Both the managing director and regional manager of Trail Ltd have the benefit of the use of company cars which may also be used for private purposes. The total benefit for the use of the cars are estimated at R350 000 per year, of which 35% is for private use and 65% for business purposes. The total amount that should be disclosed in remuneration as other benefits should be: 1. R122 500 2. R227 500 3. R245 000 4. R455 000

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Question
100%

Both the managing director and regional manager of Trail Ltd have the benefit of the use
of company cars which may also be used for private purposes. The total benefit for the
use of the cars are estimated at R350 000 per year, of which 35% is for private use and
65% for business purposes. The total amount that should be disclosed in remuneration
as other benefits should be:
1. R122 500
2. R227 500
3. R245 000
4. R455 000

Expert Solution
steps

Step by step

Solved in 3 steps

Blurred answer
Knowledge Booster
Estate taxes
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education