Answered step by step
Verified Expert Solution
Question
1 Approved Answer
A wholesale business with a December 31 year end purchased new equipment on November 25, 2018, for $40,000. Before 2018, the business owned no other
A wholesale business with a December 31 year end purchased new equipment on November 25, 2018, for $40,000. Before 2018, the business owned no other equipment Required: 1 Complete the table below to show the tax consequences of the business sells the equipment in 2020 for (a) $15,000? (b) $23.000? (c) $46,000? (Use a minus sign (-) when entering numbers that reduce UCC:) 2018 purchase 2018 CCA 2018 UCC 2019 CCA 2019 UCC $ $ $ 40.000 4,000 36,000 $ 7.200 S 28 800 2019 UCC $ Situation A $ $ Less disposal Proceeds Interim UCC Balance Terminal Loss Ending UCC 28,800 15,000 43,800 (43 800) 0 $ $ $ Situation B 2019 UCC Less disposal Proceeds Interim UCC Balance Terminal Loss Ending UCC 28.800 23,000 51,800 $ $ 51 800 $ Situation C 2019 UCC Less disposal Proceeds Interim UCC Balance $ 28.800 46,000 74.800 $
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started