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You purchased a residential home in which to locate your professional office for $150,000. Assume that the entire house is used for business. The appraisal
You purchased a residential home in which to locate your professional office for $150,000. Assume that the entire house is used for business. The appraisal (assessment) is divided into $30,000 for the land and $120,000 for the building. For the tax purposes, what is the undepreciated capital cost of the building (Suppose your property was sold at $187,000 at the end of fourth year of ownership). CCA rate is given as 7%? O a) Between $114,000 and $117,000 Ob) Between $110,000 and $113,000 Oc) None of the answers are correct O d) Between $95,000 and $98,000 Oe) Between $103,000 and $106,000 Of) Between $92,000 and $95,000
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