QUESTION 8.25 (Car expenses using logbook and expense data) Rory derives business income from a retail cosmetics store. On 1 October 2019, Rory bought a Mercedes for $78,340. Its effective life is eight years. Rory kept a logbook for 12 weeks which disclosed the following: Travel from home to the shop and return 2,735 km Travel from the shop to college (Rory is studying a course 370 km in fitness training) Travel from college to home 735 km Travel to customers and suppliers 3,460 km The logbook is representative of the entire year. Odometer records showed a total of 23,840 kilometres travelled during the period up to 30 June 2020. Rory also kept receipts and records which show the following costs: Petrol and Repairs $ 2,850 Excess on Insurance for repairs 600 Car Washes Registration and Insurance 1,735 Parking at Airport (during a business trip) 380 Determine the maximum amount of any deductions available to Rory. 930 Answer to Q-8.25 (Car expenses using logbook and expense data) Note- Please show all workings where necessary and you may use additional spexe below Please write your workings/explanations and answers in Blue cells Costs ($1 Write your Reasons or Workings (if applicable) Enter cost amount here IS) 2.850 GCO 930 Operating costs - Petrol and Repairs - Excess on Insurance for repairs - Car Washes - Registration and insurance - Parking at Airport (during a business trip - Decline in Value Total business operating costs 1.735 380 Enter here $) Possible methods of determining car expenses Included: Business use Your answer: Logbook or Cents per kg method Logbook Method Cents per kilometre Deductible Expenses Deductible Amount Enter Claimable amount Workings (show clearly) $ Logbook or Cents per Kin method 380.00 Car Cxpenses Parking at Airport Total Deductive Expenses Maximum deductions available to Rory Additional Workings (if any) QUESTION 8.25 (Car expenses using logbook and expense data) Rory derives business income from a retail cosmetics store. On 1 October 2019, Rory bought a Mercedes for $78,340. Its effective life is eight years. Rory kept a logbook for 12 weeks which disclosed the following: Travel from home to the shop and return 2,735 km Travel from the shop to college (Rory is studying a course 370 km in fitness training) Travel from college to home 735 km Travel to customers and suppliers 3,460 km The logbook is representative of the entire year. Odometer records showed a total of 23,840 kilometres travelled during the period up to 30 June 2020. Rory also kept receipts and records which show the following costs: Petrol and Repairs $ 2,850 Excess on Insurance for repairs 600 Car Washes Registration and Insurance 1,735 Parking at Airport (during a business trip) 380 Determine the maximum amount of any deductions available to Rory. 930 Answer to Q-8.25 (Car expenses using logbook and expense data) Note- Please show all workings where necessary and you may use additional spexe below Please write your workings/explanations and answers in Blue cells Costs ($1 Write your Reasons or Workings (if applicable) Enter cost amount here IS) 2.850 GCO 930 Operating costs - Petrol and Repairs - Excess on Insurance for repairs - Car Washes - Registration and insurance - Parking at Airport (during a business trip - Decline in Value Total business operating costs 1.735 380 Enter here $) Possible methods of determining car expenses Included: Business use Your answer: Logbook or Cents per kg method Logbook Method Cents per kilometre Deductible Expenses Deductible Amount Enter Claimable amount Workings (show clearly) $ Logbook or Cents per Kin method 380.00 Car Cxpenses Parking at Airport Total Deductive Expenses Maximum deductions available to Rory Additional Workings (if any)
