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A firm pays a fully franked cash dividend of $200 to one of its Australian shareholders who has a personal marginal tax rate of 25%.

A firm pays a fully franked cash dividend of $200 to one of its Australian shareholders who has a personal marginal tax rate of 25%. The corporate tax rate is 30%. What will be the shareholder's personal tax payable due to the dividend payment?

a.

-14.2857

b.

50

c.

85.7143

d.

71.4286

e.

-10

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