Nicole’s employer, poe corporation, provides her with an automobile allowance of $20,000 every other year. her marginal tax rate is 32 percent. answer the following questions relating to this fringe benefit. a. what is nicole�s after-tax benefit if she receives the allowance this year (ignore fica taxes)?
after-tax benefit $
b. what is poe�s after-tax cost of providing the auto allowance?
after-tax cost $
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