Peet Company provides free on-site day care for its employees with preschool children. Determine the pretax value

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Peet Company provides free on-site day care for its employees with preschool children. Determine the pretax value of the care for each of the following employees:

a. Mrs. Udolf, who has a 32 percent marginal tax rate and who would pay $10,675 annually for day care for her three children.

b. Mr. Zuo, who has a 12 percent marginal tax rate and who would pay $3,300 annually for day care for his one child.

Assume the taxable year is 2018.

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Principles Of Taxation For Business And Investment Planning 2019 Edition

ISBN: 9781260161472

22nd Edition

Authors: Sally Jones, Shelley C. Rhoades Catanach, Sandra R Callaghan

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Question Posted: Jan 18, 2019 04:57 AM

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Peet Company provides free on-site day care for its employees with preschool children. Determine the pretax value

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a Mrs Udolf would have to earn 15699 additional salary 10675 1 32 tax rat...View the full answer

Principles Of Taxation For Business And Investment Planning 2019 Edition

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