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DD Corporation provides the following benefits to its employee, Ahmed (age 47): Salary Health insurance Dental insurance Life insurance Dependent care Professional dues Personal use
DD Corporation provides the following benefits to its employee, Ahmed (age 47): Salary Health insurance Dental insurance Life insurance Dependent care Professional dues Personal use of company jet $300,000 10,000 2,000 3,000 5,000 500 200,000 Assume the life insurance is a group-term life insurance policy that provides $200,000 of coverage for Ahmed. (Use EXHIBIT 12-8.) Enter l amounts as positive values. Round your intermediate computations and final answers to the nearest whole dollar) Assuming Ahmed is subject to a marginal tax rate of 32 percent, what is his after-tax benefit of receiving each of these benefits (ignoring FICA taxes)? Description Amount Taxable benefits ependent care ependent care ependent care ependent care ependent care ependent care Taxable total Marginal tax rate Income tax on benefits After-tax benefit of taxable items Nontaxable benefits ental insurance ental insurance ental insurance ental insurance ental insurance ental insurance ental insurance Nontaxable total 0 After-tax benefit of salary and benefits 0
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