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assistance. As a long-time customer of Reston, your firm has decided to give that assistance. The question you are debating is whether Pruro should take
assistance. As a long-time customer of Reston, your firm has decided to give that assistance. The question you are debating is whether Pruro should take Reston stock with a 5% an- nual dividend or a promissory note paying 5% annual interest. E2-6 Reston, Inc., .has asked your corporation, Pruro, Inc., for financial Assuming payment is guaranteed and the dollar amounts for annual interest and dividend income are identical, which option will result in greater after-tax income for the first year? oblems All problems are available in MyFinancelab P2-1 Corporate taxes Tantor Supply, Inc., is a small corporation acting as the exclusive distributor of a major line of sporting goods. During 2013, the firm earned $92,500 before taxes. a. Calculate the firm's tax liability using the corporate tax rate schedule given in Table 2.1 . b. How much are Tantor Supply's 2013 after-tax earnings? c. What was the firm's average tax rate, based on your findings in part a? d. What was the firm's marginal tax rate, based on your findings in part a
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