Loans To Employees 5% 4% 21. T. Adams commenced employment at Moana Sales Ltd. on February 1, 2015. He had lived in an apartment until May 2015, at which time he purchased a new house. Under the terms of his employment, he received a housing loan on May 1, 2015 of $80,000 at a rate of 2 percent. He pays the interest on the loan on a monthly basis. Assume the 2015 prescribed interest rates applicable to employee loans are as follows: First quarter Second quarter Third quarter 3% Fourth quarter What is T. Adams' taxable benefit on the above loan for 2015? A. Nil. B. $267.40. $670.68. $1,073.97. $2,147.95. 3%