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At the end of 2 0 2 3 , Fred Hicks owned two residential rental properties. Rental property 1 cost $ 1 2 5 ,

At the end of 2023, Fred Hicks owned two residential rental properties. Rental property 1 cost $125,000(land - $50,000; building -
$75,000) and at the close of 2022 had a UCC of $64,000. Rental property 2 was acquired in 2023 for $210,000(land - $80,000;
building - $130,000). Revenue and expenses for the rental properties during the year were as follows:
Property 1 Property 2 Total
Revenue $13,200$4,800$18,000
Expenses:
Mortgage interest (0)(3,000)(3,000)
Repairs & maintenance (3,000)(0)(3,000)
Property tax(3,100)(1,000)(4,100)
Insurance (500)(700)(1,200)
(6,600)(4,700)(11,300)
Income $6,600 $ 100 $6,700
Determine the maximum CCA deduction for the rental properties for 2023.
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