Terminal Loss Is Best Described As

question 113

Multiple Choice

Terminal loss is best described as:

• A) Using a year's capital losses to offset capital gains in past years.
• B) Using a year's capital losses to offset capital gains in future years.
• C) The taxable difference between adjusted cost of disposal and UCC, when UCC is smaller.
• D) The difference between UCC and adjusted cost of disposal when the UCC is greater.
• E) When CCA and UCC are equal at the end of an asset's useful life.

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Definitions:

Automated Signature

A computer-generated signature used to authenticate documents or transactions electronically.

Signature Requirement

A legal stipulation that certain documents must be signed to be recognized as valid or to enter into effect.

Order Paper

A negotiable instrument that is payable to a specific individual or entity, as named or identified in the document.

Drawee

The drawee is the party in a financial transaction, usually a bank, upon whom a check or draft is drawn and is responsible for paying the amount specified.