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In 2016 Reliable Medical Labs, replaced old processing equipment with new processing equipment. The firm sold the older processing equipment, for $60,000. When it was purchased in 2014, the older equipment had cost $95,000. The cost of the new equipment is $150,000 and it is now the only asset in the class.
In 2018, the company decided to re-direct all corporate efforts to their more successful medical supply distribution business and will drop their lab processing division. They sold the only asset in that class for $75,000.
(Assume year-end is December 31st, the applicable tax rate is 40% and the CCA rate is 30%)
Required:
(a) Calculate the CCA for the asset pool claimed in each year from 2014 through 2018.
Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..
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