During 2013,Marsha,an Employee of G&H CPA Firm,drove Her Car 24,000

question 53

Multiple Choice

During 2013,Marsha,an employee of G&H CPA firm,drove her car 24,000 miles.The detail of the mileage is as follows:
$\begin{array}{lr}\text { Personal Use } & 3,000 \text { miles } \\\text { Transportation between home and office } & 3,000 \text { miles } \\\text { Transportati on to and from clients' offices } & 18,000 \text { miles }\end{array}$
Marsha's 2013 records show that her car expenses totaled $14,320.The details of the expenses are as follows:
$\begin{array}{lr} \text { Gas, oil, and repairs } &9,260 \\ \text { Insurance and licensing } &1,500 \\ \text {Depreciation } &2,960 \\ \text { Interest on car loan } &400 \\ \text {Tolls and parking at clients' offices } &200\end{array}$
What is the amount of her deduction for her use of the car?

• A)$ 9,000
• B)$ 9,990
• C)$ 10,190
• D)$ 10,670
• E)$ 10,790

Understand the implications of the lower of cost or net realizable value rule on financial statements.

Identify the flow of goods from production to finished goods inventory.

Recognize the effects of inventory methods on income taxes.

Understand the components of the year-end inventory balance.

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Definitions:

Discrimination Coefficient

The discrimination coefficient is a concept in statistics and econometrics that measures the difference in treatment or impact between groups, quantifying the extent of discrimination or bias.

Wage Differential

The variation in pay for jobs due to factors such as skill level, location, and industry demand.

Statistical Discrimination

Decision-making based on statistical generalizations about groups rather than on individual merits, often leading to unfair outcomes.