Lori's marginal income tax rate is 24%, and her FICA/medicare tax rate is 7.65%. Her employer offers her the choice between $5,000 additional cash salary or a nontaxable fringe benefit. Lori would have to pay $3,200 to purchase the benefit directly. Which of the following statements is true?

Group of answer choices

The fringe benefit and the additional salary are worth the same amount.

The additional salary is worth $218 more than the fringe benefit.

The fringe benefit is worth $218 more than the salary.

The additional salary is worth $1,800 more than the fringe benefit.