Compute the all inclusive pay of the managing director

Reference no: EM132699652

Question - Hillcrest Limited files FBT returns on a quarterly basis. The company provides the following fringe benefits during the year to the managing director (who is not a major shareholder of the company):

Availability for private use of a motor vehicle (taxable value of $8,000 per quarter).

Medical insurance (taxable value of $4,500 per quarter).

Free goods (taxable value of $2,500 per quarter).

The managing director has a salary of $250,000 per annum. The company decides to carry out the full alternate rate calculation in the fourth quarter. Under the alternate rate calculation, the motor vehicle, medical insurance premiums and free goods are all required to be attributed to the managing director. Compute the all inclusive pay of the managing director?

a. $250,120

b. $310,340

c. $236,580

d. $295,880

Reference no: EM132699652

Questions Cloud

Journalise the entries to accrue the weekly payroll : Journalise the entries to accrue the weekly payroll on 31 July, to record the employer's payroll taxes and to pay the payroll on 4 August

Why would voters choose to vote for third party : Why would voters choose to vote for a third party, even though they know that their candidate has virtually no chance of winning?

What is the contribution margin at the break-even point : Shown below is a recent month's activity in the form of a cost-volume-profit income statement. What is the contribution margin at the break-even point

Candidate has virtually no chance of winning : Why would voters choose to vote for a third party, even though they know that their candidate has virtually no chance of winning?

Compute the all inclusive pay of the managing director : Availability for private use of a motor vehicle (taxable value of $8,000 per quarter). Compute the all inclusive pay of the managing director

Controversial current issue in public policy : Consider any important and controversial current issue in public policy.

How much would be the assets pledged to fully liabilities : Accounts payable and notes payable totaled P400,000. If the recovery percentage is 35 percent, how much would be the assets pledged to fully secured liabilities

Texas legislature in last legislative session : Find an Op-Ed that discusses any law enacted by the Texas Legislature in the last legislative session.

Discussion -drones : With technology evolving so rapidly, it makes sense that the United States must incorporate new weapons into its law-enforcement and war efforts

User Account

All Pages