Problem $13-66$ Part a $($Algo$)$

a$.$ Assume XYZ has a marginal tax rate of $21$ percent for the foreseeable future and earns an after$-$tax rate of return of $9$ percent on its

assets. Joel Johnson, XYZ$\text{'}$s VP of finance, is attempting to determine what amount of deferred compensation XYZ should be willing to

pay in five years that would make XYZ indifferent between paying the current salary of $$13,100$ and paying the deferred compensation.

What amount of deferred compensation would accomplish this objective?

Deferred compensation