Mr Ali is an employee of Alba Ltd. He has the use of a car which is used for both business and private mileage for the current VAT quarter. Alba Ltd pays all the petrol costs in respect of the car, totaling £1,700 of which 30% is for private mileage. The relevant quarterly scale charge is £717. Both figures are inclusive of VAT. Required (a) What is the VAT effect of the above on Alba Ltd if it uses the quarterly scale charge? What is the VAT effect of the above on Alba Ltd if it charges John for the private fuel? (b)

Mr Ali is an employee of Alba Ltd. He has the use of a car which is used for both business and private mileage for the current VAT quarter. Alba Ltd pays all the petrol costs in respect of the car, totaling £1,700 of which 30% is for private mileage. The relevant quarterly scale charge is £717. Both figures are inclusive of VAT. Required (a) What is the VAT effect of the above on Alba Ltd if it uses the quarterly scale charge? What is the VAT effect of the above on Alba Ltd if it charges John for the private fuel? (b)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Please answer all parts of the question
Through November, Cameron has received gross income of $130,500. For December, Cameron is considering whether to accept one more work engagement for the year. Engagement 1 will generate $9,730 of revenue at a cost to Cameron of $4,050, which is deductible for AGI. In contrast, engagement 2 will generate $7,100 of qualified business income (QBI), which is eligible for the 20 percent QBI deduction. Cameron files as a single taxpayer, and he did not contribute to charity during the year. Calculate Cameron's taxable income assuming he chooses engagement 1 and assuming he chooses engagement 2. Assume he has no itemized deductions. Description (1) Gross income before new work engagement (2) Income from engagement (3) Additional for AGI deduction (4) Adjusted gross income (6) Deduction for QBI Taxable income Engagement 1 Engagement 2
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(please solve within 15 minutes I will give thumbs up)
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