6. You are a shareholder in a C corporation. The corporation earns $2.00 per share before taxes....
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6. You are a shareholder in a C corporation. The corporation earns $2.00 per share before taxes. Once it has paid taxes it will distribute the rest of its earnings to you as a dividend. Assume the corporate tax rate is 40% and the personal tax rate on (both dividend and non-dividend) income is 30%. How much is left for you after all taxes are paid?
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Fundamentals Of Corporate Finance
ISBN: 9780134475561
4th Edition
Authors: Jonathan Berk, Peter DeMarzo, Jarrad Harford
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