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Octopus Pty Ltd allowed its managing director use of a company car. Details relating to the car for the whole of the current FBT year

Octopus Pty Ltd allowed its managing director use of a company car. Details relating to the car for the whole of the current FBT year are as follows:

Cost (including GST) $40,000

Opening written down value $34,000

Distance travelled during FBT year:

Business 14,000 km

Private 24,000 km

Contribution to by managing director $500

Repairs and maintenance $1,200

Fuel and oil $1,500

Registration and insurance for holding period $1,800

Required: Calculate the FBT payable for the current FBT year under both methods. Show full workings.

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