CANADIAN TAX: On July 1, 2023, the ANDI Company's warehouse was completely destroyed in a fire. The capital cost of the warehouse was $1,500,000 and its January 1, 2022 UCC was $1,248,539. On December 1, 2023, the company received insurance proceeds of $1,650,000, an amount equal to the estimated fair market value of the building. On April 1, 2024, the Company acquires an existing warehouse building for $1,800,000. Provided the Company makes all possible elections to reduce Tax Payable, what amount will be added to the Class 1 UCC as the result of this acquisition? $1,398,539 $1,548,539 $1,650,000 $1,248,539

CANADIAN TAX: On July 1, 2023, the ANDI Company's warehouse was completely destroyed in a fire. The capital cost of the warehouse was $1,500,000 and its January 1, 2022 UCC was $1,248,539. On December 1, 2023, the company received insurance proceeds of $1,650,000, an amount equal to the estimated fair market value of the building. On April 1, 2024, the Company acquires an existing warehouse building for $1,800,000. Provided the Company makes all possible elections to reduce Tax Payable, what amount will be added to the Class 1 UCC as the result of this acquisition? $1,398,539 $1,548,539 $1,650,000 $1,248,539

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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