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Problem 8.1: Decision Making You're presented with two job options: Option 1: Includes employer provided health insurance which would cost $9,000 for you to buy
Problem 8.1: Decision Making You're presented with two job options: Option 1: Includes employer provided health insurance which would cost $9,000 for you to buy individually. In addition you will have access to the company gym (assume it meets the requirements of a qualified fringe benefit) which has a fair market value of $3,000. Option 2: Will pay an additional $14,000 but provides no health insurance or gym membership. Assume you are in the 24% marginal tax bracket. Required: Indicate which option will provide you with the higher after-tax payoff (1 or 2 )
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