Which of the Following Fringe Benefits Is Taxable to the Employee

question 30

Multiple Choice

Which of the following fringe benefits is taxable to the employee receiving the benefit?

• A)A subscription to a tax journal provided by the employer to a corporation's tax accountant
• B)A small discount on toys granted to the salesperson for a toy store
• C)Incidental use of the company's copier by an office worker
• D)A 15 percent discount on investment real estate granted to the employee of a real estate developer
• E)All of the above are tax-free

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Definitions:

Additives

Substances added to products to improve or preserve them.

Significance Level

The probability of rejecting the null hypothesis in a statistical test when it is true, commonly denoted by alpha.

Confidence Interval

A range of values, derived from sample statistics, that is likely to contain the value of an unknown population parameter with a certain degree of confidence.

Aptitude Tests

Assessments designed to measure a person's ability or potential to succeed in a particular task or career.