Rocky Racoon Corp. would like you to evaluate the tax consequences of its employee fringe

benefits program for the company$$s president $($Mack$),$ who is also a majority shareholder $($tell

me how much is includible in gross income for Mack$).$ Explain your answers.

a$.$ The company has a storage facility for household goods. Officers are allowed a $25\%$

discount on charges for storing their goods. All other employees are allowed a $10\%$

discount. Mack$$s discounts for the year totaled $$1000.$

b$.$ The company owns a condominium in Gatlinburg, which is used to entertain customers.

Employees are allowed to use the condo without charge when the company has no

scheduled events. Mack used the facility $20$ days during the year. His use had a rental

value of $$5,000.$

c$.$ The company owns a parking lot that is used by customers, officers, and the general

public but primarily by the officers. Only the general public is required to pay for

parking. The charge to the general public for Mack$$s parking for the year would have

been $$4,200($$$350$ monthly rate$).$

d$.$ The company has a qualified retirement plan. The company pays the cost of officers

attending a retirement planning seminar. The officer must be within $10$ years of

retirement and the cost of the seminar is $$1,700$ per attendee. Mack attends.

e$.$ Would your answer to c$.$ change if the parking lot is used by all employees, customers

and the general public?