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Courtney is an employee of Fremont Company. An average of three times a week, she works out during her lunch hour at a health club provided by Fremont. Discuss the taxability of Fremont's provision of the health club in the following situations:
a. The health club is owned by Fremont and is located on its business premises. All employees and their dependents are allowed to use the facility. The cost of joining a comparable facility is $60 per month.
b. The health club is located in Fremont's office building but is owned by Manzer Fit- ness World. Fremont pays the $60 per month health club dues.
c. Fremont is in the health club business. The health club is used primarily by custom- ers, although several employees, including Courtney, use it, too.
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