ACCT 3350 Lecture Notes - Lecture 9: Capital Cost Allowance, Operating Lease
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18 Apr 2019
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The following are the calculations and the identification of adjustments that you requested. Accounting loss on the sale of any asset is added back. Capital cost allowance is deducted in place of amortization. Accounting gains on the sale of any asset are deducted. Review of tax effects transactions and identification of missing information: During the year it had the following transactions: acme sold the building and moved into rented space. This leaves a balance of ,000 before cca. The half-year rule does not apply, since there was not a net addition to the class: the class 10 asset was sold for proceeds greater than the original cost. There is a capital gain on the sale of. Cca can be claimed on the opening balance for the year at of the normal 30% rate in the year of disposition [1100(2. 5)]: add back the accounting loss of ,000.
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