A. On January 1 of the current year E received a loan of $100,000 from her employer. The principle is repayable after 8 years. The loan bears interest at 2% per annum. The prescribed interest rate for the first quarter of the year was 4% and 5% for the remainder of the year. E used the loan to assist with the purchase of a home. What amount is included in Es employment income for tax purposes in the current year?

B. A manager was provided with a company car for the whole of 2016. The original cost of the car was $50, 000 and the current the net book value is $10, 000. Of the total 40, 000 km driven, 27, 000 km was for driving to clients' offices and 13, 000 km was travel to and from the office. The company paid the $5, 000 of operating expenses for the car. What would be the amount of the auto benefit for 2016 (round to nearest dollar)?

$4, 025

$11, 178

$15, 380

$11, 698