An employee was provided with a company car for the whole of 2020. The car originally cost $50,000 and has a current net book value of $10,000. The car was driven a total of 40,000 km-27,000 km was for driving to clients' offices; and 13,000 km was going to and from the office. The company paid the $5,000 of operating expenses. What would be the minimum amount of the auto benefit for 2020 (round to nearest dollar)? Multiple Choice O $11.438 O $11,698 O $4.025 $13,625 Activate Wind

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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An employee was provided with a company car for the whole of 2020. The car originally cost $50,000 and has a current net book value of
$10,000. The car was driven a total of 40,000 km - 27,000 km was for driving to clients' offices; and 13,000 km was going to and from the
office. The company paid the $5,000 of operating expenses. What would be the minimum amount of the auto benefit for 2020 (round to
nearest dollar)?
Multiple Choice
$11,438
S1698
$4,025
S13.625
Activate Window
Go0Setgeto Ac
Transcribed Image Text:An employee was provided with a company car for the whole of 2020. The car originally cost $50,000 and has a current net book value of $10,000. The car was driven a total of 40,000 km - 27,000 km was for driving to clients' offices; and 13,000 km was going to and from the office. The company paid the $5,000 of operating expenses. What would be the minimum amount of the auto benefit for 2020 (round to nearest dollar)? Multiple Choice $11,438 S1698 $4,025 S13.625 Activate Window Go0Setgeto Ac
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