Reference no: EM133002179

1. Dave has had a segregated contract for five years. Each year his deposits have been $5,000. Three years ago capital losses of $1,500 were allocated to Dave's units. Two years ago a capital gain of $1,500 was attributable to his units in the fund. This year the fund allocated interest income of $500. What is the current adjusted cost base of Dave's segregated fund?

2.Jan brought his seg fund contract with a $10,000 deposit. The net asset value per unit was $4. During the first year, income per unit was $0.25/unit. In the next year, Jan withdrew $4,000 from the contract. Using the linear reduction method, what is the value of the guarantee in the contract following the withdrawal?

3..Jan brought his seg fund contract with a $10,000 deposit. The net asset value per unit was $4. During the first year, income per unit was $0.25/unit. In the next year, Jan withdrew $4,000 from the contract. Using the proportional reduction method, what is the value of the guarantee in the contract following the withdrawal?