The fiscal year of Chen Ltd., a Canadian public company, ends on December 31. On January 1, 2022, the UCC balances for the various classes of assets owned by the Company are as follows: The following additions were made this year: The following additions were made this year: 1. On September 15, 2022, a convertible is acquired at a cost of $68000 for use by the Vice President of the Company as a passenger vehicle. 2. Some new furniture was purchased at a cost of $16000. 3. On May 1, 2022, Chen Ltd. pays $120000 to enter a franchise agreement. The life of the franchise is 15 years. 4. On November 3,2022,$171000 of class 53 manufacturing equipment was purchased. 5. On January 1, 2022, $45000 of leasehold improvements were made. 6. New computer hardware was purchased for $18000. The following disposals were made this year: 1. The photocopier in the separate class 8 was disposed of for $5500. It was originally purchased for $30,000. 2. Some old furniture was sold for proceeds of $8500. It was originally purchased for $13000. 3. Some computer hardware was sold for $7500. It was originally purchased on sale for $3200. 4. Some tools (from class 12) were sold for proceeds of $9500. The original cost of these tools was $12,000. Other notes & information: 1. The Company leases a building for $15,000 per year that houses a portion of its manufacturing operations. The lease was negotiated on January 1,2017 and has an original term of 10 vears. There is one renewal option on the lease, for a perind of Other notes 8 information: 1. The Company leases a building for $15,000 per year that houses a portion of its manufacturing operations. The lease was negotiated on January 1, 2017 and has an original term of 10 years. There is one renewal option on the lease, for a period of two years. The company made $84,000 of leasehold improvements immediately after signing the lease. No further improvements were made until the current year. 2. It is the policy of the Company to deduct maximum CCA in all years. Required: Calculate the maximum 2022 CCA that can be taken on each class of assets, the January 1, 2023 UCC balance for each class, and any other 2022 inclusions or deductions resulting from the information provided in the problem. Respond on the "P4- Response" tab, Final answers should be filled in the yellow boxes on the "answer summary" and the "effect on net income summary" in the "P4- Response" tab. You are required to show any additional work completed in the green space on the "P4-Response" tab in the excel document. Put all of your final aniwers in the anwer summary (in yellow) and show all your work to get to these answers in the geen space below. Where the answer is zeroil, do not write "Nil". Please write only 0 as a response where zero/ail applies. Answer summary- enter your final answers in here- in the yellow bokes: Effect on net income summary: (Write sero beside any option where there is no eflect. Enter deductions as a negative and income inclusions as a positive)
