A company buys a car for its CEO on 31St March of the current financial year at a cost of $45,000. The CEO uses the car for business 75% of the time. The car travels 40,000 kilometres in the current FBT year and the CEO makes a contribution of $250 towards petrol costs. Assuming the statutory formula method, what is the taxable value of the car fringe benefit?

(a) $2,000.00

(b) $787.50

(c) $987.50

(d) $1,412.50

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