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On October 1, 2023, B's employer provided her with the use of a car. The car was purchased for $42,000 (including tax). The employer will also pay for the operating expenses that are expected to be $2,500 annually. B will drive the car 1,800 km per month of which 800 km will be for employment purposes. What amount is included in B's employment income for tax purposes in 2023?

On October 1, 2023, B's employer provided her with the use of a car. The car was purchased for $42,000 (including tax). The employer will also pay for the operating expenses that are expected to be $2,500 annually. B will drive the car 1,800 km per month of which 800 km will be for employment purposes. What amount is included in B's employment income for tax purposes in 2023?

FINANCIAL ACCOUNTING
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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On October 1, 2023, B's employer provided her with the use of a car. The car was purchased for $42,000 (including tax). The employer will also pay for the operating expenses that are expected to be $2,500 annually. B will drive the car 1,800 km per month of which 800 km will be for employment purposes. What amount is included in B's employment income for tax purposes in 2023? $ 115.75
Transcribed Image Text:On October 1, 2023, B's employer provided her with the use of a car. The car was purchased for $42,000 (including tax). The employer will also pay for the operating expenses that are expected to be $2,500 annually. B will drive the car 1,800 km per month of which 800 km will be for employment purposes. What amount is included in B's employment income for tax purposes in 2023? $ 115.75
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