Paul Is Employed as an Auditor by a CPA Firm

question 22

Essay

Paul is employed as an auditor by a CPA firm.On most days,he commutes by auto from his home to the office.During one month,however,he has an extensive audit assignment closer to home.For this engagement,Paul drives directly from home to the client's premises and back.Mileage information is summarized below:
Home to office
12 miles
Office to audit client
15 miles
Audit client to home
10 miles
If Paul spends 20 days on the audit,what is his deductible mileage?

---

Definitions:

Purely Competitive Market

A market structure characterized by many sellers and buyers, homogeneous products, and easy entry and exit, leading to a situation where no single participant has market control.

Total Fixed Cost

The sum of all costs that remain constant regardless of the level of output or production in a business.

Total Cost

The aggregate sum of all costs, both fixed and variable, incurred in the production of goods or services.

Output

The total amount of goods or services produced by a company, industry, or economy in a given period.