Ted Purchased a Vehicle for Business and Personal Use

question 70

Essay

Ted purchased a vehicle for business and personal use. In 2015, Ted used the vehicle 70% for business (10,000 business miles) and used the standard mileage rate to calculate his vehicle expenses. Ted also paid $1,200 in interest and $380 in county property tax on the car. What is the total business deduction related to business use of the car in 2015?

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Definitions:

Implicit Knowledge

Knowledge that is acquired and applied without conscious awareness, often in the form of skills or learned behaviors.

Adapting Technologies

The process of modifying existing technologies or adopting new ones to better suit the changing needs and objectives of a business or society.

Certainty

The state of being completely confident or having no doubt about something.

Car Rental

A service industry that provides temporary vehicles for use by customers, typically on a short-term basis.