Sheila Ram is a professional engineer. In 2022, she sold her consulting business and retired. Her financial information for 2022 is outlined below. On January 1, Sheila sold her engineering consulting business to a senior employee. The business had been operated as a franchised proprietorship with a December 31 fiscal year end. The following assets were sold: Original cost Price Goodwill 38,000 40,000 Franchise 40,000 50,000 Library 2,000 1,000 Office equipment 12,000 4,000 The sale agreement called for cash proceeds for all assets, except the franchise, which required a down payment of $20,000 at closing with the balance payable on June 30, 2023. The accounts receivable of $90,000 were not sold but were retained by Sheila for collection. During the year, she collected $82,000 of the receivables. The remainder is uncollectible. On August 15, She paid $4,000 to a former employee for a bonus awarded on December 31, 2021. A review of Sheilas 2021 income tax return showed the following: Undepreciated capital cost: Class 8 6,800 Class 14 24,000 Class 14.1 35,000 Reserve for bad debts 10,000 Unused listed personal property loss 800 In January, Sheila sold her home for $230,000. She had acquired the house in 2015 for $200,000. In May, she sold her Ontario vacation home, which she had acquired in 2018 for $50,000, for $140,000. She also sold an oil painting for $1,400 that originally had cost $600. Sheila received $30,000 from the sale of her 10% interest in Q Ltd., a Canadian-controlled private corporation. She had purchased the shares in 2015 for $50,000. Q operates a small manufacturing business, and at the time of sale, its assets were appraised as follows: