Brent Bishop is the vice president of operations for Southern Sweets Bakery. He drives a 2021 Toyota Prius as his company car, and it has a fair market value of $41,500. The prorated annual lease value per Publication 15-b for the vehicle is $10,750. He reported driving 34,750 miles during 2021, of which 20 percent were for personal reasons. The company pays his fuel and charges him five cents per mile for fuel charges. Required: Using the lease value rule, what is the valuation of Brent's company car benefit? (Do not round intermediate calculations and round your final answer to 2 decimal places.) Valuation of Brent's company car benefit

Brent Bishop is the vice president of operations for Southern Sweets Bakery. He drives a 2021 Toyota Prius as his company car, and it has a fair market value of $41,500. The prorated annual lease value per Publication 15-b for the vehicle is $10,750. He reported driving 34,750 miles during 2021, of which 20 percent were for personal reasons. The company pays his fuel and charges him five cents per mile for fuel charges. Required: Using the lease value rule, what is the valuation of Brent's company car benefit? (Do not round intermediate calculations and round your final answer to 2 decimal places.) Valuation of Brent's company car benefit

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Brent Bishop is the vice president of operations froSouthern Swwet Bakery. He drives a 2019 Toyota Prius Prime as his company car, and it has a fair market value of $37,500. The prorate annual lease value per Publication 15-b for the vehicle is $10,250. He reported driving 35,250 miles during 2019, of which 20 percent were fro personal reasons. The company pays his fuel and chargers him five cents per miles for fuel chargers. Required: Using the leave value rule, what is the valuation of Brent company car benefits? (Do not round intermediate calculations and round your final answer to 2 decimal places.)
Blaine is the vice president of operations for Southern Sweets Bakery. Blaine drives a 2023 Toyota Prius as his company car, and it has a fair market value of $41,500. The vehicle's prorated annual lease value per Publication 15-B is $10,750. Blaine reported driving 34,750 miles during 2023, of which 20 percent were for personal reasons. The company pays for fuel and charges five cents per mile for fuel charges. Required: Using the lease value rule, what is the valuation of Blaine's company car benefit? Note: Do not round intermediate calculations and round your final answer to 2 decimal places. Valuation of Blaine's company car benefit
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