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Problem 1: Jillian bought a mountain chalet in 2013 for $250,000 and sold it in 2018 for $280,000. She bought a lakeside cabin in 2014 for $300,000 and sold it in 2018 for $330,000. She lived full-time at the chalet in 2013 and spent an equal amount of time at the chalet and the cabin during the 5 years from 2014 to 2018. How should she allocate her principal residence gain reduction for the year 2014 to minimize her 2018 taxable capital gains?
a) 2014 should be allocated to the cabin
b) 2014 should be allocated to the chalet
c) 2014 should be split between the cabin and the chalet
d) 2014 cannot be allocated to either the cabin or the chalet
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