Question: Problem 2 ( 1 2 Marks ) The following two Cases make different assumptions with respect to the amounts of income and deductions that are
Problem Marks The following two Cases make different assumptions with respect to the amounts of income and deductions that are available to Carl Suzak for the current year. Case A Carl had employment income of $ as well as income from a business carried on as a sole proprietorship of $ A rental property owned by Carl experienced a loss of $ Dispositions of capital property during the current year resulted in the following amounts: Capital Gains $ Capital Losses In compliance with the terms of his divorce agreement, Carl paid deductible spousal support of $ In addition, Carl had a winning lottery ticket which paid him $ Case B Carl had employment income of $ interest income of $ and rental income of $ Carl also carried on a business as a sole proprietor. Unfortunately, during the current year, it experienced a business loss of $ Dispositions of capital property during the current year resulted in the following amounts: Capital Gains Capital Losses $ In addition Carl made deductible RRSP contributions of $ Required: For each Case, calculate Carl's current year net income. Indicate the amount and type of any current year loss carryovers.
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