Claude Lopez is the president of Zebra Antiques. His employee, Dwight Francis, is due a raise. Dwight's current benefit analysis is asfollows:Yearly Benefit CostsMedical insuranceDental insuranceLife insuranceAD&DShort-term disabilityLong-term disability401(k)Social SecurityMedicareTuition reimbursementTotal yearly benefit costs (employer)Employee's annual salaryThe total value of employee's compensationRequired:Compute the benefit analysis assuming:Company Cost(Current)$ 6,400.00145.00228.00114.0045.6022.801,140.002,287.49534.982,250.00$ 13,167.8738,000.00$ 51,167.87Employee Cost(Current)$ 960.00145.0000002,280.002,287.49534.9803 percent increase in pay.• Dwight will increase his 401(k) contribution to 8 percent with a company match of 50 percent up to 6 percent of the employee'sannual salary.• 15 percent increase in medical and dental insurance premiums. Yearly Benefit CostsMedical insuranceDental insuranceLife insuranceAD&DShort-term disabilityLong-term disability401(k)Social SecurityMedicareTuition reimbursementTotal yearly benefit costs (employer)Employee's annual salaryThe total value of employee's compensationCompany Cost(New)Employee Cost(New)000

Claude Lopez is the president of Zebra Antiques. His employee, Dwight Francis, is due a raise. Dwight's current benefit analysis is as follows: Yearly Benefit Costs Medical insurance Dental insurance Life insurance AD&D Short-term disability Long-term disability 401(k) Social Security Medicare Tuition reimbursement Total yearly benefit costs (employer) Employee's annual salary The total value of employee's compensation Required: Compute the benefit analysis assuming: Company Cost Employee Cost (Current) (Current) $ 6,400.00 145.00 228.00 114.00 45.60 22.80 1,140.00 2,287.49 534.98 2,250.00 $ 13,167.87 38,000.00 $ 51,167.87 $ 960.00 145.00 0 0 0 0 2,280.00 2,287.49 534.98 0 • 3 percent increase in pay. • Dwight will increase his 401(k) contribution to 8 percent with a company match of 50 percent up to 6 percent of the employee's annual salary. • 15 percent increase in medical and dental insurance premiums.

Claude Lopez is the president of Zebra Antiques. His employee, Dwight Francis, is due a raise. Dwight's current benefit analysis is as follows: Yearly Benefit Costs Medical insurance Dental insurance Life insurance AD&D Short-term disability Long-term disability 401(k) Social Security Medicare Tuition reimbursement Total yearly benefit costs (employer) Employee's annual salary The total value of employee's compensation Required: Compute the benefit analysis assuming: Company Cost Employee Cost (Current) (Current) $ 6,400.00 145.00 228.00 114.00 45.60 22.80 1,140.00 2,287.49 534.98 2,250.00 $ 13,167.87 38,000.00 $ 51,167.87 $ 960.00 145.00 0 0 0 0 2,280.00 2,287.49 534.98 0 • 3 percent increase in pay. • Dwight will increase his 401(k) contribution to 8 percent with a company match of 50 percent up to 6 percent of the employee's annual salary. • 15 percent increase in medical and dental insurance premiums.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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