A proprietorship has a calendar fiscal year and acquires a machine on April 1, 2020.

The machine has a cost of $56,000. The proprietor pays a contractor $17,000 to install the machine and pays a non-refundable provincial sales tax of $4,500.

The machinery is Class 8 equipment with a CCA rate of 20%.

Assuming that the opening UCC for Class 8 assets is $0, what is the maximum CCA that can be deducted for this machine in the fiscal year 2020?

Choose the correct answer.

a) $15,000

b) $7.750

c) $23,250

d) $21,900