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Information The current employee earns a salary of $35,000. Medical insurance, employer payroll taxes, and contributions to the pension plan for this position cost $6,200.
Information The current employee earns a salary of $35,000. Medical insurance, employer payroll taxes, and contributions to the pension plan for this position cost $6,200. The company has already invested $30,000 in payroll software. Required annual updates to remain in compliance with all state and federal laws are $375. The company also spends $1,400 per year in professional development for this position to ensure the employee stays up-to-date with payroll changes. Peaton Computer Company pays its employees weekly. Payroll Professionals will process the company's weekly payroll for $1,500 per week. This fee also includes preparing all necessary payroll tax returns, reports, and W-2s. Requirements 1. Prepare a differential analysis to determine if Peaton Computer Company should replace the employee or outsource the payroll function. 2. What other factors should Peaton Computer Company consider in making this decision
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