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5 3 points Mr. Lion, who is in the 37 percent tax bracket, is the sole shareholder of Toto Inc., which manufactures greeting cards. Toto's

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5 3 points Mr. Lion, who is in the 37 percent tax bracket, is the sole shareholder of Toto Inc., which manufactures greeting cards. Toto's average annual net profit (before deduction of Mr. Lion's salary) is $270,000. For each of the following cases, compute the income tax burden on this profit. Ognore any payroll tax consequences.) a. Mr. Lion's salary is $100,000, and Toto pays no dividends. b. Mr. Lion's salary is $100,000, and Toto distributes its after-tax income as a dividend. c. Toto is an corporation. Mr. Lion's salary is $100,000, and Toto makes no cash distributions. Assume Toto's ordinary income qualifies for the 20 percent BI deduction d. Toto Is an corporation. Me Lion draws no salary, and Toto makes no cash distributions, Assume Toto's ordinary Income qualifies for the 20 percent QB1 deduction e. Toto is an Scorporation. Mr. Lion draws no salary, and Toto makes cash distributions of all its income to Mr. Lion. Assume Toto's ordinary income qualifies for the 20 percent Bi deduction book a income tax burden on this proft Income tax burden on this prodt C. Income tax burden on this profit d. Income tax burden on this profit Income tax burden on this prodt

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