In the current year purchased new office equipment costing $25.000. Later in the same year he...

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In the current year purchased new office equipment costing $25.000. Later in the same year he sold some office equipment for

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Answer 1

Answer #1

Calculation of maximum CCA deduction

Deduction for existing office equipment

=Opening UCC - lower of (sale value or original cost) * Class 8 Rate

=(70000 - 35000)*20% =$7000

Deduction for new equipment

= Cost *50% * Class 8 rate

=25000*50%*20% =$2500

Total maximum CCA deduction =7000+2500=$9500

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Answer 2

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