Boxton Inc. is a Canadian private company that uses a December 31 taxation year. Its financial statements

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Boxton Inc. is a Canadian private company that uses a December 31 taxation year. Its financial\ statements are based on ASPE. For the year ending December 31, 2022, these financial\ statements show accounting net income of $523,457.\ In order to assist in preparing the Company's 2022 corporate income tax return, the following\ additional information is available with respect to the 2022 taxation year.\ 1. The Company's financial statements disclosed interest on the Company's bonds payable\ of $12,460. This included discount amortization of $460.\ 2. The financial statements show a charge for amortization of $62,500. Maximum CCA\ which the Company intends to deduct, is $71,300. This does not include any CCA on\ Class 14.1 property.\ 3. As part of a business combination during the year, the Company purchased goodwill of\ $189,000. The Company's accountant determined that the goodwill was not impaired in\ 2022.\ 4. The Company sold temporary investments for $13,450. The ACB of these investments\ was $9,980.\ 5. The Company donated a Class 10 depreciable property to a registered charity. A\ charitable donation receipt equal to the FMV of $132,000 was issued. The capital cost\ and ACB were both $117,000, the carrying value for accounting purposes was $105,300\ and the UCC $94,670. There were other properties in Class 10 at year end.\ 6. General Expenses included Buisiness Meals and Entertainment of 8,700, Hotel and\ Airfare expense of 3,900 and Curling Club Memberships for 4,820\ 7. The Company had a liability for estimated warranties of $6,240. During the year,\ warranty costs were incurred in the amount of $5,650 and, at the end of the year, the\ remaining warranty liability was estimated to be $4,890.\ 8. The Company disposed of Class 8 property for $71,000. The property had a capital cost\ and ACB of $79,000 and a carrying value of $68,000 for accounting purposes. At the\ beginning of the current year, the UCC balance was $66,720. There were no property in\ the class at year end.\ 9. Manager bonuses accrued for the year amounted to $26,000. These bonuses were paid\ out on May 31, 2023.\ Grace Adams 2023 BUSI 4005 Assignment #1 2\ Required: Make the necessary reconciliation adjustments to convert accounting income of\ $523,457 to net income for tax purposes.\ A. Indicate the amount of any adjustments together with a description (accounting gain,\ recapture, etc.) and whether the adjustment is to be added or subtracted in the\ reconciliation process. Indicate any items listed above that are omitted from the\ adjustments.\ B.

Calculate the ending Division B income.