Lambda sold a capital property on October 31, 2011 for $200,000 with a cash down payment of $15,000. The balance of $185,000 is payable on October...

On June 1, 2011 Beta Ltd, purchased a franchise for $91,000. The franchise has a limited life of 13 years. Which one of the following amounts represents the maximum amount of capital cost allowance that Beta can deduct for its year ended July 31, 2011?

     (a) $4,778

(b) $7,000

(c) $3,500

(d) $1,170