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Part 3: Margaret Houlihan has a rental house in Boston Bar, BC: She has a mortgage on it that directly financed the purchase. The payments
Part 3:
Margaret Houlihan has a rental house in Boston Bar, BC:
- She has a mortgage on it that directly financed the purchase. The payments made were $14,980 for the year of which $7,980 were for interest.
- Maintenance was $3,500 for the year
- Rent of $25,000 was collected, the management company charged a fee of $1,600 to collect it and arrange maintenance.
- CCA on the building could be $3,89
- Property taxes of $1.400 were paid.
- She paid her 7 year old daughter $400 per month to check the mail for the rent cheques.
Determine her net rental income
Part 4:
Jesse Wagner has purchased an interest bearing investment in the amount of $45,000 on December 1, 2020. It bears interest at 10% annually, but the interest is to be paid up to date on December 31, 2023, and the final payment on November 30, 2025.
Determine the taxable amount of interest in each year.
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