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On January 1, 2019, John Traverse acquires 12,000 units of the RV Income Trust at a cost of $720,000.During 2019, the trust makes a distribution
On January 1, 2019, John Traverse acquires 12,000 units of the RV Income Trust at a cost of $720,000.During 2019, the trust makes a distribution of $5.00 per unit.Of this total $1.50 is a return of capital while the remaining $3.50 is property income.John reinvests the total distribution in RV units at a cost of $55 per unit.What is the adjusted cost base of John's units on December 31, 2019?
$58.21 per unit.
$53.62 per unit.
$60.00 per unit.
$59.58 per unit.
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