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Find the after-tax return to a corporation that buys a share of preferred stock at $40, sells it at year-end at $40, and receives a
- Find the after-tax return to a corporation that buys a share of preferred stock at $40, sells it at year-end at $40, and receives a $4 year-end dividend. The firm is in the 30% tax bracket.
The total before-tax income is $4. Corporations may exclude 70% of dividends received from domestic corporations in the computation of taxable income.
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Islamic FinanceA Practical Perspective
Authors: Nafis Alam, Lokesh Gupta, Bala Shanmugam
1st Edition
3319665588, 9783319665580
