During the current year, all of the assets of Ellis Enterprises, a CCPC were sold. Among the assets was Goodwill with an allocated fair market value of $425,000. As the Goodwill was internally generated, its capital cost is $nil. Which of the following statements is not false?

A. Ellis will report active business income of $318,750, with no addition to the capital dividend account.

B. Ellis will report a taxable capital gain of $212,500, and there will be a $212,500 addition to the capital dividend account.

C. Ellis will report active business income of $318,750, and there will be a $106,250 addition to the capital dividend account.

D. Ellis will report active business income of $212,500, and there will be a $212,500 addition to the capital dividend account.