Question: Suppose a company has a $ 2 5 0 , 0 0 0 capital asset with 2 0 % capital cost allowance ( CCA )

Suppose a company has a $250,000 capital asset with 20% capital cost allowance (CCA) rate whose year-end undepreciated capital cost (UCC) is $200,000. If the 30% is a declining balance rate, the CCA for the new year is
$40,000.
$60,000.
$50,000.
$30,000.

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