Question
Over the past five years, Ms. Blaise has bought and sold shares of two companies, Sadean Ltd. and Dorcan Inc., both being Canadian publicly-traded companies.
Over the past five years, Ms. Blaise has bought and sold shares of two companies, Sadean Ltd. and Dorcan Inc., both being Canadian publicly-traded companies. Transaction involving Sadean Ltd. shares over this period are as follows: Purchase January 2016 1,250 @ $24 Purchase November 2018 860 @ $29 Sale June 2020 1,750 @ $31 Transaction involving Dorcan Inc. shares over this period are as follows: Purchase March 2016 960 @ $7.50 Purchase September 2017 1,230 @ $8.75 Purchase February 2018 620 @ $9.20 Sale July 2018 980 @ $10.15 Purchase March 2019 375 @ $11.23 Sale April 2020 625 @ $8.10
A. Determine the taxable capital gain resulting from the June 2020 disposition of the Sadean Ltd. shares.
B. With respect to the transactions involving Dorcan Inc., determine the following:
the adjusted cost base of the shares still on hand on December 31, 2020,
the taxable capital gain or allowable capital loss resulting from the 2018 disposition,
the taxable capital gain or allowable capital loss resulting from the 2020 disposition.
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