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You are operating your business as a proprietorship. In 2020 you generated $120,000 in revenues. Additional information for the year: a) $10,000 - amortization expense;

You are operating your business as a proprietorship. In 2020 you generated $120,000 in revenues. Additional information for the year:

a) $10,000 - amortization expense;

b) $7,000 - reasonable bad debt expense; c) $85,000 - cost of goods sold (closing inventory at market value);

d) $9,000 meals and entertainment with clients.

Your capital cost allowance (Tax depreciation) available was $10,500 for the year.

Required (Show all your calculations )

How much is business net income for tax purposes

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