Photo Tonight, a film-developing and camera-repair franchise, began business on January 1, 2019. In the process of beginning operations, it incurred the following capital expenditures:

Developing equipment

$ 90,000

Furniture and fixtures

40,000

Small tools (under $500)

25,000

Class 14 Franchise (expires in 20 years)

84,000

Incorporation costs

7,000

Pickup truck

16,000

Class 13 Leasehold improvements (10-year lease)

34,000

The business was immediately successful and generated substantial profits for the years ended December 31, 2019 and 2020.

In 2020, the truck was traded in for a larger unit costing $ 20,200. A value of $ 7,000 was assigned to the old truck when it was traded in.

In 2021, the owner was forced to leave the business due to illness. As a result, the assets were valued and sold on December 31, 2021, for the following values:

Developing equipment

$ 70,000

Furniture and fixtures

15,000

Small tools

14,000

Franchise

88,000

Incorporation costs

0

Pickup truck

15,000

Leasehold improvements

15,000

Goodwill

30,000

Required:

Complete the table below to calculate the effect of all these transactions on net income for tax purposes for the 2019, 2020, and 2021 taxation years. (Use a minus sign (-) when entering numbers that reduce UCC.)

Rate 14 8 Furniture 10 Truck 12 Small Tools 13 Leasehold Improvements Franchise Incre (Decre on inca 53 14.1 Manufacturing Incorporation Goodwill Equipment costs 2019 Purchase CCA UCC 2020 Purchase Disposal CCA UCC 2021 Disposal Recapture (Terminal Loss) Ending UCC balance Capital Gains Taxable Capital gains Rate 14 8 Furniture 10 Truck 12 Small Tools 13 Leasehold Improvements Franchise Incre (Decre on inca 53 14.1 Manufacturing Incorporation Goodwill Equipment costs 2019 Purchase CCA UCC 2020 Purchase Disposal CCA UCC 2021 Disposal Recapture (Terminal Loss) Ending UCC balance Capital Gains Taxable Capital gains