Nicole's employer, Poe Corporation, provides her with an automobile allowance of $66,000 every other year. Her marginal tax rate is 32 percent. Answer the following questions relating to this fringe benefit. Problem 12-38 Part a (Algo) a. What is Nicole's after-tax benefit if she receives the allowance this year? After-tax benefit Nicole's employer, Poe Corporation, provides her with an automobile allowance of $66,000 every other year. Her marginal tax rate is 32 percent. Answer the following questions relating to this fringe benefit. Problem 12-38 Part b (Algo) b. What is Poe's after-tax cost of providing the auto allowance? After-tax cost Seiko's current salary is $85,500. Her marginal tax rate is 32 percent, and she fancies European sports cars. She purchases a new auto each year. Seiko is currently a manager for Idaho Office Supply. Her friend, knowing of her interest in sports cars, tells her about a manager position at the local BMW and Porsche dealer. The new position pays $72,000 per year, but it allows employees to purchase one new car per year at a discount of $16,600. This discount qualifies as a nontaxable fringe benefit. In an effort to keep Seiko as an employee, Idaho Office Supply offers her a $7,500 raise. Answer the following questions about this analysis. Problem 12-41 Part a (Algo) a. What is the annual after-tax cost to Idaho Office Supply if it provides Seiko with the $7,500 increase in salary? Note: Ignore payroll taxes. After-tax cost b-1. Financially, which offer is better for Seiko on an after-tax basis? b-2. By how much is the offer better for Seiko on an after tax basis? (Assume that Seiko is going to purchase the new car whether she switches jobs or not.) Complete this question by entering your answers in the tabs below. Required B1 Required B2 By how much is the offer better for Seiko on an after tax basis? (Assume that Seiko is going to purchase the new car whether she switches jobs or not.) Offer is better by < Required B1 Required B2 > c. What salary would Seiko need to receive from Idaho Office Supply to make her financially indifferent (after taxes) between receiving additional salary from Idaho Office Supply and accepting a position at the auto dealership? Note: Round your intermediate computations to the nearest dollar amount. Salary needed