Janet Limited a Canadian private company with a December 31 year end.  The transactions which may follow involve Janet Limited's capital dividend account.

• During 2008, the Company received a capital dividend of $46,000.

 

• During 2010, the Company sold a depreciable capital asset for cash proceeds of $325,000.  At the time of sale, the capital asset's cost was $250,000, and the UCC balance of the class that the asset was in was $150,000.  It was the only asset in the class.

 

• During 2015, the Company sold a non-depreciable capital asset with an adjusted cost base of $140,000 for cash proceeds of $100,000.

 

• During 2018, the Company paid an eligible dividend of 25,000.

 

• During 2021, the Company also paid an ITA 83(2) capital dividend of $15,000.

 

Required:  Determine the balance in the capital dividend account at December 31, 2021.  You need to show your work and label it properly.  If a particular item should not be included in the calculation, be sure to put NIL for that particular item.

Answer rating: 100% (QA)

ANS WER Balance in the Capital D ivid end Account at December 31 2021 Beginning Balance 46 000 2008 ... View the full answer