Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

11. Sarah is considering to take $10000 from her incorporated small business as a dividend. If she pays a tax of 40% and her business

11. Sarah is considering to take $10000 from her incorporated small business as a dividend. If she pays a tax of 40% and her business is taxed at 25%. How much after tax dividends can she keep. What would have been the after-tax value if she would have taken salary of $10000.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Palgrave Handbook Of Technological Finance

Authors: Raghavendra Rau, Robert Wardrop, Luigi Zingales

1st Edition

3030651169, 978-3030651169

More Books

Students also viewed these Finance questions

Question

Develop successful mentoring programs. page 400

Answered: 1 week ago