David J. Lychuk and Mary K. Lychuk, et al. - Page 83







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               1994                                                                                                             
               Salary,                                                                                                          
               Wages, and                                    Percentage of Total Expenses Amount                                
               Estimated        Benefits                     Related to ACC’s Credit        In                                  
               Employee         Bonus   FICA  MESC/FUTA BC/BS Total Expense   Analysis Activities        Issue                  
               Steve Balan     $95,820 $4,886   $218   $4,932   $105,856              40                $42,342                 
               James Blasius   139,216  5,776    218    4,932    150,142              50                 75,071                 
               Cass Budzynowski 52,846  3,813    218    2,177     59,054             100                 59,054                 
               Hope McGee       11,508    842    218    4,932     17,500             100                 17,500                 
               Kelly            22,200  1,584    218    2,177     26,179             100                 26,179                 
               Sue              24,500  1,760    218    4,932     31,410             100                 31,410                 
               Kathy            16,921  1,256    218    4,932     23,327              75                 17,495                 
               Stacey            1,218     93     32      411      1,754              75                  1,316                 
               Kirsten           2,438    167     57      181      2,843             100                  2,843                 
               366,667 20,177  1,615   29,606    418,065                                273,210                                 
               Overhead Items                                                                                                   
               Printing                                            8,663              75                  6,497                 
               Telephone                                          15,133              60                  9,080                 
               Computer                                           25,919              95                 24,623                 
               Rent                                               37,875              60                 22,725                 
               Utilities                                           5,126              60                  3,076                 
               92,716                                 66,001                                                                    
               510,782                                339,211                                                                   


                      These expenditures were all incurred in ACC’s business.  The                                              

               majority finds that ACC’s only business operation was the                                                        

               acquisition of installment contracts and the servicing of those                                                  

               contracts.1  With respect to the salaries and “overhead” expenses                                                

               found to be related to ACC’s credit analysis activities ($267,832                                                

               for 1993 and $339,211 for 1994),2 the majority makes the                                                         

               following finding of fact:                                                                                       

                              In 1993 and 1994, ACC paid installment contracts                                                  
                      expenditures totaling $267,832 and $339,211,                                                              
                      respectively, * * * which were attributable to ACC’s                                                      
                      obtaining of credit reports and screening of credit                                                       
                      histories, related primarily to the portion of ACC’s                                                      
                      payroll and overhead expenses that was attributable to                                                    
                      its credit analysis activities.6  None of these                                                           




                      1The majority finds: “Its sole business operation is (1) the                                              
               acquisition of installment contracts from automobile dealers * *                                                 
               * and (2) the servicing of those contracts.”  Majority op. pp. 4-                                                
               5.                                                                                                               

                      2The parties agree with the allocations in the above table.                                               







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