Question
Ryan is self-employed. This year Ryan used his personal auto for several long business trips. Ryan paid $1,590 for gasoline on these trips. His depreciation
Ryan is self-employed. This year Ryan used his personal auto for several long business trips. Ryan paid $1,590 for gasoline on these trips. His depreciation on the car if he was using it fully for business purposes would be $4,800. During the year, he drove his car a total of 18,800 miles (a combination of business and personal travel).
Ryan estimates that he drove approximately 1,925 miles on business trips, but he can only provide written documentation of the business purpose for trips totaling 1,060 miles. What business expense amount can Ryan deduct (if any) for these trips?
What I have been doing to solve this question is taking the 1,060 miles and dividing it by the total 18,800 miles and taking this decimal and multiplying it by the $4800 of depreciation. After that, I add the $1590 for gasoline. Can someone explain where I need to fix my calculations?
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