant. For the year 20X4, which one of the following statements is correct? A. Jill's tax return is due April 30, 20X5 and any balance of tax owing is due April 30, 2005. B. Jill's tax return is due April 30, 20X5 and any balance of tax owing is due June 15, 20x5. C. J's tax return is due June 30, 20X5 and any balance of tax owing is due April 30, 2005. D. Jal's tax return is due June 15, 20X5 and any balance of tax owing is due April 30, 2005. 4) Which one of the following statements related to tax payable by the estate of a deceased taxpayer is NOT correct? A. Unclaimed charitable donations can be carried back and claimed in the year prior to death. B. Medical expenses paid can be pooled for any 24-month period that includes the date of death C. Capital losses in excess of capital gains may be deducted from other sources of