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The question regarding CCA schedule is described in the attachment. Thank you for help! (a) (8pt) Assume the half-year rule applies, construct the first 4

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The question regarding CCA schedule is described in the attachment. Thank you for help!

image text in transcribed
(a) (8pt) Assume the half-year rule applies, construct the first 4 years of the CCA schedule for an asset that has initial cost $400,000 and is put into a 25% CCA class. Show calculations of the Undepreciated Capital Cost (UCC) at the beginning of the first two years. Year UCC Start CCA UCC End 2 (b) (8pt) Assume the half-year rule applies, construct the first 4 years of the CCA schedule for an asset with initial cost $0 and d% CCA rate. Complete the following table with formulas of C and d. Year UCC Start CCA UCC End 1 0.50 0.50d 0.50(1 - d) 2 o(1 - \d) 3 4 (c) (4pt) Based on the CCA schedule in part (b), state a formula for the UCC at the beginning of the nth year (i.e., UCC Start in Year n) for n > 2. No proof is required

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