Q2 sol - 1 3% 75K bond accrued interest on purchase 187- 1...

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Question 2 Marks Vacant land rental 2,000 1 Interest and property taxes on vacant land limited to income 2,000 - 1 Capitalize balance of interest and property taxes to land - 1 Rental income Building 1 -2500 Building 2 4500 2,000 1 CCA on either building 1 120000 @ 4% = 4800 140000 @ 4% = 5600 limit to income 2,000 - 1 2.5% GIC interest 2,500 1 2.25% GIC interest not included as no anniversary date in 2008 - 1 3% 100K bond June 30 interest 1,500 1 3% 100K bond September 30 interest 750
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Unformatted text preview: 1 3% 75K bond accrued interest on purchase 187- 1 3% 75K bond December 31 interest 1,125 1 T-bill interest 450 1 T3 eligible dividends - 2,500 @ 1.45 3,625 1 T3 other income 1,500 1 T3 retrun of capital reduces ACB, not income-1 US dividends - $2,000 @1.25 2,500 1 CCPC loan included in 2007 not 2008 income-1 No 80.4 benefit on loan as included in 2007 income-1 CCPC dividend - $50 x 750 x 1.25 46,875 1 60,638 20...
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