Question
A1A is a proprietorship that has a calendar fiscal year. The proprietorship begins operations on April1, 2020 and acquires a machine on December1, 2020. The
A1A is a proprietorship that has a calendar fiscal year. The proprietorship begins operations on April1, 2020 and acquires a machine on December1, 2020. The machine has a cost of $28,000 and A1A incurs an additional $4,800 in expenses for installation. The machine is a Class 8 asset with a rate of 20%. What is the maximum CCA deduction A1A can take on this asset for the April 1 to December31, 2020 fiscalyear?
Choose the correct answer. (Round your answer to the nearestdollar.)
A. $7,414
B. $4,942
C. $9,840
D. $2,471
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Accounting
Authors: Carl S. Warren, Christine Jonick, Jennifer Schneider
28th Edition
1337902683, 978-1337902687
