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TEX Co. was incorporated in 2021. Incorporation costs were $3500. How much CCA is allowed in 2021 and how much operating expenses is allowed in
TEX Co. was incorporated in 2021. Incorporation costs were $3500. How much CCA is allowed in 2021 and how much operating expenses is allowed in the year? (Round final answers to the nearest whole dollar)
a. $38, $3000
b. $25, $3000
c. $175, $0
d. $225, $500
a. $38, $3000
b. $25, $3000
c. $175, $0
d. $225, $500
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Step: 1
To answer this question we need to understand two different concepts under Canadian tax regulations Capital Cost Allowance CCA and treatment of incorporation expenses 1 Capital Cost Allowance CCA CCA ...
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Financial Accounting
Authors: Dhanesh K. Khatri
1st Edition
0071078029, 9780071078023
