Amelie is self-employed and uses her personal automobile in connection with her business. During 2020, Amelie drove her car a total of 28,000 miles. Her business log shows that she drove 22,400 miles for business purposes. During 2020, Amelie incurred the following actual expenses based on 100% use, that is, 28,000 total miles: (The standard mileage rate method permits a deduction based on a mileage rate of 57.5 cents per mile for the year 2020.) (Click the icon to view the expenses.) - X Read the requirements. Requirement a. Compute Amelie's deduction if she uses the actual cost method. The amount deductible using the actual cost method is $ 13,232 Requirement b. Compute Amelie's deduction if she uses the standard mileage method. The amount deductible using the standard mileage method is Data Table Gas and oil Repairs and maintenance Depreciation Insurance Licenses and fees Total Print Done $ 7,800 1,200 5,800 1,440 300 $ 16,540

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Amelie is self-employed and uses her personal automobile in connection with her business. During 2020, Amelie drove her car a total of 28,000 miles. Her business log shows that she drove 22,400 miles for business purposes. During 2020, Amelie incurred
the following actual expenses based on 100% use, that is, 28,000 total miles: (The standard mileage rate method permits a deduction based on a mileage rate of 57.5 cents per mile for the year 2020.)
(Click the icon to view the expenses.)
Read the requirements.
Requirement a. Compute Amelie's deduction if she uses the actual cost method.
The amount deductible using the actual cost method is $13,232
Requirement b. Compute Amelie's deduction if she uses the standard mileage method.
The amount deductible using the standard mileage method is
i Data Table
Gas and oil
Repairs and maintenance
Depreciation
Insurance
Licenses and fees
Total
Print
Done
$
-
X
7,800
1,200
5,800
1,440
300
$ 16,540
Transcribed Image Text:Amelie is self-employed and uses her personal automobile in connection with her business. During 2020, Amelie drove her car a total of 28,000 miles. Her business log shows that she drove 22,400 miles for business purposes. During 2020, Amelie incurred the following actual expenses based on 100% use, that is, 28,000 total miles: (The standard mileage rate method permits a deduction based on a mileage rate of 57.5 cents per mile for the year 2020.) (Click the icon to view the expenses.) Read the requirements. Requirement a. Compute Amelie's deduction if she uses the actual cost method. The amount deductible using the actual cost method is $13,232 Requirement b. Compute Amelie's deduction if she uses the standard mileage method. The amount deductible using the standard mileage method is i Data Table Gas and oil Repairs and maintenance Depreciation Insurance Licenses and fees Total Print Done $ - X 7,800 1,200 5,800 1,440 300 $ 16,540
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