Use the following information regarding a production asset to answer the next question(s).

-The capital cost allowance for the first year would be
A) $3,750.
B) $6,375.
C) $7,500.
D) $4,463.

Question

Use the following information regarding a production asset to answer the next question(s).
 
-The capital cost allowance for the first year would be
A) $3,750. 
B) $6,375. 
C) $7,500. 
D) $4,463.

Quizplus · Accepted Answer

The capital cost allowance (CCA) is typically calculated as a percentage of the asset's cost. Without specific details on the percentage rate or asset cost, it's assumed that $3,750 is the correct CCA for the first year based on typical rates and asset costs.

Use the Following Information Regarding a Production Asset to Answer