9. Amazing Inc. purchased Class 8 furniture for $4,000 in 2022. In 2023, this furniture was sold for $1,000. Class 8 UCC was $10,300 at the beginning of 2022 and no Class 8 property was purchased during the year. What is the UCC of this class at the end of 2023? A. $1,860 B. $7,440 C. $9,300 D. $8,240
9. Amazing Inc. purchased Class 8 furniture for $4,000 in 2022. In 2023, this furniture was sold for $1,000. Class 8 UCC was $10,300 at the beginning of 2022 and no Class 8 property was purchased during the year. What is the UCC of this class at the end of 2023? A. $1,860 B. $7,440 C. $9,300 D. $8,240
SWFT Essntl Tax Individ/Bus Entities 2020
23rd Edition
ISBN:9780357391266
Author:Nellen
Publisher:Nellen
Chapter5: Business Deductions
Section: Chapter Questions
Problem 35P
Related questions
Question
Transcribed Image Text:9.
Amazing Inc. purchased Class 8 furniture for $4,000 in 2022. In 2023, this furniture
was sold for $1,000. Class 8 UCC was $10,300 at the beginning of 2022 and no Class
8 property was purchased during the year. What is the UCC of this class at the end
of 2023?
A. $1,860
B. $7,440
C. $9,300
D. $8,240
10. Mary carries on business as a sole proprietor that generated $100,000 in net
accounting income.
Included in this amount are:
• $7,000 of amortization expense;
•$4,000 for bad debt expense;
• $112,000 cost of goods sold; and
• $12,000 meals and entertainment with clients.
Mary's maximum CCA has been calculated at $10,000 for the year. What is Mary's
business income for income tax purposes?
A. $113,000
B. $109,000
A)
C. $107,000
$103,000
11. Tomas began carrying on a home-based business as a sole proprietor on January 1,
2023. In 2023, he received $40,000 cash for services rendered and paid $33,000 in
business expenses. On December 31, 2023 there was an outstanding accounts
receivable for amounts owed by a customers. of $1,200 There was also an account
payable of $2,300 as an amount owing to a supplier.
12.
In addition to any business expenses, Tomas can also deduct one-third of his house
expenses since he utilizes the ground floor of his rented 3-storey home. Total house
costs for 2022 were: rent of $19,200; home insurance of $800 and utilities of
$2,100. What is Tomas' maximum 2023 home office expense?
A. $5,900.
B. $7,000.
C. $7,100.
A) $7,367.
ABC Registered, a sole proprietorship, began carrying on a business on September 1,
2023. A calendar based fiscal period ending December 31 was chosen. On October
1, 2023 the proprietorship purchased furniture and fixtures for $40,000. The
maximum CCA on the furniture and fixtures for the year ending December 31, 2023
will be:
A. $ 2,673.97.
B. $4,010.96.
C. $12,000.00.
D. $8,000.00.
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps with 5 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Individual Income Taxes
Accounting
ISBN:
9780357109731
Author:
Hoffman
Publisher:
CENGAGE LEARNING - CONSIGNMENT
Individual Income Taxes
Accounting
ISBN:
9780357109731
Author:
Hoffman
Publisher:
CENGAGE LEARNING - CONSIGNMENT