Complete this question by entering your answers in the tabs below Given that Leslie expects her tax rate to increase next year, she would prefer to receive more of the income from the project up front Consider an alternative proposal under which French pays Leslie $49,000 this year, and $19,000 in one year when the contract is complete Calculate the after tax benefit of this counterproposal to Leslie and the after tax cost to French Note Cash outflows and negative amounts should be indicated by a minus sign Round discount factors to 3 decimal places Round intermediate calculations and final answers to the nearest whole dollar amount APPENDIXA Present Value of $1 begin tabular c c c c c c c c hline Periods 3 4 5 6 7 8 9 hline 1 0 971 0 962 0 952 0 943 0 935 0 926 0 917 hline 2 0 943 0 925 0 907 0 890 0 873 0 85 0 842 hline 3 0 915 0 889 0 864 0 840 0 816 0 794 0 772 hline 4 0 888 0 855 0 823 0 792 0 763 0 735 0 708 hline 5 0 863 0 822 0 784 0 747 0 713 0 681 0 650 hline 6 0 837 0 790 0 746 0 705 0 666 0 630 0 596 hline 7 0 813 0 760 0 711 0 665 0 623 0 583 0 547 hline 8 0 789 0 731 0 677 0 627 0 582 0 540 0 502 hline 9 0 766 0 703 0 645 0 592 0 544 0 500 0 460 hline 10 0 744 0 676 0 614 0 558 0 508 0 463 0 422 hline 11 0 722 0 650 0 585 0 527 0 475 0 429 0 388 hline 12 0 701 0 625 0 557 0 497 0 444 0 397 0 356 hline 13 0 681 0 601 0 530 0 469 0 415 0 368 0 326 hline 14 0 661 0 577 0 505 0 442 0 388 0 340 0 299 hline 15 0 642 0 555 0 481 0 417 0 362 0 315 0 275 hline 16 0 623 0 534 0 458 0 394 0 339 0 292 0 252 hline 17 0 605 0 513 0 436 0 371 0 317 0 270 0 231 hline 15 0 587 0 494 0 416 0 350 0 296 0 250 0 212 hline 19 0 570 0 475 0 396 0 331 0 277 0 232 0 194 hline 20 0 554 0 456 0 377 0 312 0 258 0 215 0 178 hline end tabular begin tabular c l l l l l l l hline Periods 10 11 12 13 14 15 20 hline 1 0 909 0 901 0 893 0 885 0 877 0 870 0 833 hline 2 0 826 0 812 0 797 0 783 0 769 0 756 0 694 hline 3 0 751 0 731 0 712 0 693 0 675 0 658 0 579 hline 4 0 683 0 659 0 636 0 613 0 592 0 572 0 482 hline 5 0 621 0 593 0 567 0 543 0 519 0 497 0 402 hline 6 0 564 0 535 0 507 0 480 0 456 0 432 0 335 hline 7 0 513 0 482 0 452 0 425 0 400 0 376 0 279 hline 8 0 467 0 434 0 404 0 376 0 351 0 327 0 233 hline 9 0 424 0 391 0 361 0 333 0 308 0 284 0 194 hline 10 0 386 0 352 0 322 0 295 0 270 0 247 0 162 hline 11 0 350 0 317 0 287 0 261 0 237 0 215 0 135 hline 12 0 319 0 286 0 257 0 231 0 208 0 187 0 112 hline 13 0 290 0 258 0 229 0 204 0 182 0 163 0 093 hline 14 0 263 0 232 0 205 0 181 0 160 0 141 0 078 hline 15 0 239 0 209 0 183 0 160 0 140 0 123 0 065 hline 16 0 218 0 188 0 163 0 141 0 123 0 107 0 054 hline 17 0 198 0 170 0 146 0 125 0 108 0 093 0 045 hline 18 0 180 0 153 0 130 0 111 0 095 0 081 0 038 hline 19 0 164 0 138 0 116 0 098 0 083 0 070 0 031 hline 20 0 149 0 124 0 104 0 087 0 073 0 061 0 026 hline end tabular French Corporation wishes to hire Lesile as a consultant to design a comprehensive staff training program The project is expected to take one year, and the parties have agreed to a tentative price of $70,000 French Corporation has proposed payment of one half of the fee now, with the remainder paid in one year when the project is complete Use Appendix A and AppendixB Required o If Lesile expects her marginal tax rate to be 15 percent this year and 25 percent next year, calculate the after tax net present value of this contract to Lesile, using a 6 percent discount rate b French Corporation expects its marginal tax rate to be 21 percent boti years Calculate the net present value of French's after tax cost to enter into this contract using a 6 percent discount rate c1 Given that Lesile expects her tax rate to increase next year, she would prefer to recelve more of the income from the project up front Consider an alternative proposal under which French pays Leshie $49,000 this year, and $19,000 in one year when the contract is complete Calculate the after tax benefit of this counterproposal to Leslle and the after tax cost to French c2 Are both parties better off under this aiternative than under