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b. Find the tax and the after-tax amount attributable to the interest income from Zig Manufacturing bonds. Interest from Zig Manufacturers = $20,000 Tax (@40%)
b. Find the tax and the after-tax amount attributable to the interest income from Zig Manufacturing bonds. Interest from Zig Manufacturers = $20,000 Tax (@40%) = $8,000 After Tax Amount = $12,000 c. Find the tax and the after-tax amount attributable to the dividend income from the Tank Industries, Inc., common stock. Interest from Tank Industries = $20,000 Tax (@40%) = $20,000 (1-0.7)*0.4 = $2, 4000 After Tax Amount = $17,600 Compare, contrast, and discuss the after tax amounts resulting from the interest income and dividend income calculated in parts b and c?.. E. What is the firm's total tax liability for the year
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