calculate capital cost allowance, recapture, terminal loss, and taxable capital gains from transactions in 2018. also undepreciated capital cost on december 31, 2018. they have a fiscal year end of december 31 and wants to minimize net income for tax purposes.

1)Bronco Ltd. purchased land and a building years ago. it is the only building they own. on sept 1 2018 they sold the building to a person and moved into leased premises. these are the details

Asset Class Rate Original Capital Cost UCC Jan 1 2018 Proceeds of disposition

Land $225,000 $225,000

Building 1 4% declining $500,000 $450,000 $675000

Total $725,000 $900,000

2) on january 1 2018, Alba Ltd owned a fax machine (Class 8 - 20% declining balance) with an undepreciated capital cost (UCC) of $19,000. this fax machine was originally purchased for $22,000. on May 5 2018 Alba Ltd sold its old fax machine for $8500 and purchased a newer model for $26000. Alba did not file elections