Abdulla owns two residential rental properties. Both properties are included in Class1 for capital cost allowance (CCA) purposes. The following is a summary of his rental income and expenses:

Property 1

Property 2

Opening undepreciated capital cost (UCC)

$150,000

$135,000

Rental revenue

$40,000

$30,000

Expenses before CCA

$32,000

$29,000

What is the maximum CCA that Abdulla can claim against these rental properties this year?

a. $0

b. $7,000

c. $9,000

d. $11,400