Question

Ryan is self-employed. This year Ryan used his personal auto for several long business trips. Ryan paid $1,500 for gasoline on these trips. His depreciation on the car if he was using it fully for business purposes would be $3,000. During the year, he drove his car a total of 12,000 miles (a combination of business and personal travel). (Do not round intermediate calculations. Round your final answer to the nearest dollar amount.)

Answer 1

A.$2,250

B.$1,152

Step-by-step explanation:

A.

$1500 + 3000*[3000/12000]

$1,500 + $750

= $2,250

B.

{[820/12000]*3000} + {[820/1300]*1500}

=$205 +$946

=$1,152