A company (Coffco) was incorporated on January 1, 2021, to operate a coffee shop. Coffco incurred the following costs du

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answerhappygod
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A company (Coffco) was incorporated on January 1, 2021, to operate a coffee shop. Coffco incurred the following costs du

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A company (Coffco) was incorporated on January 1, 2021, to
operate a coffee shop. Coffco incurred the following costs during
its first year ended December 31, 2021: a 10-year franchise
agreement costing $20,000, leasehold improvements of $15,000 on a
3-year lease with no renewal periods, and legal fees of $2,000 to
incorporate Coffco. What is the maximum capital cost allowance
claim for 2021?
Multiple Choice
$10,500
$9,500
$7,650
$7,500
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