In the current year, Decrease Ltd. purchased class 8 equipment costing $20,000. Later in the year, Decrease

Question:

In the current year, Decrease Ltd. purchased class 8 equipment costing $20,000. Later in the year, Decrease Ltd. sold other class 8 equipment for $30,000. The equipment sold originally cost $108,000.At the beginning of the current year, the class 8 UCC balance was $42,000.
Calculate the maximum CCA deduction for Class 8 for the current year. Income tax reference: ITA 13(21), 20(1)(a); Reg. 1100(1), (2).