A & E Holdings’ profit and loss statement showed a net income of 9 3/4% of revenue or $29 250. Fifteen percent of net income was paid in corporation tax and 75% of the net income after tax was paid out as dividends to Alice and Emile, who hold shares in the ratio 5 to 3.
(a) What was the revenue of A & E Holdings?
(b) How much was the after-tax income?
(c) How much was paid out in dividends?
(d) What percent of net income did Alice receive as a dividend?