1. General Motors offers this employee group term life insurance (GTLI) with a face amount of $100,000, General Motors paid $100 per $10,000 of face amount per year (i.e., $1000) for the GTLI. What will be the yearly personal income tax liability for this employee? a. $0 b. $150 c. $300 d. $15,000 e. $30,000 2. General Motors provides long term disability insurance for this employee. The contract states that this employee will earn $3000 per month ($36,000 per year) if they become disabled. General Motors paid the entire premium cost of $1000 per year. If this employee should become disabled, what would be their yearly personal income tax liability2.
1. General Motors offers this employee group term life insurance (GTLI) with a face amount of $100,000, General Motors paid $100 per $10,000 of face amount per year (i.e., $1000) for the GTLI. What will be the yearly personal income tax liability for this employee? a. $0 b. $150 c. $300 d. $15,000 e. $30,000 2. General Motors provides long term disability insurance for this employee. The contract states that this employee will earn $3000 per month ($36,000 per year) if they become disabled. General Motors paid the entire premium cost of $1000 per year. If this employee should become disabled, what would be their yearly personal income tax liability2.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
![1. General Motors offers this employee group
term life insurance (GTLI) with a face amount
of $100,000, General Motors paid $100 per
$10,000 of face amount per year (i.e., $1000)
for the GTLI. What will be the yearly personal
income tax liability for this employee?
a. $0
b. $150
c. $300
d. $15,000
e. $30,000
2. General Motors provides long term
disability insurance for this employee. The
contract states that this employee will earn
$3000 per month ($36,000 per year) if they
become disabled. General Motors paid the
entire premium cost of $1000 per year. If this
employee should become disabled, what
would be their yearly personal income tax
liability?
A. $0
B. $300
C. $900
D. $3600
E. $10,800](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Ff870f872-0aad-4a05-b775-96a78ea0292f%2F5cac9a41-ff2e-4e85-a95a-1a2ae3299a75%2F8i00zrf_processed.jpeg&w=3840&q=75)
Transcribed Image Text:1. General Motors offers this employee group
term life insurance (GTLI) with a face amount
of $100,000, General Motors paid $100 per
$10,000 of face amount per year (i.e., $1000)
for the GTLI. What will be the yearly personal
income tax liability for this employee?
a. $0
b. $150
c. $300
d. $15,000
e. $30,000
2. General Motors provides long term
disability insurance for this employee. The
contract states that this employee will earn
$3000 per month ($36,000 per year) if they
become disabled. General Motors paid the
entire premium cost of $1000 per year. If this
employee should become disabled, what
would be their yearly personal income tax
liability?
A. $0
B. $300
C. $900
D. $3600
E. $10,800
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