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Which of the Following Statements with Respect to Capital Gains

Question 26

Multiple Choice

Which of the following statements with respect to capital gains is NOT correct?


A) Insurance proceeds to compensate for a business building destroyed in a fire is a proceeds of disposition.
B) The adjusted cost base of capital assets is reduced by any government assistance received for their acquisition.
C) The lifetime capital gains deduction reduces the amount of capital gains included in Net Income For Tax Purposes.
D) The expropriation of a capital asset by a municipal government is considered to be a disposition.

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