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A firm pays a fully franked cash dividend of $100 to one of its Australian shareholders who has a personal marginal tax rate of 40%.

A firm pays a fully franked cash dividend of $100 to one of its Australian shareholders who has a personal marginal tax rate of 40%. The corporate tax rate is 30%. What will be the shareholder's personal tax payable due to the dividend payment?

a.

14.2857

b.

57.1429

c.

15

d.

10

e.

21.4286

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