Tim was recently called into the partner's office and offered a two-year assignment in his public accounting firm's Shanghai office. Realizing that Tim will face incremental expenses while in Shanghai, such as foreign income taxes and rent, the firm will try to make him "whole" from a financial perspective by increasing his salary to help offset the expenses he will incur while living overseas. If Tim takes the assignment, he will likely rent his personal residence and sell several major tangible assets such as his personal automobile.
Identify the relevant issues.