Each of the Five Sales Representatives at CapiCal Enterprises Were

Multiple Choice

Each of the five sales representatives at CapiCal Enterprises were provided with automobiles valued at $25,000 each. The purchase was made 26 months ago, two months before the end of the fiscal year. The cars have an expected lifetime of seven years each. What is the maximum CCA [capital cost allowance] the Company can claim on its annual tax return at the end of 26 months?

A) $37,500
B) $26,250
C) $22,313
D) $18,375
E) $17,857