Question - Fred McClure is a self-employed architect. In 2010, Fred drove his personal car 9,000 miles for business. Fred spent the following amounts related to his car:
Gas and oil changes $4,659
Parking (100% for business) 600
Auto Insurance 1,400
License renewal fees 150
Automobile repairs 650
Depreciation 1,250
Total costs $8,709
In 2010, Fred drove his car a total of 15,000 miles.
a. How much can Fred deduct on his 2010 Schedule C of his actual automobile expenses?
b. If Fred uses the standard mileage rate, how much can Fred deduct of his automobile expenses in 2010?