Question: plz need it right now no time left, plz help me Ms. Gold has been investing in real estate for almost half a century. On

plz need it right now no time left, plz help me  plz need it right now no time left, plz help me
Ms. Gold has been investing in real estate for almost half a

Ms. Gold has been investing in real estate for almost half a century. On January 1,2018 , she owned four rental properties and the relevant facts on these properties are as follows: - 112 Bay Street This is a Class 3 building that has a capital cost of $850,000. Its UCC at the beginning of the year was $627,000. During the year, it generated rent of $81,000 and incurred property taxes of $10,500. interest charges of $13,000, and other expenses (excluding CCA) of $17,500. - 2022 Richmond Road This is a Class 3 building that had a capital cost of $45,000. It was sold on June 1 . For CCA purposes, it was included in the same Class 3 pool as 2024 Richmond Road. Of the sale proceeds. $58,000 was allocated to the building. From January 1 to May 31 , the building generated rent of $10,000 and incurred property taxes of $3,600, interest charges of $1,100, and other expenses (excluding CCA) of $1,500. This property contained furniture that Ms, Gold had acquired at a cost of 56,000 . On January 1, 2018, this furniture had a UCC balance of $3.500. It was sold at the same time as the rental property. The proceeds of the furniture sale were $2,300. - 2024 Richmond Road This is a Class 3 building that has a capital cost of $45,000. At the beginning of the year, the UCC of the Class 3 pool, which included both 2022 Richmond Road and 2024 Richmond Road, was $61,000. During the year, it generated rent of $24,000 and incurred property taxes of $7,750, interest charges of $1,800, and other expenses (excluding CCA ) of $3,600. - 16 Booth Street This Class I building has a capital cost of $418,000. Its UCC at the beginning of the year was $383,000. During the year, the unit generated rent of $18,000 and incurred property taxes of $6,$00, interest charges of $10,800, and other expenses (excluding CCA) of $4,400. Required: Calculate Ms. Gold's net rental income for 2018. You should provide a separate calculation for each property. Specify how much CCA should be taken for each building. (18 marks) Question 14 options

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!