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7. Individual H sold a non-depreciable capital asset, with an adjusted cost base of $70,000 and a current value of $100,000, to a corporation. H

7. Individual H sold a non-depreciable capital asset, with an adjusted cost base of $70,000 and a current value of $100,000, to a corporation. H received a note for $40,000 and shares of the corporation valued at $60,000. To avoid any tax on the transfer, a section 85 election was filed by H and the corporation. What is the adjusted cost base of the shares of the corporation received by H

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