the original plan Complete this question by entering your answers in the tabs below If Leslie expects her marginal tax rate to be 15 percent this year and 25 percent next year, calculate the after tax net present value of this contract to Leslie, using a 6 percent discount rate Note Cash outflows and negative amounts should be indicated by a minus sign Round discount factors to 3 decimal places Round intermediate calculations and final answers to the nearest whole dollar arnount APPENDIX B Present Value of Annuity of $1 begin tabular c l l l l l l l hline Periods 10 11 12 13 14 15 20 hline 1 0 909 0 901 0 893 0 885 0 877 0 870 0 833 hline 2 1 736 1 713 1 690 1 668 1 647 1 626 1 528 hline 3 2 487 2 444 2 402 2 361 2 322 2 283 2 106 hline 4 3 170 3 102 3 037 2 974 2 914 2 855 2 589 hline 5 3 791 3 696 3 605 3 517 3 433 3 352 2 991 hline 6 4 355 4 231 4 111 3 998 3 889 3 784 3 326 hline 7 4 868 4 712 4 564 4 423 4 288 4 160 3 605 hline 8 5 335 5 146 4 968 4 799 4 639 4 487 3 837 hline 9 5 759 5 537 5 328 5 132 4 946 4 772 4 031 hline 10 6 145 5 889 5 650 5 426 5 216 5 019 4 192 hline 11 6 495 6 207 5 938 5 687 5 453 5 234 4 327 hline 12 6 814 6 492 6 194 5 918 5 660 5 421 4 439 hline 13 7 103 6 750 6 424 6 122 5 842 5 583 4 533 hline 14 7 367 6 982 6 628 6 302 6 002 5 724 4 611 hline 15 7 606 7 191 6 811 6 462 6 142 5 847 4 675 hline 16 7 824 7 379 6 974 6 604 6 265 5 954 4 730 hline 17 8 022 7 549 7 120 6 729 6 373 6 047 47775 hline 18 8 201 7 702 7 250 6 840 6 467 6 128 4 812 hline 19 8 365 7 839 7 366 6 938 6 550 6 198 4 843 hline 20 8514 7963 7 469 7 025 6 623 6 259 4 870 hline end tabular French Corporation wishes to hire Leslie as a consultant to design a comprehensive staff training program The project is expected to take one year, and the parties have agreed to a tentative ptice of $70,000 French Corporation has proposed payment of one hali of the fee now, with the remainder pald in one year when the project is complete Use ApRendix A and Appendix B Required o If Lesile expects her marginal tax rate to be 15 percent this year and 25 percent next year, calculate the after tax net present value of this contract to Leslle, using a 6 percent discount rate b French corporation expects its marginal tax rate to be 21 percent both years Calculate the net present value of French's after tax cost to enter into this contract using a 6 percent discount rate c1 Given that Lesile expects her tax rate to increase next year, she would prefer to recelve more of the income from the project up front Consider an alternative proposal under which French pays Leslie $49,000 this year, and $19,000 in one year when the contract is complete Calculate the after tax benefit of this counterproposal to Lesile and the after tax cost to French C2 Are both parties better off under this alternative than under the oniginat plan Complete this question by entering your answers in the tabs below French Corporation expects its marpinal tax rate to be 21 percent both years Calculate the net present value of French's after tax cost to enter into this contract using a 6 percent discount rate Note Cash outliows and negative amounts should be indicated by a minus sign Round discount factors to 3 dedimal places Round intermediate calculations and final answers to the nearest whole dollar amount

Question

Complete this question by entering your answers in the tabs below  Given that Leslie expects her tax rate to increase next year, she would prefer to receive more of the income from the project up front  Consider an alternative proposal under which French pays Leslie $49,000 this year, and $19,000 in one year when the contract is complete  Calculate the after tax benefit of this counterproposal to Leslie and the after tax cost to French  Note  Cash outflows and negative amounts should be indicated by a minus sign  Round discount factors to 3 decimal places  Round intermediate calculations and final answers to the nearest whole dollar amount  APPENDIXA Present Value of  $1  begin tabular   c c c c c c c c    hline Periods   3    