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

A cost-benefit analysis, assesses the benefits a new hire can bring to the company and consider this…

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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