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Assume that CMC provides an incentive bonus to the company president equal to 15 percent of net income. Compute the amount of the bonus under
Assume that CMC provides an incentive bonus to the company president equal to 15 percent of net income. Compute the amount of the bonus under each of the two options. Identify the option that provides the president with the higher bonus. (Round your answers to the nearest whole dollar.).Assume a 35 percent income tax rate. Determine the amount of income tax expense under each of the two options. Identify the option that minimizes the amount of the companys income tax expense. (Round your answers to the nearest whole dollar.)
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