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Jason works as a scientist in Sophisticated Research Foundation. He uses his own car to travel to various locations to conduct experiments. He acquired the

Jason works as a scientist in Sophisticated Research Foundation. He uses his own car to travel to various locations to conduct experiments. He acquired the car on 1 October 2021 for $70,000. The acquisition cost was funded entirely by a loan at an interest rate of 10%. He has determined that the depreciation deduction on the car would be $2,500 for the year. In addition, Jason incurred the following expenses during the year: Registration and insurance = $1,300; Repairs and maintenance = $1,500; and Oil and fuel costs = $2,500. For the period 1 October 2021 to 30 June 2022, Jason estimates that the car travelled a total of 20,000 kilometres, 14,000 of which were for business purposes. You may assume that Jason has maintained all necessary records and a logbook. Required: Calculate Jason's deduction for car expenses under the logbook method by referencing to Div 28 of ITAA 1997, assuming that depreciation has been adjusted for part year use and the impact of the car limit.

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