On May 9th, David paid $34,500 (including sales tax) to purchase a used Audi A8 that he uses 90% of the time for business. No trade-in was involved. David uses the actual operating cost method to compute his tax deduction. His expenses relating to the A8 are as follows:

Gasoline $2,800
Auto insurance 1,250
Interest on car loan 750
Oil changes 425
Traffic violations 350
License and registration 150
Parking 90
Tolls 75

David drove the Audi 13,500 miles for business and 1,500 personal use miles.