The first part concerning the auto dealer is irrelevant since he receives the same deal no matter which of his employer's plans he opts for.
a) At 18000 km per year, he receives 18000(.223) + 2000 = 6014 under the first option
Under the second option, he receives 18000(.32) = 5760 ......so the first option is better
b) Let x be the distance at which the reimbursements are the same....and we have....
.223(x) + 2000 = (.32)x rearrange as
2000 = 0.097x divide both sides by 0.097
x = about 20619 km