Upsilon Company Ltd. purchased new machinery at a total cost of $600,000. Management estimates that the machinery will last for 20 years, after which it will have no salvage value. The CCA rate applied to the machinery is 4%. When the company disposes of the machinery 20 years later, what will be the deduction for capital cost allowance on the company's tax return?

1. (1) $20,000
2. (2) $0
3. (3) $5,000
4. (4) $10,000