wered of 1.00 on Stephen borrowed $150,000 from TD Canada Trust for the purpose of expanding his business. The lender required that he use his $450,000 universal life policy as a collateral assignment. His universal life policy has an adjusted cost base ( ACB) of $100,000 and cash surrender value in the amount of $175.000. He paid premiums of $10,000 annually with a net cost of pure insurance (NCPI) of $3,600. What amount of the NCPI can he deduct as a business expense? Select one: a. $1,199.88 b. $1,399,68 c. $1,800 d. $399.96 Next page