Several Years Ago, Solea Company Purchased a Mercedes Benz That

Several years ago, Solea Company purchased a Mercedes Benz that is used exclusively for business use. The car is in a separate Class 10.1. On January 1, 2020 the UCC balance is $17,850. On August 1, 2020 the car was sold for $17,000. For 2020 tax purposes, the company will report a:

A) terminal loss of $850.
B) recapture of $850.
C) CCA deduction of $2,678.
D) CCA deduction of $2,245.