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Q5 (10 marks) A Canadian printing company buys a new high-speed photocopier for $20,000 on January 1 st. The photocopier is in an asset class

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Q5 (10 marks) A Canadian printing company buys a new high-speed photocopier for $20,000 on January 1 st. The photocopier is in an asset class with a CCA rate of 30%. The company's tax rate is 28%. The expected annual revenue that will be generated by the new photocopier is $10,000 per year, and the annual maintenance costs will be $2,500. a) Find the company's net income (sometimes called net profit) generated by the purchase of the new photocopier for Year 1 and Year 2. (5 marks) b) If the company sells the photocopier at the end of Year 2 to someone willing to pay $16,900, how much tax would the company owe related to the difference between the UCC (Book Value) of the copier and the selling price

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