Kenny received a travel allowance of R450 000 from his employer and uses his own vehicle for business purposes. He keeps an accurate account of his travel in a logbook. According to the logbook he travelled a total of 41 000 kms for the current year of assessment. He can prove that 20 800 of the total kilometres were for business purposes. The motor vehicle had originally cost Kenny R766 000 including VAT.

The total cost per kilometer for Income tax purposes will be:

	A.	R3.88
	B.	R18.60
	C.	R7.34
	D.	R6.86

Kenny received a travel allowance of R450 000 from his employer and uses his own vehicle for business purposes. He keeps an accurate account of his travel in a logbook. According to the logbook he travelled a total of 41 000 kms for the current year of assessment. He can prove that 20 800 of the total kilometres were for business purposes. The motor vehicle had originally cost Kenny R766 000 including VAT.

The business portion that should be deducted from the travel allowance is:

	A.	R142 688
	B.	R147 896
	C.	R189 148
	D.	R145 008