Art is a self-employed installer of home entertainment systems, and he drives his car frequently to installation locations. Art drove his car 11,800 miles for business purposes and 27,000 miles in total. His actual expenses, including depreciation, for operating the auto are $15,950 since he had to have the car repaired several times. Art has always used the actual cost method in the past.

How much is Art's deductible auto expense for the year?

Round any interim division calculations to five decimal places. Round the final answer to the nearest dollar. $_______________

Problem 3-7 Transportation (LO 3.3)

Art is a self-employed installer of home entertainment systems, and he drives his car frequently to installation locations. Art drove his car 15,000 miles for business purposes and 20,000 miles in total. His actual expenses, including depreciation, for operating the auto are $10,000 since he had to have the car repaired several times. Art has always used the actual cost method in the past.

How much is Art's deductible auto expense for the year? $_________________