Suppose that a Canadian company bought a car for $20 000. The CCA rate for the car is 20% and the corporate tax rate is 40%. How much money does the company save in the first year as a result of the CCA allowance? O $1 200 $1 600 O It does not save at all since it still has to pay taxes. $800 $2 400

Suppose that a Canadian company bought a car for \\( \\$ 20000 \\). The CCA rate for the car is \20 and the cotporate tax tate is \40. How much money does the company save in the first year as a result of the CCA allowance? \\( \\$ 1200 \\) \\( \\$ 1600 \\) \\( \\$ 800 \\) It does not save at all since it still has to pay taxes. \\( \\$ 2400 \\)