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lpn27 lpn27
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3 months ago
Five years ago, J-Hi Corp. bought a paper cup making machine for $50,000. Assume the machine is the only asset in its class. The company has just sold the machine for $35,000. The UCC of the asset class just before the sale is $15,000. What are the tax consequences of this sale?

▸ There is zero tax consequence since the machine was sold for less than its acquisition cost.

▸ a capital loss of $15,000

▸ a terminal loss of $20,000

▸ a CCA recapture of $20,000
Textbook 
Corporate Finance

Corporate Finance


Edition: 5th
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lpantslpants
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lpn27 Author
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3 months ago
Brilliant ツ
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Correct Slight Smile TY
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This helped my grade so much Perfect
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