Sheila has been investing for several years and has done well. She is thinking that it is time to cash in as she is looking to buy her first home. She decided to sell some of her Nvidia Inc. shares. She purchased shares at $share in and anothershares at $share in April It is now April she has just sold shares for a total of $$share

a Calculate the capital gain and the taxable capital gain. Note: you must first find the average cost of the shares. marks

Calculation of the capital gain: mark

Calculation of the taxable capital gain: mark

b Sheila does not want a mortgage on her first home and is looking to use the entire proceeds net of tax towards the purchase of her home in Montreal. If Sheila is in the highest marginal tax bracket, what is the maximum house value that she can purchase after paying taxes on the sale of the Nvidia shares? see Table Amark

Calculation of the house value that Sheila can purchase: mark