4    5    6    7    8    9      hline 1   0 971   0 962   0 952   0 943   0 935   0 926   0 917     hline 2   0 943   0 925   0 907   0 890   0 873   0 85   0 842     hline 3   0 915   0 889   0 864   0 840   0 816   0 794   0 772     hline 4   0 888   0 855   0 823   0 792   0 763   0 735   0 708     hline 5   0 863   0 822   0 784   0 747   0 713   0 681   0 650     hline 6   0 837   0 790   0 746   0 705   0 666   0 630   0 596     hline 7   0 813   0 760   0 711   0 665   0 623   0 583   0 547     hline 8   0 789   0 731   0 677   0 627   0 582   0 540   0 502     hline 9   0 766   0 703   0 645   0 592   0 544   0 500   0 460     hline 10   0 744   0 676   0 614   0 558   0 508   0 463   0 422     hline 11   0 722   0 650   0 585   0 527   0 475   0 429   0 388     hline 12   0 701   0 625   0 557   0 497   0 444   0 397   0 356     hline 13   0 681   0 601   0 530   0 469   0 415   0 368   0 326     hline 14   0 661   0 577   0 505   0 442   0 388   0 340   0 299     hline 15   0 642   0 555   0 481   0 417   0 362   0 315   0 275     hline 16   0 623   0 534   0 458   0 394   0 339   0 292   0 252     hline 17   0 605   0 513   0 436   0 371   0 317   0 270   0 231     hline 15   0 587   0 494   0 416   0 350   0 296   0 250   0 212     hline 19   0 570   0 475   0 396   0 331   0 277   0 232   0 194     hline 20   0 554   0 456   0 377   0 312   0 258   0 215   0 178     hline  end tabular   begin tabular   c l l l l l l l    hline Periods   10    11    12    13    14    15    20      hline 1   0 909   0 901   0 893   0 885   0 877   0 870   0 833     hline 2   0 826   0 812   0 797   0 783   0 769   0 756   0 694     hline 3   0 751   0 731   0 712   0 693   0 675   0 658   0 579     hline 4   0 683   0 659   0 636   0 613   0 592   0 572   0 482     hline 5   0 621   0 593   0 567   0 543   0 519   0 497   0 402     hline 6   0 564   0 535   0 507   0 480   0 456   0 432   0 335     hline 7   0 513   0 482   0 452   0 425   0 400   0 376   0 279     hline 8   0 467   0 434   0 404   0 376   0 351   0 327   0 233     hline 9   0 424   0 391   0 361   0 333   0 308   0 284   0 194     hline 10   0 386   0 352   0 322   0 295   0 270   0 247   0 162     hline 11   0 350   0 317   0 287   0 261   0 237   0 215   0 135     hline 12   0 319   0 286   0 257   0 231   0 208   0 187   0 112     hline 13   0 290   0 258   0 229   0 204   0 182   0 163   0 093     hline 14   0 263   0 232   0 205   0 181   0 160   0 141   0 078     hline 15   0 239   0 209   0 183   0 160   0 140   0 123   0 065     hline 16   0 218   0 188   0 163   0 141   0 123   0 107   0 054     hline 17   0 198   0 170   0 146   0 125   0 108   0 093   0 045     hline 18   0 180   0 153   0 130   0 111   0 095   0 081   0 038     hline 19   0 164   0 138   0 116   0 098   0 083   0 070   0 031     hline 20   0 149   0 124   0 104   0 087   0 073   0 061   0 026     hline  end tabular  French Corporation wishes to hire Lesile as a consultant to design a comprehensive staff training program  The project is expected to take one year, and the parties have agreed to a tentative price of $70,000  French Corporation has proposed payment of one half of the fee now, with the remainder paid in one year when the project is complete Use Appendix A and AppendixB  Required  o  If Lesile expects her marginal tax rate to be 15 percent this year and 25 percent next year, calculate the after tax net present value of this contract to Lesile, using a 6 percent discount rate  b  French Corporation expects its marginal tax rate to be 21 percent boti years  Calculate the net present value of French's after tax cost to enter into this contract using a 6 percent discount rate  c1  Given that Lesile expects her tax rate to increase next year, she would prefer to recelve more of the income from the project up front  Consider an alternative proposal under which French pays Leshie $49,000 this year, and $19,000 in one year when the contract is complete Calculate the after tax benefit of this counterproposal to Leslle and the after tax cost to