1a)Your company plans to hire an employee at a yearly salary of $70,000. Someone in your company says the actual cost will be lower because of payroll deductions. Someone else says it will be higher. Who is right? What is likely to be the total cost to the company? Explain.

b)What is a contingent liability? How is a contingent liability reported under GAAP? How does this differ under IFRS? Explain.