Highly Compensated Executives Sometimes Prefer Fringe Benefits Such as Club

question 384

True/False

Highly compensated executives sometimes prefer fringe benefits such as club memberships, company cars, and more vacation time, as opposed to higher salaries because most often these benefits are not taxable income.

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Definitions:

Slump

A significant, sudden decrease in economic activity or market prices, often reflecting a downturn in a particular industry or the economy as a whole.

Avoidance

The act of preventing something from happening or ensuring that one does not become involved in it.

Erroneous Expression

A mistake in speech or writing that deviates from what is correct, true, or accurate.

Reformation

Reformation is a judicial remedy used to correct or modify a written contract or document that does not accurately reflect the true intentions of the parties due to a mistake, misrepresentation, or fraud.