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Question - A proprietorship has a calendar fiscal year and acquires a machine on April 1, 2020. The machine as a cost of $60,000. The proprietor pays a contractor $24,000 to install the machine and pays a non-refundable provincial sales tax of $7,500. The machinery is Class 8 equipment with a CCA rate of 20%. Assuming that the opening UCC for Class U assets is $0, what is the maximum CCA that can be deducted for this machine in the fiscal year 2020?
(a) $18,300
(b) $9,150
(c) $25,200
(d) $27,450
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