Please solve this problem directly on Excel spreadsheet.

Make sure to include the calculations performed using Excel formulas.

11 12 13 Mr. X has incurred a large amount of capital gains during the year. Therefore, Mr. X decides to sell securities with an accrued loss during the year, which will offset his large capital gain balance on his tax return (in order to reduce his overall net income for tax purposes). On December 1 of the current year, Mr. X sells securities with an adjusted cost base of $15,000 for proceeds of disposition of S 10,000. In the long term Mr. X thinks these securities will increase in value and would like to hold on to them for their potential future earnings; therefore, Mr. X purchases identical securities on December 1 5, of the current year for $8,000. Required: Calculate the tax impact of Mr. X's transactions. 14 15 16 17 18 19 21 22 Solution: Proceeds of disposition Adjusted cost base Capital Loss Reported on tax return Superficial loss $0 Loss is denied 23 25 26 27 28 29 30 Instead the denied loss is added to the cost base of the new property: ACB (new) Superficial loss New ACB