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A firm pays a fully franked cash dividend of $50 to one of its Australian shareholders who has a personal marginal tax rate of 20%.
A firm pays a fully franked cash dividend of $50 to one of its Australian shareholders who has a personal marginal tax rate of 20%. The corporate tax rate is 30%. What will be the shareholder's personal tax payable due to the dividend payment?
a.
-5
b.
21.4286
c.
14.2857
d.
-7.1429
e.
10
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