1. Alpha Ltd. is a Canadian-controlled private corporation operating a small land-development business. The opening UCC balances are as follows: Alpha sold the passenger vehicle for $25,000. The vehicles originally

cost $50,000 andhad a book value of $48,000 at the time of sale. A new vehicle was obtained under a leasearrangement. Alpha leased an office premises under a three-year lease agreement that began December1, 2020. At the time, Alpha spent $60,000 to improve the premises. The lease agreementgives Alpha the option to renew the lease for two three-year periods. As an incentive, thelandlord offered Alpha $20,000 toward these renovations. Alpha began manufacturing pre-fab homes on June 1, 2020. At that time, it acquired thefollowing: cost $12,000. It replaced the copier with a leased copier.