Both high-income and low-income employees are covered by

Reference no: EM13569990

Both high-income and low-income employees are covered by cafeteria plans. Under such plans, all employees may select from a list of nontaxable fringe benefits or they may elect to receive cash in lieu of these benefits.

a) Which group of employees is more likely to choose nontaxable fringe benefits in lieu of cash? Explain.

b) Is this result desirable from a social or economic point of view? Explain.

Reference no: EM13569990

Questions Cloud

Cabigas company manufactures two products product c and : cabigas company manufactures two products product c and product d. the company estimated it would incur 167140 in

Arrow industries employs a standard cost system in which : arrow industries employs a standard cost system in which direct materials inventory is carried at standard cost. arrow

Ruggiero company had the account balances shown below : ruggiero company had the account balances shown below. debits cash 4800 accounts receivable 3900 inventory 1800

Both high-income and low-income employees are covered by : both high-income and low-income employees are covered by cafeteria plans. under such plans all employees may select

The most recent monthly income statement for kennaman : the most recent monthly income statement for kennaman stores is given below total store i store ii sales total 2000000

N january 30 lift time corporation a wholesaler of : n january 30 lift time corporation a wholesaler of hydralic lifts acquired land in exchange for 18000 shares of 10 par

Wal-mart stores inc is the worlds largest retailer a large : wal-mart stores inc. is the worlds largest retailer. a large portion of the premises that the company occupies are

Beginning wip inventory is 900 units completed and : beginning wip inventory is 900 units completed and transferred out were 3400 units and ending wip inventory is 800

User Account

All Pages