You negotiate a car price to $22,000. You must add sales tax to the purchase of 10.25% (this varies from state to state), which gives you the total purchase price for the car at $24,255. You trade in your old vehicle for $3,000, and you benefit from a $1,000 manufacturer's rebate. What is your adjusted capitalized cost? (round to the nearest dollar){DO NOT INCLUDE COMMAS OR $} Type your numeric answer and submit

You negotiate a car price to $22,000. You must add sales tax to the purchase of 10.25% (this varies from state to state), which gives you the total purchase price for the car at $24,255. You trade in your old vehicle for $3,000, and you benefit from a $1,000 manufacturer's rebate. What is your adjusted capitalized cost? (round to the nearest dollar){DO NOT INCLUDE COMMAS OR $} Type your numeric answer and submit

SWFT Essntl Tax Individ/Bus Entities 2020

23rd Edition

ISBN:9780357391266

Author:Nellen

Publisher:Nellen

Chapter5: Business Deductions

Section: Chapter Questions

Problem 45P

See similar textbooks

Similar questions

You negotiate a car price to $22,000. You must add sales tax to the purchase of 10.25% (this varies from state to statewhich gives you the total purchase price for the car at 524,255, You trade in your old vehicle for 53,000, and you benefit from a $1,000 manufacturer's rebateWhat is your adjusted capitalized cost? (round to the nearest dollar) DO NOT INCLUDE COMMAS OR
You negotiate a car price to $ 25, 000 You must add sales tax to the purchase of 9.50%which gives you the total purchase price for the car at Type your answer here You trade in your old your vehicle for $5,000, and you benefit from a $900 manufacturer's rebateYour adjusted capitalized cost is
You are in a car accident and your car is totaled. You find a new-to-you vehicle for $18,395 that you would like to buy. A) If the sales tax is 6.5% of the purchase price, what is the amount of the sales tax? B) With the sales tax, how much is the vehicle cost altogether? C) If the car license fee is 1.2% of the purchase price, find the amount of the license fee. D) If you were to make a down payment of $2500, find the amount of the loan that you would need. E) Assuming you get a loan for 4 years at an interest rate of 7.5% what amount would you need to borrow with the sales tax and license fee included? F) Taking the answer from E) what would your monthly payments be?
2. How much can you deduct for AGI for the following scenarios? Provide explanation for possible partial credit. (Remember that I only ask how much For AGI deduction can you claim in each scenario, I do not ask for the calculation of AGI) • Austin is a Graduate student. His gross income for 2020 is $25k from his Research assistant job. Austin pay $18k for his tuition in 2020 from his out-of-pocket money. • Anna is a non-active, non-managing, partner in AnnaBanana LLC. Her tax basis in the partnership is $10k. Her share of loss from the partnership is $12k. • Allison contribute $4k to her traditional IRA.
Suppose that the local sales tax rate is 4% and you purchase a car for $24,800. a. How much tax is paid? b. What is the car's total cost?
2. Jason Bradley decided to buy a home for $271,000. His bank requires a 25% down payment. His attorney, has notified Jason that besides the 25% down payment there will be the following additional costs: Recording of the deed $266.00 A credit and appraisal report 1521.00 Preparation of appropriate documents 444.00 In addition, there will be a transfer tax of 1.5% of the purchase price and a loan origination fee of 3% of the mortgage amount. Assume a 30-year mortgage at a rate of 9.5%. a. What is the initial amount of cash Jason will need? (Do not round intermediate calculations. Round your answer to the nearest cent.) b. What is his monthly payment? c. What is the total cost of interest over the life of the mortgage? (Use the amortization worksheet in the financial calculator.
You wish to buy a car at a cost of $45,000. Ford Credit will finance the car at 3.9%/year over 48 months OR you can receive a rebate of $1,500 and finance through your credit union at 9.7%/year over 48 months. How should you finance your car and what are your monthly payments? How much of a rebate would Ford have to give to make you indifferent to the financing? Round final answers to 2 decimal places. Show your work in detail for full credit. 27043 16:2206 26-01-201 301-4022- 050-4372
Suppose that the local sales tax rate is 7% and you purchase a car for $14.600. a. How much tax is paid? b. What is the car's total cost? a. The amount of tax paid is $
1. You and the dealer have agreed upon the purchase price for a new automobile. The purchase price is $38,000. In addition, sales tax of $2,280, a documentation fee of $500 is added to you purchase price. You make an initial payment of $5,000 and seek to finance the remaining balance. Your automobile dealer has a finance opportunity which will allow you to defer your first payment for 6 months. Your car payments will be paid each monthly over a 3-year period beginning the first month after the 6 months deferral period. The interest rate is 6% per year for the duration of the loan and interest accrue monthly during the 6 months' deferral period. a. Draw the cash flow diagram from your perspective. b. What are your monthly payments? You decide to pay off your loan when you make your 24th payment. What will be your total 24th payment?
Zachary Lee has a personal automobile policy (PAP) with coverage of $50,000/$100,000 for bodily injury liability, $50,000 for property damage liability, $3,000 for medical payments, and a $500 deductible for collision insurance. How much will his insurance cover in each of the following situations? Will he have any out-of-pocket costs? Round your answer to the whole dollar, if necessary. Leave no cells blank, be sure to enter "0" wherever required. Zachary loses control and skids on ice, running into a parked car and causing $2,645 damage to the unoccupied vehicle and $4,500 damage to his own car. Total paid by the insurance company $ Zachary's out-of-pocket costs $ Zachary runs a stop sign and causes a serious auto accident, badly injuring two people. The injured parties win lawsuits against him for $50,000 each. Total paid by the insurance company $ Zachary's out-of-pocket costs (for both victims) $ Zachary's 18-year-old son borrows his car. He backs into…
You buy a new car for $22,222. You must also pay tax and license fees of $1,570. You borrow $20,000 at 5.9% interest for 7 years with monthly payments of $291.21. What is the total cost of the truck, including tax and license fees and finance charges.
If your buying a car from a car dealership for $80,000 & the car dealership is giving you $19,000 for the trade, $495 Pre-Delivery fee, Tax Title License comes out to around $4,322.19, and payoff of $18,500 you would come to a out the door (financed) $83,974. Can you explain how he got those numbers in detail? And how much is Tax, Title, and License? If Sales Tax: 6.25%