French c2  Are both parties better off under this aiternative than under the original plan  Complete this question by entering your answers in the tabs below  If Leslie expects her marginal tax rate to be 15 percent this year and 25 percent next year, calculate the after tax net present value of this contract to Leslie, using a 6 percent discount rate  Note  Cash outflows and negative amounts should be indicated by a minus sign  Round discount factors to 3 decimal places  Round intermediate calculations and final answers to the nearest whole dollar arnount  APPENDIX B Present Value of Annuity of  $1  begin tabular   c l l l l l l l    hline Periods   10    11    12    13    14    15    20      hline 1   0 909   0 901   0 893   0 885   0 877   0 870   0 833     hline 2   1 736   1 713   1 690   1 668   1 647   1 626   1 528     hline 3   2 487   2 444   2 402   2 361   2 322   2 283   2 106     hline 4   3 170   3 102   3 037   2 974   2 914   2 855   2 589     hline 5   3 791   3 696   3 605   3 517   3 433   3 352   2 991     hline 6   4 355   4 231   4 111   3 998   3 889   3 784   3 326     hline 7   4 868   4 712   4 564   4 423   4 288   4 160   3 605     hline 8   5 335   5 146   4 968   4 799   4 639   4 487   3 837     hline 9   5 759   5 537   5 328   5 132   4 946   4 772   4 031     hline 10   6 145   5 889   5 650   5 426   5 216   5 019   4 192     hline 11   6 495   6 207   5 938   5 687   5 453   5 234   4 327     hline 12   6 814   6 492   6 194   5 918   5 660   5 421   4 439     hline 13   7 103   6 750   6 424   6 122   5 842   5 583   4 533     hline 14   7 367   6 982   6 628   6 302   6 002   5 724   4 611     hline 15   7 606   7 191   6 811   6 462   6 142   5 847   4 675     hline 16   7 824   7 379   6 974   6 604   6 265   5 954   4 730     hline 17   8 022   7 549   7 120   6 729   6 373   6 047   47775     hline 18   8 201   7 702   7 250   6 840   6 467   6 128   4 812     hline 19   8 365   7 839   7 366   6 938   6 550   6 198   4 843     hline 20   8514   7963   7 469   7 025   6 623   6 259   4 870     hline  end tabular  French Corporation wishes to hire Leslie as a consultant to design a comprehensive staff training program  The project is expected to take one year, and the parties have agreed to a tentative ptice of $70,000  French Corporation has proposed payment of one hali of the fee now, with the remainder pald in one year when the project is complete  Use ApRendix A and Appendix B Required  o  If Lesile expects her marginal tax rate to be 15 percent this year and 25 percent next year, calculate the after tax net present value of this contract to Leslle, using a 6 percent discount rate  b  French corporation expects its marginal tax rate to be 21 percent both years  Calculate the net present value of French's after tax cost to enter into this contract using a 6 percent discount rate  c1  Given that Lesile expects her tax rate to increase next year, she would prefer to recelve more of the income from the project up front Consider an alternative proposal under which French pays Leslie $49,000 this year, and $19,000 in one year when the contract is complete  Calculate the after tax benefit of this counterproposal to Lesile and the after tax cost to French C2  Are both parties better off under this alternative than under the oniginat plan  Complete this question by entering your answers in the tabs below  French Corporation expects its marpinal tax rate to be 21 percent both years  Calculate the net present value of French's after tax cost to enter into this contract using a 6 percent discount rate  Note  Cash outliows and negative amounts should be indicated by a minus sign  Round discount factors to 3 dedimal places  Round intermediate calculations and final answers to the nearest whole dollar amount

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Complete this question by entering your answers in the tabs below. Given that Leslie expects her tax rate to increase next year, she would prefer

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